Cotton fell since global consumption is expected to be lower in 2023–2024 than it was last month

Prices for cotton candy decreased by -0.17%, ending at 57740, as a result of adjustments to production and consumption estimates for the 2023–2024 season worldwide. There will be a 1.3 million bale drop in global consumption as a result of declines in Turkey, Indonesia, India, Pakistan, and Uzbekistan. This resulted in a 2.0 million bale increase in world-ending stocks for the same period, along with increased beginning stocks and production.

Commencing inventories for the 2023–2024 season increased by 400,000 bales due in part to lower demand in Uzbekistan. For the 2023–24 season, the Cotton Association of India (CAI) kept its domestic consumption forecast at 311 lakh bales. 294.10 lakh bales remained the pressing estimate. The observations made by CAI were derived from trade sources and member contributions.

In the 2022–2023 growing season, Brazil’s cotton production hit a record high because to increased productivity and cultivation. The Centre for Advanced Studies on Applied Economics (CEPEA) reports that despite increased global supply, slow demand brought on by poor economic conditions resulted in bloated inventories and down cotton prices globally.

The International Cotton Advisory Committee (ICAC) predicted that for the second year in a row, cotton production would probably surpass demand on a global scale. In the 2023–2024 season, it is anticipated that global cotton lint production would increase by 3.25% to 25.4 million metric tones, while consumption will only slightly decrease to 23.4 million metric tones.

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