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World cotton stocks to rise further in 2013-14 - USDA
15
Jun '13
The latest U.S. Department of Agriculture (USDA) projections for 2013/14 indicate that global cotton stocks are forecast to rise for the fourth consecutive season, reaching an alltime high.

World ending stocks are now projected at 92.5 million bales for 2013/14, 9 percent (or nearly 7.6 million bales) above 2012/13.

Global cotton stocks have risen dramatically over the past several seasons as world production has outpaced consumption. Relatively high cotton prices in recent years encouraged production but discouraged cotton mill use at the same time.

The growth in global stocks since 2011/12 has occurred mainly in China, where national reserve purchases have effectively taken a large supply of cotton out of the marketplace and supported prices.

At the end of 2012/13, stocks in China are estimated at 50 million bales, or about 59 percent of global stocks. For 2013/14, the latest projection indicates that stocks in China will likely expand, rising to nearly 59 million bales by season’s end, or 64 percent of the total.

United States Department of Agriculture


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