SAN JOQUIN VALLEY, Calif. (RFD NEWS) — The U.S. cotton crop is doing well this year, but industry leaders warn marketing remains a concern.
Roger Isom, president and CEO of the California Cotton Ginners and Growers Association, says the market is showing some signs of improvement, but demand remains slow.
“It’s still slow. We have seen some indicators pick up. Both the upland prices and demand have come up. Pima is very slow, but we’ve seen some indication that demand is picking up a bit.”
Isom says Pima prices have improved but still have a long way to go.
“The price has picked up just a little bit, but it has a long way to go. I can’t pinpoint any one thing. We certainly, in terms of carryover, have brought that down; what’s left is really the lower-quality stuff.”
Isom says he expects demand for the new crop, particularly higher-quality cotton.
“So, I think there’s going to be demand for this new crop, especially the higher quality. So, we’ll have to wait and see. But I’m hoping we’re finally coming out of that rut we’ve been in and starting to come out for some better times, at least with a month to go. It’s looking better than it has.”
Analysts project the U.S. cotton price to rise about 22 percent this season. Planted acreage is also expected to increase by about 13 percent, to more than 10 million acres.
