Market Outlook

Cotton and Wool Outlook, July 2017

Summary 

Global Growth of Cotton Mill Use Varies by Country 

The latest U.S. Department of Agriculture (USDA) cotton projections for 2017/18 (August-July) indicate that global cotton mill use is forecast to rise for the second consecutive season. World cotton consumption is projected at 117.0 million bales in 2017/18, 3 percent higher than 2016/17 and the highest mill use since 2009/10 when consumption reached 119.5 million bales.

China—the leading spinner of raw cotton—has expanded its mill use since 2014/15, and is forecast to account for nearly one-third of the 2017/18 global total. Cotton mill use is also projected to expand in a number of other countries as well. With 2014/15 as the base year, 2017/18 world cotton consumption is projected 5 percent higher (fig. 1). While China’s mill use is expected nearly 12 percent above 2014/15, cotton mill use in India and Pakistan remains relatively flat. In contrast, cotton mill use continues to rise in Bangladesh, and 2017/18 use is projected to be 19 percent above 2014/15. Even more remarkable has been the growth in Vietnam, where 2017/18 mill use is expected to be 44 percent above 2014/15.

The July Cotton and Wool Outlook report and previous reports are available here https://usda-admin.mannlib.cornell.edu/MannUsda/viewDocumentInfo.do?documentID=1281