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2026.04.0215:26:42UTC+00Cotton Futures Pick Up

Cotton futures climbed above 71 cents per pound, reaching their highest level since October 2024, propelled primarily by firmer oil prices amid renewed concerns over a prolonged war involving Iran. In a televised address, US President Trump offered few specifics on resolving the conflict and instead pledged further military action against Iran, heightening fears of sustained disruptions to global oil supplies. Higher crude oil prices make polyester—cotton’s main synthetic substitute—more expensive, thereby supporting stronger demand for cotton.

Meanwhile, the International Cotton Advisory Committee (ICAC) forecasts that global cotton production will fall by 4% to 24.9 million tonnes in 2026–27, while consumption is expected to remain broadly stable at around 25 million tonnes. The anticipated drop in output is linked to lower prices, weakening demand, and reductions in planting by major producers such as Brazil and Australia, as well as US farmers shifting acreage toward more profitable crops like corn and soybeans.

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