The national cotton market in Brazil is experiencing a price rebound in November after closing October on a downward trend, according to the Center for Advanced Studies in Applied Economics (Cepea) from Esalq/USP.
As of November 5th, the Cepea/Esalq indicator placed cotton prices at R$ 4.0087 per pound, marking a 1.91% increase since the start of the month. By comparison, October ended with a 2.14% decline, at R$ 3.9335 per pound.
Cepea research indicates that sellers are focusing on fulfilling forward contracts for cotton lint, with significant attention on new export programs. These contracts primarily involve the 2023/24 crop, alongside anticipated exports from the 2024/25 harvest.
According to the Foreign Trade Secretariat (Secex), Brazilian cotton exports reached 257.2 thousand tons by October 25th, potentially setting the highest monthly volume for the year (previously 258.2 thousand tons in February). Over the past 12 months, Brazil has exported a record-breaking 2.7 million tons of cotton.
