A recently released report by USDA indicates, cotton plantation in the United States is likely to decrease by 2 per cent in 2019 with only around 13.78 million acres being planted. This is far below the previous market expectations of 15.2 million acres. Of the total plantation, Texas cotton planting area is only 7.314 million acres, a decrease of 454,000 acres compared with the same period last year.
Industry insiders note that American cotton farmers have been waiting for the Sino-US trade negotiations to end as the progress of negotiations have affected farmers' planting intentions. According to foreign analysts, the output of American cotton in 2019 is estimated to be about 22.19 million bales, an increase of 20.5 per cent over the same period of last year, which is the highest level since 2005/2006.