The first half of September witnessed notable price fluctuations in the Brazilian cotton market, largely due to disagreements between purchasers and sellers regarding the fair pricing of cotton, resulting in low liquidity in the market.– Supplier: This period was marked by sellers’ reluctance to reduce their asking prices, as they were preoccupied with the end of the harvest season and focused on processing cotton.
– Buyer: On the other hand, buyers showcased an interest in procuring smaller cotton quantities, given that many had sufficient stockpile and were still receiving previously ordered shipments.
– Shipment: The priority was given to the deliveries of previously made purchases, and an underlying concern remained regarding the escalating freight costs and mounting delays at ports.
– Sales report: The BBM data reveals that contracts for the 2022-23 crop year cater to 62 per cent of the total estimated industry demand, accounting for 690 thousand tons, CEPEA said in its latest fortnightly report on the Brazilian cotton market.
– Crop yields: In a recent update, ABRAPA, the Brazilian Association of Cotton Producers, reported that as of September 8, 94 per cent of the 2022-23 national cotton crop had been harvested, with 40 per cent having been processed. This season is expected to bring forth a record productivity level, anticipated to be 18.6 per cent higher than the last season at 1,893 kg/hectare, a historical peak.
– Identify: This situation could exert downward pressure on cotton prices within Brazil. Conversely, it might enable the country to supply larger volumes to the international market, especially as the supply from the United States is expected to diminish.
Consequently, by 2024 or 2025, Brazil could become the world’s leading exporter of cotton.
—————————————————–
—————————————————–
COTCO stands ready to assist you with any inquiries regarding cotton products. Please don’t hesitate to reach out to us:
☎ +84 (28) 3589 9978 / 3622 2272
📧 trading@cotco-vn.com
#cotton #cotco #cotcocotton #yarn #cotcoyarn #textilemachinery
☎ +84 (28) 3589 9978 / 3622 2272
📧 trading@cotco-vn.com
#cotton #cotco #cotcocotton #yarn #cotcoyarn #textilemachinery