The Epidemic Has A Lasting Impact On Consumption, And Production And Sales Of Long Staple Cotton Continue To Decline.

According to the latest report released by the International Cotton Advisory Committee (ICAC) at the end of April, the output of global long staple cotton in 2019/20 was 378 thousand tons, down 20 thousand tons compared with February, down 18% from the same period last year. Egypt's long staple cotton production 80 thousand tons, 9000 tons reduction, the United States Pima cotton output 146 thousand tons, 11 thousand tons reduction.

In 2019/20, the export of global long staple cotton was 230 thousand tons, a decrease of 36 thousand and 200 tons compared with February, a decrease of 13% over the same period last year, of which Egypt exported 61 thousand tons, 8000 tons reduced, Israel exported 8200 tons, 700 tons reduced, and the United States exported 125 thousand tons, with a reduction of 27 thousand and 500 tons. The recent outbreak of Sino US trade friction has caused a huge impact on the export of American Pima cotton.

The report said that before the outbreak of the new crown, the global long staple cotton trade began to suffer from the adverse effects of trade friction since 2018, and its impact has been increasing.

In 2020/21, long staple cotton is facing unprecedented market environment, and consumption recovery is facing challenges. Global staple cotton prices have been in a doldrums for several consecutive years. Because the production cost of long staple cotton is higher than that of upland cotton, and the yield per unit area is lower than that of upland cotton, it is estimated that the planting area of global long staple cotton in 2020/21 will be 514 thousand hectares, a decrease of 6% over the same period, and the output is expected to be 339 thousand tons, down 10% from the same period last year. The area of Pima cotton is expected to drop to 73 thousand hectares, of which California's Pima cotton area has dropped by 20% over the same period last year.

The current new crown epidemic will have a lasting and far-reaching impact on the long staple cotton consumer market. The export of global long staple cotton in 2020/21 is estimated at 204 thousand tons, of which the export of American Pima cotton is estimated at 112 thousand tons.