The September 2026 edition features five articles spanning production, trade, logistics, market risk, and policy in Brazil, Ethiopia, Iran, Africa, and the broader global cotton market.

Brazil: Competitiveness moves beyond the farm

“After the Gin: Where Brazil’s Cotton Competitiveness Is Actually Decided,” by Jonathan Valério

Brazil has emerged as a global cotton export leader following major advances in productivity, seed technology, crop management, and quality. But Mr Valério, Sales and Marketing Director at Magna Logistics Solutions, argues that maintaining that position increasingly depends on what happens after cotton leaves the gin.

Brazil exported 3.027 million tonnes of cotton in 2025 and is expected to reach a record 3.418 million tonnes in 2026. About 95% of the country’s cotton export volume currently moves through the Port of Santos, requiring between 110,000 and 120,000 containers annually. That concentration leaves exporters exposed to competition for trucks, port capacity, container availability, vessel delays, and other logistics costs.

The article explores opportunities to reduce those risks through greater use of the Port of Salvador for cotton produced in Bahia, earlier logistics planning, and contract provisions that better allocate the costs associated with rebooking and detention. Salvador is undergoing an expansion expected to double its container capacity.

Cotton prices at a crossroads

“Cotton at the Crossroads: A Broker’s Perspective on Price Risk and the 2026–27 Outlook,” by Valentin Olah

A second article examines a cotton market confronting conflicting signals: a tightening global balance sheet alongside increasingly available physical supplies from multiple origins.

Ms Olah, Senior Broker with the Global Cotton Desk at StoneX Financial Inc., notes that December 2026 cotton futures climbed from a life-of-contract low near 66 cents per pound to nearly 93 cents before retreating by roughly nine cents. USDA’s September projections put 2026/27 world production at 117.3 million bales and consumption at 122.9 million bales — a gap of 5.6 million bales.

The analysis also examines the increasingly complex relationship between cotton and polyester. Higher oil and synthetic-fiber feedstock costs could provide relative support for cotton, but higher prices throughout the textile supply chain also can restrain demand. Meanwhile, Brazil’s emergence as a major supplier has increased year-round cotton availability and reduced some of the traditional seasonal scarcity associated with US cotton.

The result is a market in which tighter fundamentals may support prices, but crop conditions, export demand, mill purchasing, speculative positioning, and competition from alternative fibers will determine how that potential translates into the futures market.

Ethiopia looks to turn cotton potential into production

“Ethiopia’s Cotton Sector: Weaving a Future from Vast Potential,” by Tsegaye Abebe

Ethiopia possesses an estimated 3 million hectares of land suitable for cotton production, but only a fraction of that potential has historically been cultivated. An article by Mr Abebe, Executive Director of the Ethiopian Cotton Association, examines efforts to expand production while building stronger connections between growers, ginners, and the domestic textile industry.

The country faces a substantial productivity gap. Ethiopian researchers have released 45 cotton varieties over the past 30 years, with experimental seed cotton yields reaching as high as 5,433 kg/ha. Commercial smallholder productivity, however, averages approximately 726 kg/ha.

Closing that gap will require improvements in irrigation, certified seed availability, extension services, quality management, and processing infrastructure. Ethiopia’s domestic textile mills already consume an estimated 55,000 tonnes of lint annually, providing a potential market for increased domestic production and value addition.

AGOA extended, but questions remain

“AGOA to 2028: Extension Without Full Reform,” by Lorena Ruiz

ICAC Economist Lorena Ruiz examines the latest extension of the African Growth and Opportunity Act (AGOA), which would continue duty-free access to the U.S. market through December 31, 2028. The legislation received overwhelming bipartisan support in both chambers of Congress and, as described in the article, awaits the President’s signature.

The article looks beyond the extension itself to unresolved questions surrounding the program, including eligibility requirements, rules of origin, and the relationship between US trade policy and efforts to build stronger textile and apparel industries in Africa. AGOA currently provides eligible sub-Saharan African countries with duty-free access for more than 1,800 tariff lines beyond those covered by the Generalized System of Preferences, with apparel among its most significant benefits.

Iran confronts production challenges while pursuing innovation

“Challenges, Opportunities and Innovations of Cotton Cultivation and Production in Iran,” by Mohammadreza Ramazani Moghaddam

The issue concludes with an article from by Mohammadreza Ramazani Moghaddam, examining cotton cultivation and production in Iran, exploring the challenges facing the sector as well as opportunities to strengthen productivity and sustainability through improved technologies and production practices.

To read the September 2026 edition of Cotton: Review of the World Situation, please click here.