Home / Knowledge / News / Textiles / Rising cotton production in Mexico impacts US exports

Rising cotton production in Mexico impacts US exports

11
Apr '19
Pic: David Mark from Pixabay
Pic: David Mark from Pixabay
Recent higher cotton production in Mexico has lowered import demand and affected US exports, according to the US department of agriculture (USDA). In 2017-18 and 2018-19, Mexico’s cotton output jumped to levels not seen since the late 1970s. Cotton production is likely to remain high in 2019-20 too, forecasts the recent GAIN (FAS attaché) report from Mexico.

Due to the benefits of the NAFTA agreement, US cotton accounted for nearly all of Mexico’s imports. However, Mexico’s imports have not fallen as much as production has risen. This is in part due to downstream contractual agreements requiring the use of US cotton. As a result, larger production and exportable supplies have driven exports to the highest level in over 30 years, buoyed in part by a sharp increase in exports to China in 2018.

“If Mexico’s production were to remain high for an extended period, it could make further inroads into domestic mill use as the downstream demand becomes more accustomed to the greater supply of local cotton. A successful outcome resolving US-China trade tensions could also reduce Mexico’s export opportunities, increasing pressure to use cotton domestically. Neither of these outcomes bode well for US cotton exports to Mexico,” the Foreign Agricultural Service (FAS) of the USDA said in its ‘Cotton: World Markets and Trade’ April 2019 report. (RKS)

Fibre2Fashion News Desk – India


Must ReadView All

Rwanda partners with PRC firm to set up garment factory

Apparel/Garments | On 19th May 2019

Rwanda partners with PRC firm to set up garment factory

The Rwanda Development Board (RDB) recently signed an agreement with...

Textile training centre opens in Scotland's Hawick

Textiles | On 19th May 2019

Textile training centre opens in Scotland's Hawick

A textile skills training centre was unveiled recently in Hawick, a...

Ghana fixes cotton prices for 2019-20 crop season

Textiles | On 19th May 2019

Ghana fixes cotton prices for 2019-20 crop season

Ghana recently fixed the seed and input cost for the cultivation of...

Interviews View All

Viral Desai, Zenitex Mill Pvt Ltd

Viral Desai
Zenitex Mill Pvt Ltd

Full of green energy

Top executives, Textile industry

Top executives
Textile industry

Sri Lanka has a good sustainable track record and strong stories to back it

Amit Jain, Shingora Textiles Ltd

Amit Jain
Shingora Textiles Ltd

‘In terms of fabric, the fastest growing category for us is a blend of...

Harsh Shah,

Harsh Shah

Fynd is the central online shopping destination for fashion, offering...

Pietro Turrin,

Pietro Turrin

Industrie Tessili Bresciane (ITB) has served numerous industries and...

Anupam Arya,

Anupam Arya

<div>Jaipur-based Fabriclore Retailing Pvt. Ltd. is attempting to revive...

Pierre Wiertz, EDANA

Pierre Wiertz
EDANA

Pierre Wiertz talks about the vast world of sustainable nonwovens and...

Michaela Griggs & Peggy Schulz, Barco Uniforms

Michaela Griggs & Peggy Schulz
Barco Uniforms

Founded in 1929, Barco Uniforms started as an apparel company for beauty...

Eric Scholler, Groz-Beckert

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Yash P. Kotak, Bombay Hemp Company

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Vaanee Bhatia, Gritstones Clothing

Vaanee Bhatia
Gritstones Clothing

<div>Delhi-based Gritstones Clothing offers quality and exemplary style...

Mike Hoffman, Gildan Activewear SRL

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


May 2019

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Advanced Search