Apparel / Textiles & Accessories

Foreign news on August 14th, Brazil's cotton production should increase by 13-19% from the previous year, returning to the speed before the new crown epidemic, which is encouraging news for Brazil and the world.

Brazil's cotton production has doubled in five years, but the pandemic has disrupted production in the country due to a drop in global textile demand.

This year's trend in production growth should cement Brazil's position as the world's fourth-largest cotton producer and second-largest exporter. Brazil's cotton production was 3 million tons in 2019 and 1.5 million tons in 2017. Cotton production in 2022 is expected to be 2.6-2.8 million tons.

The quality of Brazilian cotton is also attracting overseas interest. Mainly the Asian market, which is also the largest concentration of the garment industry.

About 84% of the cotton in Brazil is printed with the "sustainable cotton" logo. The mark means that 178 quality requirements must be met - including social, economic and environmental aspects.

Although production is expected to increase this year, productivity is not optimal. More than 90% of farms rely on rain, but it does not appear in sufficient quantities in a timely manner.

The average cotton yield per hectare this year is lower than in 2021, when the acreage was lower than this year.

The Brazilian Association of Cotton Producers (Abrapa) plans to plant 1.7 million hectares in 2023, surpassing the record acreage in 2019.

Júlio Cézar Busato, president of Abrapa, said: "The pandemic has caused the industry to shrink. It is a very difficult decision. Despite the record production, the cotton that has been sold is sitting in the warehouse and no one is there to transport it. We have to determine the next year. sowing."

The growth in cotton production in recent years can be attributed to three main reasons. Although more difficult and more expensive to grow, it is more profitable than soybeans.

Producers take about a year from seeding to getting paid for selling their products. It will take a wait, but they think the income will pay off. One hectare of cotton is as profitable as four hectares of soybeans.

Another reason is increased demand. The textile industry will recover and continue to grow as work-from-home is reduced and social and social activity resumes globally. There is also a practical reason. Cotton requires a lot of pesticides to make the land more suitable for the crops that are sown next.

About 65 percent of Brazil's cotton is planted for the second crop, between soybeans and corn. This is why yields are highest in regions where these crops dominate low levels, such as Mato Grosso, Goias, Bahia.