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Cotton and Wool - Market Outlook

See the latest Cotton and Wool Outlook report.

Global 2026/27 Cotton Stocks Forecast Lower as Projected Mill Use Exceeds Production

The latest USDA cotton projections for 2026/27 (August–July) indicate that world cotton ending stocks are expected to decline as mill use exceed production for the first time in 3 years. Global cotton ending stocks are expected to decrease 5.1 million bales (7 percent) from the previous season to 69.7 million bales, the lowest level since 2011/12. With world cotton stocks expected to decline, global cotton prices are projected to rise moderately in 2026/27.

Global cotton production in 2026/27 is estimated to decline 4.3 million bales (nearly 4 percent) from the previous year to 117.6 million bales. All major producers’ crops are expected lower in 2026/27 except for India. World cotton mill use is projected to increase 2.0 million bales (nearly 2 percent) from 2025/26 to 122.9 million bales, with China, India, and Pakistan expected to lead the 2026/27 growth. Meanwhile, global cotton imports are forecast to fall to 43.8 million bales in 2026/27, as reduced import demand from China and India more than offset increases in Pakistan, Bangladesh, and Turkey.