ICAC: Cotton Consumption And Trade Volume In 2021 / 22 Is Expected To Recover

 

According to the latest report released by the International Cotton Advisory Committee (ICAC), global cotton production in 2020 / 21 will drop by 7%, while the output in 2021 / 22 is expected to return to the level before the outbreak of the epidemic.

 

The global cotton consumption in 2020 / 21 will increase by 12.5% to 25.59 million tons compared with the previous year, and it is expected that the consumption will further increase to 25.8 million tons in 2021 / 22.

 

The decrease of output and the improvement of demand are expected to cause the year-end inventory of cotton in 2020 / 21 to drop to 20.96 million tons for the first time in four years, which is similar to that in 2015 / 16. In view of the fact that the amount of material used is higher than the output, the year-end inventory of cotton in 2021 / 22 will further decrease to 20.77 million tons.

 

After the depression of 2019 / 20, cotton trade is expected to turn around, especially in the context of the improvement in the global economy. In 2020 / 21, cotton export increased by 11.75% year-on-year, and it is expected to maintain similar strength in 2021 / 22.

 

This month, the ICAC Secretariat forecasts an average price of 89 cents per pound at the end of 2021 / 22.