Market Outlook

See the latest Cotton & Wool Outlook report.

Global Cotton Mill Use Projected Above Production for Third Consecutive Year in 2022/23

The initial U.S. Department of Agriculture (USDA) cotton projections for 2022/23 (August-July) include slightly higher world production and lower mill use than in 2021/22. Ending stocks are expected to be marginally lower as mill use exceeds production for the third consecutive season. Global cotton mill use is projected to remain near the level of the previous 2 years after the rebound from the disruptions that affected the global cotton supply chain. Global 2022/23 cotton prices are also projected to continue to average near last season’s elevated levels. For 2022/23, cotton mill use is projected at 122 million bales, 0.8 percent below 2021/22. In 2022/23, cotton use is led by China, India, Pakistan, and Bangladesh.

World cotton production in 2022/23 is forecast at 121.1 million bales, 2.6 million above the year before. In 2022/23, cotton production is led by China, India, and the United States, with China and India projected to increase production from 2021/22. U.S. cotton production in 2022/23 is forecast lower as significant drought conditions are present in the Southwest.