Brazil cotton prices firm in May; CONAB sees record 2024-25 output
Brazilian cotton prices stayed firm in May amid limited supply and sellers holding quotes due to low stocks and global trends. CEPEA Index rose 0.7 per cent to BRL 4.4176 (~$0.782) per lb. Exports fell 34 per cent MoM to 157.7 kilo tons. Cumulative 2024-25 exports reached 2.54 million tons, down 5 per cent. CONAB forecasts record output of 3.9 million tons, with higher area but slightly lower yield.
The CEPEA/ESALQ Index rose 0.7 per cent between April 30 and May 30, settling at BRL 4.4176 (~$0.782) per pound.
Despite strong domestic prices, Brazil's cotton exports dropped to 157.7 thousand tons in the first 16 days of May—down 34 per cent from April and 31.2 per cent year-on-year. Cumulative exports in the 2024-25 season (August to May) totalled 2.54 million tons, 5 per cent below the previous season, the CEPEA said in its latest fortnightly report on the Brazilian cotton market.
Meanwhile, Brazil's national supply agency CONAB forecasts a record cotton output of 3.9 million tons for the 2024-25 crop, up 5.5 per cent from 2023-24. While planted area is projected to increase by 7.2 per cent to 2.084 million hectares, productivity is expected to decline slightly by 1.6 per cent to 1,874 kg/ha.
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