Cotton candy prices rose by 1.7% to 57,420 due to supply concerns and reduced production forecasts. The USDA lowered India’s cotton production forecast to 30.72 million bales due to crop damage and pest issues.
Ending stocks were reduced to 12.38 million bales, tightening supply. However, the upside was limited by weak yarn market demand and payment constraints. Globally, cotton production estimates increased by over 200,000 bales, with higher output projected in China, Brazil, and Argentina.
In India, cotton acreage fell by 9% due to farmers shifting to other crops. Imports increased to 17.5 lakh bales, while exports surged by 84% due to demand from Bangladesh and Vietnam.
