U.S. export cotton prices have taken a large jump starting at the end of 2010 and continuing through this year. July exhibited the first decrease in price per kilogram for U.S. exports after a nine-month rising streak. August followed suit with July and also posted a slight decrease. Year-to-date, the average price of cotton exports per kilogram is $3.17, up from $1.77 for the same time period of last year; that’s a 78% increase in just one year! The graph below illustrates the upward turn in price per kilogram for U.S. exports, showing a slight plateau in recent months. The majority of U.S. cotton exports are destined for China, Turkey, Indonesia, and Thailand. In turn, these countries process the cotton, manufacture textiles, and then ship many of the products back to the U.S. as finished goods.
*Data is based on U.S. exports of Cotton, not carded or combed (HTS Code 5201.00).