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Smaller Cotton Crop Seen in 2009-10
WASHINGTON - May 12/09 - SNS -- Slightly lower production and higher consumption will combine to reduce world stocks in 2009-10, according to the latest supply and demand forecasts from the USDA's World Agricultural Outlook Board.
Next season's world production is forecast at 106.5 million bales, 1.3% below the current season, as decreases in China, Central Asia, and Brazil are anticipated to more than offset increases in India, Australia, and the United States.
World consumption is projected at 113.5 million bales, a growth rate of just over 3%, reflecting both a modest recovery in world economic growth and a replenishment of cotton and yarn inventories held by mills.
World trade is expected to rise 15%, owing partly to increased imports by China. World ending stocks are projected to fall 7%.
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