Increased World Cotton Supply

WASHINGTON - Dec 9/05 - SNS -- The world 2005-06 forecasts include modest increases in all categories, with total output now pegged at 112.28 million 480-pound bales, up from 111.71 last month, according to the latest report from the USDA's World Agricultural Outlook Board.

Beginning stocks are raised for India and Pakistan, due to prior year adjustments. World production is slightly higher, as increases for the United States, Pakistan, Australia, Syria, and Burkina Faso more than offset reductions for India, Turkey, and others.

Consumption is raised mainly in China, based on recent yarn production. World trade is also raised slightly as higher imports by China and Turkey are partially offset by lower imports by Pakistan. World ending stocks are forecast 1.5% above last month.

This month's U.S. forecasts for 2005-06 include higher production, exports, and ending stocks compared with last month. Production is raised 2% to a record 23.7 million bales, due mainly to increases for Texas and Georgia. Domestic mill use is unchanged and exports are raised 200,000 bales to a record 16.4 million bales. Ending stocks are raised 6% to 6.9 million bales.

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