NASHVILLE, TENN. (RFD NEWS) — Cotton producers enter the 2026 season facing another year of negative margins, but tightening global supplies could eventually stabilize prices.
Economists at the National Cotton Council say the industry is coming off a fourth consecutive year of unfavorable returns, driven by weak demand and high production costs. The group projects U.S. cotton acreage at 9.0 million acres, down 3.2 percent, and production of roughly 12.7 million bales after abandonment.
Farm-Level Takeaway: Smaller supplies could support cotton prices despite weak demand.
Tony St. James, RFD NEWS Markets Specialist
Domestic textile use remains weak, with U.S. mills expected to consume 1.55 million bales, slightly below last year. However, exports are projected to rise as global consumption increases to 120 million bales while world production declines to 114.1 million bales. As a result, U.S. ending stocks are forecast to fall to 3.5 million bales, and global stocks outside China are forecast to drop to their lowest level since 2016.
Trade policy and global economic growth remain major uncertainties for the export-dependent cotton sector.
Agricultural irrigation return flow exemption and “Maui factors” are the topics of today’s Firm to Farm blog post by RFD-TV ag tax and legal expert Roger McEowen with Kansas’ Washburn School of Law.
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“It is very unclear of what President Trump is looking to do in the long-term here.”
Ag Secretary Brooke Rollins told RFD-TV’s Kirbe Schnoor what steps the Administration might take to alleviate water issues (i.e. enlarging dams, building more reservoirs).
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“That’s just one of the big drawbacks to living where we do is we just don’t have a lot of options and cotton is just about our only way of life.”
February 28, 2025 11:07 AM
Here are the top agriculture news headlines from RFD-TV News today (Thursday, Feb. 27, 2025) and the top trending stories on RFD-TV News.
February 27, 2025 06:06 PM
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RFD-TV Ag Law & Tax Expert Roger McEowen outlines the top ten agricultural law and taxation topics from 2024 that will impact farmers and ranchers the most in 2025.
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