Increasing demand of world cotton

The International Cotton Advisory Committee reported that increasing world demand for cotton and the depletion of world stocks to five year lows would drive prices to a season average of 58 US cents a pound for the 2000/01 crop. ICAC head economist told the Australian Cotton Conference that the average price would increase from 53 cents last August/July season.

The world cotton scenario shows prices at about 60.9 cents a pound at the start of the season, falling to 55 to 56 cents by December, then increasing to over 70 per cent by July 2001. World cotton production is expected to decline by 100,000 tonnes to 19.1 million tonnes in 2000/01, with production declines in 29 countries including China and Pakistan, as reported.


Market Update
(Fibres)