Why are cotton prices stable but low in 2025?

Cotton prices are stable but low due to a combination of increased global supply, particularly from Brazil, and reduced import demand from China.

How can regenerative agriculture help U.S. cotton growers?

Regenerative agriculture can improve profitability and crop resilience for growers by enhancing soil health and creating a buffer against extreme weather.

What impact do U.S. tariffs have on the cotton market?

Tariffs, especially those targeting China, create uncertainty and concerns about reduced U.S. apparel demand, potentially limiting global cotton use.

Home / Business and Economy / Cotton Prices Stable, But Growers Face Squeeze

Cotton Prices Stable, But Growers Face Squeeze

19 Dec

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Summary

Cotton prices are stable but low, impacting growers due to rising input costs.
Chinese cotton imports have significantly decreased, affecting global demand.
Regenerative agriculture practices are suggested to improve farm profitability and resilience.

Cotton Prices Stable, But Growers Face Squeeze

Cotton prices have remained stable but low, creating difficulties for growers who are contending with a 30 percent increase in input costs since 2019. This situation is exacerbated by a significant drop in Chinese cotton imports, which fell from 15 million bales in 2023/24 to an estimated 5 million bales in 2024/25. Concurrently, increased supply from countries like Brazil has intensified international price competition.

To mitigate these challenges, regenerative agriculture practices are being promoted as a pathway to long-term profitability and crop resilience. These methods, while requiring initial investment, build soil health and create a buffer against extreme weather events, helping maintain fiber quality. Despite some weather improvements in key U.S. growing regions for the 2025/26 crop year, higher national yields could further depress prices due to increased global supply.