Cotton production in 2019/20 will surpass consumption with global stocks

According to September 2019 edition of Cotton has said, cotton production in 2019/20 will surpass consumption with global stocks projecting to grow to 18.3 million tonne. This combination will exert downward prices on prices in the coming year. About 43 per cent of the expected global production of 26.9 million tonne will come from China and India alone, and the competition between the two to be the year’s top producer should be close. Despite ongoing trade barriers, area in the USA is expected to increase 24% and production is expected to climb by 23%. US exports, weakened by the trade impasse with China, fell by 8 per cent to 3.16 million tonne in 2018/19, although the current forecast calls for the global cotton trade to expand 2 per cent to 9.5 million tonne in the coming year.