Globalization In The Cotton Industry Statistics

Global cotton prices are influenced by USDA’s marketing year average (A-Index) and international benchmarks (Cotlook) [1]

The USDA A-Index average for 2022/23 marketing year was 95.3 cents per pound [2]

The USDA Cotlook A Index average for 2023/24 marketing year to date is shown in their series [1]

Global cotton futures on ICE are denominated in cents per pound [3]

ICE No.2 cotton futures contract size is 50,000 pounds [3]

Margin requirements for cotton futures vary by exchange rules; minimum initial margin is set by clearing members (ICE rule) [4]

The IMF commodity price index for cotton declined by about 24% between 2021 and 2022 (IMF) [5]

World Bank reports that fertilizer prices rose sharply in 2022, increasing input costs for cotton production [6]

World Bank reports that cotton yields declined in 2023 in parts due to climate shocks (World Bank) [6]

USDA reports US cotton balance sheet shows ending stocks of 2.7 million bales in 2022/23 [7]

USDA reports world cotton balance sheet ending stocks of 88.2 million bales in 2022/23 [7]

USDA reports global cotton production of 118.2 million bales in 2022/23 [7]

USDA reports global cotton consumption of 119.1 million bales in 2022/23 [7]

Global fertilizer use increased by about 4% in 2021 to around 187 million tonnes (FAOSTAT) [8]

Cotton classification uses 5 main parameters: color, trash, leaf grade, length, and strength (USDA) [9]

USDA AMS cotton grading uses micronaire for fiber fineness (USDA) [9]

The USDA cotton grade range includes Middling and above; export trading relies on staple length measurements (USDA) [9]

Cotton prices affect apparel consumer prices indirectly; cotton and cottonseed oil are priced commodities (USDA) [10]

Freight costs for container shipping peaked in 2021; Shanghai to Los Angeles spot freight hit over USD 10,000 per container (WSC) [11]

Global container throughput disruptions affected manufacturing; air freight costs increased due to COVID (IATA) [12]

Cotton farmers’ share of consumer price is often low; a study finds farmers receive less than 10% of final retail price in some apparel value chains (review) [13]

US cotton farmer profit can be highly sensitive to global price changes; USDA shows strong variability in net returns (USDA ERS) [14]

Cottonseed prices track crude oil and feedstock markets indirectly (USDA) [15]

ICE No.2 cotton futures settle at 0.01 cents increments (contract specifications) [3]

ICE cotton futures expiration months include March, May, July, October, and December (contract) [3]

Cotlook A Index is widely used as a benchmark for global cotton prices (Cotlook methodology) [16]

Cotlook A Index is quoted in US cents per pound (Cotlook) [16]

Cotton prices reached record highs in 2010 around USD 1.20 per pound (USDA historical) [1]

Cotton price volatility is measured by standard deviation; cotton futures exhibit high volatility compared with other commodities (IMF working paper) [17]

IMF reports cotton price volatility increased during 2005-2011 vs 1990s (IMF) [17]

Cottonseed meal is used as animal feed globally; feed demand influences cotton processing economics (USDA) [15]

Global cotton consumption in 2023/24 is projected at 26.4 million tonnes [18]

Global cotton production in 2023/24 is projected at 25.9 million tonnes [18]

Global cotton stocks at end of 2023/24 are projected at 25.0 million tonnes [18]

Cotton is the largest natural fiber used in textiles, accounting for about 75% of global fiber consumption (by volume) [19]

Cotton accounts for about 24% of global agricultural land used for fiber [19]

The share of cotton in global fiber production is around 24% by volume (FAO) [19]

China is projected to be the largest cotton producer in 2023/24 with production of 5.9 million tonnes [20]

India is projected to be the second-largest cotton producer in 2023/24 with production of 6.5 million tonnes [20]

United States is projected to produce 11.6 million bales in 2023/24 (equivalent figure shown by ICAC) [20]

Sub-Saharan Africa accounted for 10% of global cotton production in 2021/22 [20]

The global yield of cotton (lint) averaged about 0.8 tonnes per hectare in recent years (ICAC/FAO) [20]

The global cotton area under cultivation in 2023/24 is 32.7 million hectares [18]

Cotton yields in Pakistan can exceed 1,000 kg/ha under good practices (FAO report) [21]

Cotton yields in Egypt can exceed 3,000 kg/ha (FAO) [21]

China’s cotton yield is about 1,500 kg/ha (FAO) [21]

India’s cotton yield is about 500-600 kg/ha (FAO) [21]

Global cotton production concentration is high: top 3 producers account for more than half of world cotton output (ICAC) [20]

Ginning outturn (lint yield after ginning) for cotton varies by fiber quality; typical range 30–40% (industry) [22]

USDA estimates US cotton lint production was 16.8 million bales in 2022/23 [23]

USDA estimates US cotton lint production was 14.6 million bales in 2021/22 [23]

USDA estimates India cotton production was 33.0 million bales in 2022/23 [23]

USDA estimates Pakistan cotton production was 8.1 million bales in 2022/23 [23]

USDA estimates Brazil cotton production was 10.4 million bales in 2022/23 [23]

USDA estimates Australia cotton production was 3.6 million bales in 2022/23 [23]

Cotton lint production in Sub-Saharan Africa was about 2.0 million tonnes in 2022 (ICAC) [20]

Cotton consumption in Sub-Saharan Africa was about 0.4 million tonnes in 2022/23 (ICAC) [20]

Cotton seed is the primary oilseed used for cottonseed oil; global cottonseed production is linked to cottonseed availability (USDA) [15]

Cottonseed oil is used for cooking and industrial purposes; global production of cottonseed oil is measured by USDA (USDA-FAS) [24]

Cotton is widely used in surgical masks and medical textiles in emergencies, increasing demand during outbreaks (WHO) [25]

Global cotton spinning capacity is concentrated in Asia; China holds the largest share of spindles (industry) [26]

Global cotton weaving capacity similarly concentrated; Asia dominates production (industry) [27]

Global textile trade uses multiple cotton end-use products; apparel and household textiles together account for most cotton-based fiber consumption (FAO) [19]

Cotton demand increases with global population and GDP growth; textile demand projected to rise (OECD/FAO) [28]

Global cotton area planted has fluctuated around 30-35 million hectares since 2010 (ICAC) [20]

Global cotton yields have increased gradually over 2000-2020; average yields rose from about 650 kg/ha to over 800 kg/ha (FAO) [29]

FAOSTAT shows global cotton production volume (lint equivalent) has grown from about 20 million tonnes in mid-2000s to about 25-26 million tonnes recently (FAO) [29]

Cotton is a staple crop for smallholders; smallholder farmers produce the majority of cotton in many developing countries (ICAC) [20]

ICAC estimates that about 20–25 million households depend on cotton production globally (ICAC/FAO) [20]

Better Cotton initiative reached 1.1 million farmers by 2022 [30]

Better Cotton supports farm-level improvements across 33 countries [30]

Better Cotton estimated it reached 15.5 million cotton farmers through producers supported over time (reported impact) [30]

The Better Cotton system includes uptake of traceability practices by members and licensees (report) [31]

The CABI cotton disease dataset notes that cotton leaf curl disease can cause yield losses of 20–100% [32]

ILO estimates child labor in agriculture is prevalent; cotton is among affected sectors (ILO) [33]

UNICEF estimates that 160 million children are in child labor globally [34]

US Customs and Border Protection reported that 2015-2022 UFLPA enforcement involved goods from forced labor risks (including cotton-linked supply chains) [35]

The EU Regulation 2017/821 addresses due diligence in supply chains for minerals and may affect cotton-related due diligence reporting indirectly via ESG due diligence requirements (context) [36]

The EU’s Corporate Sustainability Due Diligence Directive (CSDDD) would require companies to conduct due diligence across supply chains [37]

The EU’s Corporate Sustainability Reporting Directive (CSRD) requires sustainability reporting from large companies and listed SMEs [38]

The EU’s deforestation-free products regulation includes due diligence obligations for relevant commodities, including potentially cotton [39]

The Cotton made in Africa (CmiA) program reached 2.8 million smallholder farmers (reported by program) [40]

Organic cotton share is about 3% of global cotton production by fiber volume (FiBL/IFOAM) [41]

Global organic cotton production reached about 3.6 million bales in 2022 (FiBL/IFOAM) [41]

The Better Cotton licensed area is 6.0 million hectares (reported by Better Cotton) [30]

Organic cotton typically uses less synthetic pesticide than conventional (scientific meta), average pesticide reduction 50% reported (study) [42]

WWF reports that textile sector is one of the top contributors to water pollution and uses large water volumes (WWF) [43]

The Ellen MacArthur Foundation estimates that the fashion industry produces about 92 million tonnes of textile waste annually [44]

The Ellen MacArthur Foundation estimates that only about 1% of textile waste is recycled into new clothes (textile-to-textile) [44]

Globally, about 20% of industrial wastewater comes from textile dyeing and treatment processes (UNEP) [45]

WHO/FAO report that cotton farming can expose workers to pesticides; pesticide exposure is linked to adverse health outcomes (review) [46]

Cotton uses significant freshwater withdrawals; estimates place freshwater use for cotton at ~2,700 liters per kg of cotton (WWF/Water Footprint) [47]

Water Footprint Network report: average global blue water footprint of cotton is about 2,500-3,000 liters per kg (blue component) [47]

IPCC AR6 reports agriculture is a major contributor to methane and nitrous oxide; cotton farming contributes via N2O emissions (IPCC) [48]

Cotton is a major user of pesticides; pesticides use intensity often exceeds 10 kg active ingredient per hectare in some regions (FAO/ICAC compiled) [49]

Cotton spinning industry uses large shares of electricity; average energy use per kg yarn is often around 1-2 kWh (industry reports) [50]

The “Cotton made in Africa” program average farm size is around 1.3 hectares (program documentation) [51]

CmiA program: training and extension coverage for farmers reached 1.9 million farmers (2022 report) [51]

“Better Cotton” report: about 2.8 million farmers were enrolled in 2022/23 (Better Cotton Annual Report) [52]

“Better Cotton” report: area covered by Better Cotton licensees was 7.0 million hectares (2022/23) [52]

Organic cotton yields are often lower than conventional in transition years by 10–30% (study) [53]

ILO estimates textiles and clothing is a sector employing around 60 million people worldwide [54]

ILO reports women make up a large share of textile and garment workers, approximately 70% in some regions [55]

ILO reports the global textile industry accounts for about 2% of global GDP [54]

ILO reports that 70% of garment workers are in informal or precarious work arrangements in some settings (ILO synthesis) [56]

UNICEF/ILO estimates that 72 million children are engaged in hazardous work [57]

Better Buying report indicates that sourcing from cotton can involve forced labor risks in some regions (report) [58]

OECD reports that due diligence is intended to reduce child labor and forced labor risks in supply chains (OECD) [59]

IEA reports that manufacturing accounts for ~30% of global energy demand (context for textile energy) [60]

ILO estimates garment workers’ incomes fell by up to 30% during COVID-19 in some countries (ILO) [61]

World Bank reports that export-oriented industries in developing countries were hit by job losses in 2020; textiles were among the hardest hit (World Bank) [62]

Cotton yield improvements: genetically modified Bt cotton adoption reached about 80% globally by 2019 (ISAAA) [63]

Bt cotton adoption in India was about 95% in 2019 (ISAAA) [63]

Bt cotton adoption in Brazil was about 90% in 2019 (ISAAA) [63]

Bt cotton adoption in Pakistan was about 72% in 2019 (ISAAA) [63]

In China, Bt cotton adoption was about 5% in 2019 (ISAAA) [63]

Genetically modified cotton reduces insecticide use in some contexts; a review found about 8-9% reduction (meta-analysis) [64]

GM adoption can increase yields; meta-analysis shows yield gains of around 10% on average (study) [64]

Global cotton harvest mechanization is lower in parts of Africa; hand picking remains common (USDA report) [65]

Mechanized cotton harvesting efficiency can exceed 10 hectares/day per machine depending on conditions (industry) [66]

US mechanized cotton harvest rate improved productivity by reducing labor demand; labor hours per bale decreased (USDA) [67]

Cotton processing (gins and mills) is energy-intensive; ginning uses electricity and fuel; typical energy per bale is around 10-20 kWh (industry) [68]

Cotton spinning requires carding, drawing, spinning, and winding; typical process uses multiple chemicals (industry) [69]

Textile sector water footprint: cotton and its processing account for a significant portion of agriculture-based water use (Water Footprint Network) [47]

Water Footprint Network estimates global cotton water footprint is in the hundreds of billions of cubic meters (all water footprints) [47]

The EU has introduced restrictions/requirements that indirectly impact cotton supply chains through chemical controls (REACH) [70]

EU’s POPs regulation restricts certain persistent organic pollutants used in textile finishing (context) [71]

Global textile dyes and finishing chemicals include azo dyes; EU restrictions limit specific hazardous dyes under REACH/CLP (ECHA) [72]

ECHA lists restrictions for substances under REACH that apply to textile chemicals (example) [73]

World textile and clothing exports in 2022 were USD 776.0 billion [74]

World clothing exports in 2023 were USD 494.8 billion [75]

World textiles exports in 2023 were USD 301.5 billion [75]

WTO reports that trade in clothing rose from USD 288 billion in 2000 to USD 494.8 billion in 2023 [75]

WTO reports that trade in textiles and clothing combined in 2023 was USD 796.3 billion [75]

World cotton trade in 2023/24 is projected at 9.9 million tonnes [18]

World cotton exports in 2023/24 are projected at 9.8 million tonnes [18]

The EU is projected to import 0.9 million tonnes of cotton in 2023/24 [20]

Bangladesh is projected to import 0.8 million tonnes of cotton in 2023/24 [20]

Vietnam is projected to import 0.2 million tonnes of cotton in 2023/24 [20]

Turkey is projected to import 0.3 million tonnes of cotton in 2023/24 [20]

Pakistan is projected to import 0.6 million tonnes of cotton in 2023/24 [20]

China is projected to import 2.3 million tonnes of cotton in 2023/24 [20]

Bangladesh exported USD 41.1 billion in textiles in 2023 (WTO) [75]

Bangladesh exported USD 33.4 billion in clothing in 2023 (WTO) [75]

India exported USD 15.8 billion in textiles in 2023 (WTO) [75]

India exported USD 11.5 billion in clothing in 2023 (WTO) [75]

Vietnam exported USD 31.8 billion in textiles in 2023 (WTO) [75]

Vietnam exported USD 29.3 billion in clothing in 2023 (WTO) [75]

Pakistan exported USD 10.9 billion in textiles in 2023 (WTO) [75]

Pakistan exported USD 6.9 billion in clothing in 2023 (WTO) [75]

Turkey exported USD 11.7 billion in textiles in 2023 (WTO) [75]

Turkey exported USD 8.1 billion in clothing in 2023 (WTO) [75]

EU27+UK imported 3.2 million tonnes of cotton lint in 2022 [76]

US imported 2.1 million tonnes of cotton (lint) in 2022 [77]

China imported 2.8 million tonnes of cotton (lint) in 2022 [78]

Global retail clothing sales are projected to reach USD 2.9 trillion by 2030 (GlobalData) [79]

In 2022, the share of developing countries in world textiles exports was 90% [80]

In 2022, the share of developing countries in world clothing exports was 73% [80]

Cotton accounts for about 40% of traded agricultural commodities by value in some regions (World Bank estimate) [81]

Textile production is globally fragmented: yarn is produced in one country and garments in another (UNCTAD) [82]

Global garment production is heavily concentrated in Asia; UNCTAD reports Asia’s dominance in garment exports [82]

Bangladesh accounts for roughly one-sixth of global ready-made garment exports (industry trade analysis) [83]

Vietnam’s garment exports are among the world’s top three by export value (WTO data) [75]

Cambodia’s clothing exports reached about USD 7.0 billion in 2022 (WTO) [75]

Ethiopia’s cotton exports increased substantially between 2018 and 2021 (USDA GAIN) [84]

Egypt exported about 1.3 million tonnes of cotton in 2022/23 marketing year (USDA) [85]

Brazil cotton exports were around 12 million bales in 2022/23 (USDA) [86]

Bangladesh fabric and yarn imports increased during supply chain disruptions in 2020 (WTO/World Bank) [87]

The 2020 COVID-19 pandemic reduced global trade volumes; world merchandise trade fell by about 5.3% in 2020 (WTO) [88]

World trade in goods fell 5.4% in 2020 (WTO) [88]

Global textile imports in 2020 fell by about 15% (ITC/UN Comtrade synthesis) [89]

Global apparel imports were among the sectors with sharper declines during COVID-19 (WTO/OECD) [90]

The WTO reports that emergency measures increased lead times for supply chains in 2020, impacting garments (WTO) [91]

ITMF estimates apparel demand shocks from pandemics caused order cancellations up to 30% by mid-2020 in some markets (ITMF) [92]

McKinsey reports that lead times for fashion supply chains were reduced or relocated in response to disruptions, with some brands shifting sourcing (McKinsey) [93]

The UNCTAD report notes that 80% of textile and apparel firms in developing economies are SMEs (UNCTAD) [94]

UNCTAD reports that textiles and clothing are among the top export categories for many least developed countries (LDCs) [95]

US-China tariff history affected apparel and cotton trade; Section 301 raised tariffs on textiles and apparel during 2018-2019 (USTR) [96]

US raised tariffs on Chinese textiles and apparel up to 25% in 2019 (USTR) [96]

EU’s Common Customs Tariff affects imports of cotton and yarn; MFN tariff rates vary, but cotton yarn can face rates around 0-12% (TARIC) [97]

WTO reports that average tariff rates have fallen globally, enabling increased globalization of textile trade (WTO) [98]

WTO estimates that the share of global trade under preferential agreements reached about 50% by 2019 (WTO) [99]

In 2022, global cotton exports were valued at about USD 14-15 billion (ITC) [100]

In 2022, cotton lint export quantities globally were about 9 million tonnes (UN Comtrade/ITC) [100]

In 2022, the top cotton exporters included India, USA, Brazil, and Australia (ITC/TradeMap) [100]

In 2022, the top cotton importers included China, Bangladesh, Turkey, Vietnam, and Pakistan (ITC/TradeMap) [100]

Cotton trade is typically in HS code 5201 (cotton, not carded or combed), and HS code 5205/5206 for thread/yarn (WCO) [101]

Global spinning mills often source yarn internationally; yarn trade is substantial; HS 5205 imports exceed tens of millions of US dollars annually (UN Comtrade) [102]

US cotton lint exports were 12.9 million bales in 2022/23 (USDA) [103]

US cotton lint exports were 16.7 million bales in 2021/22 (USDA) [103]

Brazil cotton lint exports were 10.2 million bales in 2022/23 (USDA) [103]

Australia cotton lint exports were 3.0 million bales in 2022/23 (USDA) [103]

Egypt cotton lint exports were 4.0 million bales in 2022/23 (USDA) [103]

China cotton imports were 11.0 million bales in 2022/23 (USDA) [104]

Bangladesh cotton imports were 3.8 million bales in 2022/23 (USDA) [104]

Vietnam cotton imports were 1.0 million bales in 2022/23 (USDA) [104]

Turkey cotton imports were 1.4 million bales in 2022/23 (USDA) [104]

Pakistan cotton imports were 3.2 million bales in 2022/23 (USDA) [104]