The United States has rolled out a comprehensive plan to strengthen cotton farm economy, restore domestic textile manufacturing, expand cotton trade opportunities, and increase demand for products made with American-grown cotton.
The plans include elevating the ‘Plant Not Plastic’ initiative to encourage consumers to purchase products made with healthy natural American cotton fibers rather than synthetic plastic-based alternatives.
Cotton remains one of the most economically significant crops in the United States, supporting producers and rural communities.
The United States Department of Agriculture (USDA) estimates every US dollar generated at the cotton farm gate creates approximately $15 in direct economic activity across related industries.
However, the cotton industry continues facing severe economic pressure. USDA forecasts producers could lose approximately $2.6 billion across 9 million planted acres during the upcoming crop year.
Since 1980, the number of U.S. cotton gins has declined from 2,254 to 446, while domestic textile production facilities have sharply contracted over the last two decades.
At the same time, nearly 70 percent of the world’s textile fibers are now synthetic, most of them plastic-based materials such as polyester.
USDA will promote greater awareness around natural fibers and the potential impacts of synthetic materials.
The agency is also ensuring that the BioPreferred Program remains funded so biobased products, including cotton products, can continue using the BioPreferred label
USDA is implementing increased marketing loan rates for upland and extra-long staple cotton authorized through the Working Families Tax Cuts Act
It is prioritizing cotton processors and manufacturers within ‘Rural Development’s Business and Industry Guaranteed Loan Program’ to increase domestic production capacity
The ‘Economic Adjustment Assistance for Textile Mills’ program payment rate will increase from 3 cents to 5 cents per pound of cotton processed
The agency will continue working with Congress to support the bipartisan Buying American Cotton Act
Improving Cotton Trade
USDA and USTR secured commitments from Indonesia and Bangladesh that will support future U.S. cotton purchases and textile production using American cotton
It will continue supporting cotton exports through the Market Access Program and Cotton USA licensing initiatives
