Fresh forecasts from the US Department of Agriculture (USDA) covering the 2026/27 cotton marketing year (August to July) point to worldwide mill consumption climbing by 1.8 million bales, of 480 pounds each.
This indicates a rise of 1.5% against the prior season, taking global usage to 122.9 million bales — the strongest reading recorded in six years.
Every major cotton-spinning nation is expected to either lift consumption or hold it steady during 2026/27, with India and China driving the bulk of the increase.
China, which remains the world’s foremost consumer of raw cotton, is set to account for 34% of overall global demand across the coming season.
On the supply side, worldwide cotton output is projected to contract by 4.6 million bales, equivalent to a 4% decline, bringing global production down to 117.3 million bales in 2026/27.
Nearly every leading producing nation is forecast to see output slip, the sole exception being India, where production is anticipated to edge marginally higher.
Global cotton reserves are expected to shrink by close to 5.5 million bales, a fall of roughly 7%, reflecting the widest gap between consumption and output witnessed since the 2020/21 season.
Worldwide cotton trade flows are anticipated to soften slightly during 2026/27 relative to the previous year.
Brazil and the United States are set to retain their positions as the dominant exporting nations, whilst Vietnam and Bangladesh are forecast to emerge as the two largest importing markets.
Image courtesy: ANEA
