As we enter the second half of the year, the International Cotton Advisory Committee (ICAC) has released updated projections for the 2025/26 global cotton season, with production expected to reach 26 million tonnes and consumption slightly trailing at 25.7 million tonnes. Encouragingly for sourcing brands, global trade is forecast to rebound by 2%, reaching 9.7 million tonnes.
This global market stability is positive news for Australian cotton, which plays a trusted role in premium and traceable supply chains around the world.
While production forecasts are trending upward for countries like Brazil, the U.S., and West Africa, these gains are likely to be offset by a modest decline in China’s output. China is projected to produce 6.3 million tonnes in 2025/26 - slightly down on this season, but still the world’s largest producer.
On the demand side, mill use is projected to remain cautious, as global consumption continues to be influenced by trade tariffs, regulatory pressures, and competition from other fibres. That said, global trade is expected to increase, supported by carryover stocks and steady demand from mills.
For Australian cotton growers and the brands that rely on them, this signals a market environment that continues to value reliability, quality, and traceability - all areas where Australian cotton stands out.
As trade flows shift and sourcing landscapes evolve, Cotton Australia remains committed to providing insights that help brands stay ahead and make informed fibre choices.
June 2025