Latest figures from the International Cotton Advisory Committee (ICAC) show, water availability and related environmental challenges are affecting the cotton sector negatively. The ICAC figures indicate demand for cotton is strong, with consumption projected to increase by 4 per cent to reach an all-time high of 27.5 million tonnes in 2018/19. But the area under cotton cultivation in 2018/19 is projected to decrease in major producing countries including India (11.9 million hectares, down 3 per cent) and the USA (4.25 million hectares, down 5 per cent) although it is likely to remain stable in China at 3.3 million hectares.

Less-than-ideal environmental conditions and a lack of available water are projected to cause a reduction in planted area for many of the world’s top producers in 2018/19.

Global production of cotton has increased 16 per cent to 26.87 million tonnes in 2017/18, with increases expected from all major producers: India, China, USA, Brazil, Pakistan, West Africa, Turkey, Australia and Uzbekistan. Those increases, however, are the result of expanded plantings and favorable weather conditions, as global yields posted a marginal increase of 1 per cent.

Global production for the 2018/19 season, according to is currently projected at 25.9 million tonnes, which would represent a 4 per cent decrease. Global consumption, on the other hand, is currently projected to increase 4 per cent to 27.5 million tonnes.