Brazil: Cotton and Products Update

In 2024, Brazil surpassed the United States in cotton production and exports for the first time on record. Brazil's MY2024/25 planted area is also estimated to reach a new record. Favorable prices compared to corn as well as lower production costs have boosted cotton's profitability, making it the preferred choice for second crop planting. MY2024/25 domestic consumption is estimated by Post at 3.2 million bales (697 thousand MT), with exports forecasted at 12.6 million bales (2.7 MMT) due to higher global imports and consumption and reduced production in India. Post forecasts ending stocks at 4.6 million bales (about 1 MMT) in MY 2023/24, largely due to high exports.