The 2009/2010 season which finished on 31 July 2010, was characterised with a 6% drop of cotton production (22 mln tonnes), improving economic situation in the world textile-clothing branch and the 4% (24.5 mln tonnes) increase of cotton consumption resulting from it as well as with a significant rise of cotton prices on world market. Due to a limited supply, world prices of medium staple cotton rose as much as by 49% since August 2009 until July 2010. Even more – by 60% – the export prices of cotton yarns rose last season. Shortage of cotton in the world markets was particularly well visible during last three months of the 2009/210 season.
Insufficient cotton supply will continue until September – October 2010, i. e. until the moment when greater cotton quantities from the new crop enter the market.
In the just started 2010/2011 season, after 4 years of drops, the world cotton production may rise even by 14% – up to the level of 25 mln tonnes due to extension of the growing area. Cotton production will rise at most in the USA – as much as by 44% (3.8 mln tonnes), in India by 8% (5.5 mln tonnes), in Pakistan by 8% (2,2 mln tonnes), as well as in Brazil, Uzbekistan, Turkey, Australia, Greece, and West Africa. Cotton harvest in China is planned on the level of hardly 7.1 mln tonnes what will force China to import ca. 2.7 mln tonnes of fibre in 2010/2011. It is estimated that the world consumption (processing) of cotton will rise this season by ca. 2% – up to the volume of 24.9 mln tonnes while the shares of China and India in the world cotton consumption will rise up to 57%. Thanks to the possible balance between the supply and demand for cotton in the 2010/2011 season, average cotton prices should be a little lower than those in the previous season.