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2008/09 cotton stocks to decrease
Jun '08
The latest U.S. Department of Agriculture (USDA) projections for 2008/09 indicate that world cotton stocks are forecast to fall below 55 million bales for the first time in 5 seasons. Global ending stocks are currently projected at 54.1 million bales for 2008/09, 12.5 percent (7.7 million bales) below 2007/08 and the lowest since 2003/04.

The 2008/09 global stock reductions are forecast to come mainly from two countries, the United States and China, which together account for nearly 90 percent of the estimated total stock reduction.

The balance is spread over a number of countries, with a few countries expected to have higher stocks at the end of 2008/09. U.S. cotton stocks are expected to fall 4.8 million bales in 2008/09 to 5.4 million, the lowest in 4 years.

Declines in China are also anticipated, as stocks there are forecast to decrease 2.1 million bales to 16.2 million, the lowest since 1994. Foreign stocks, excluding China, are also expected to decline in aggregate about 2 million bales to 32.5 million, the lowest in 5 years.

U.S. Department of Agriculture

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