USDA – Cotton and Wool Outlook, Mar 2026

This report provides an outlook for cotton and wool, focusing on cotton projections for the 2025/26 marketing year.

Global cotton ending stocks are forecast at 76.4 million bales, nearly 4% above the previous year and the highest since 2019/20. The increase is due to relatively unchanged world mill use and increased global cotton production. Global cotton production is projected to increase by 2.1% to 121.0 million bales, the second-highest in over a decade. World cotton mill use is expected to decrease slightly by 0.3% to 118.6 million bales. Global cotton imports are forecast at 43.9 million bales, with significant increases for India and smaller gains for China, offset by declines in Bangladesh and Pakistan. Brazil and the United States are leading global cotton exporters, accounting for 60% of global cotton trade in 2025/26. U.S. cotton production is estimated at 13.9 million bales, slightly below the previous year and near the 3-year average. U.S. cotton supply totals 17.9 million bales, the highest in 3 years. U.S. cotton demand is projected at 13.6 million bales, the lowest since 2015/16. U.S. cotton mill use is forecast at 1.6 million bales, the lowest in over 145 years.