Volume of cotton to be harvested in BR will be four times higher than estimated

O volume of cotton to be harvested in Brazil in the 2019/20 harvest will be four times higher than estimated for domestic demand – in 2018, production was three times above consumption and, until 2017, it corresponded to just over double. This means that Brazil has the conditions – and need – to meet the worldwide demand throughout the year.

Researchers from Cepea point out that this scenario is the result of the maintenance of the planted area with lint in the country. Even though the domestic prices of cotton lint in second half of 2019 were almost 20% lower than those recorded in the same period of 2018, according to Cepea research, the attractiveness of culture compared to competitors, investments in fixed assets (such as machines, equipment and processing plants) and anticipated contracts for 2020 and 2021 encourage producers.