Brazil: Cotton production increases, exports expected to surge
The latest report by U.S. Agricultural Reference said that Brazil's cotton planted area in 2022/23 will be 1.65 million hectares, an increase of 1% year-on-year. Cotton yield is expected to be 1,715 kg/ha, a year-on-year increase of 6.1%. Due to the increase in yield per unit area, the total cotton output is expected to reach 2.83 million tons, a year-on-year increase of 7.6%.
According to the report, after the rapid expansion in the past few years, the current cotton acreage in Brazil continues to stabilize. Cotton farmers have comprehensively measured the benefits of cotton and other crops, the decline in profits and the increase in production costs, and they are still optimistic about the prospects for cotton production. manner. It is expected that most cotton farmers will maintain the current planting level next year, and some may slightly increase the planting area. Although cotton prices have fluctuated wildly, overall planting intentions remain positive.
Brazil's cotton exports will remain strong due to higher production, with exports expected to reach 2 million tons in 2022/23, a year-on-year increase of 19.5%, the report said. At the same time, the depreciation of the Brazilian real against the US dollar is also conducive to cotton exports. Traders reported that the export volume exceeded expectations, and the cotton for the 2022/23 season has not been planted and has been sold. According to statistics, Brazil will export more than 450,000 tons of cotton to China in 2021/22, almost double that of Vietnam.
Source: AgroPages
