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According to the latest data from the U.S. Department of Agriculture (USDA), Upland cotton sales for the week ending November 9, 2023, saw a significant decline of 33% compared to the previous week. Additionally, Pima cotton sales experienced an even sharper drop, plummeting by 60%.
The USDA’s weekly export sales report highlights the struggles of U.S. cotton exports amidst a challenging global market environment.
For Upland cotton, sales were recorded at just 52,200 bales, a notable decrease from the previous week’s sales of 77,800 bales.
The U.S. cotton industry has been facing several hurdles, including softer demand from major importing countries, such as China, and global uncertainties that are impacting trade. Similarly, sales of Pima cotton, a high-quality variety of cotton primarily used in luxury textiles, fell to 3,500 bales, down from 8,800 bales the previous week.
The decline in cotton sales comes amid concerns about global economic factors, including fluctuating commodity prices and supply chain disruptions. U.S. cotton exporters are grappling with competition from other cotton-producing nations, while some key markets are also navigating economic slowdowns, which is dampening cotton consumption.
As a result of these weak export figures, cotton prices have been under pressure, and analysts predict that U.
S. cotton production for the 2023-24 season may fall short of initial expectations. The market is closely monitoring these trends as they could have long-term implications for both U.
S. cotton growers and global textile supply chains.
