MERCOSUR: Cotton Lint Market 2024

Cotton Lint Market Size in MERCOSUR

In 2022, the MERCOSUR cotton lint market increased by X% to $X for the first time since 2019, thus ending a two-year declining trend. Over the period under review, consumption showed a relatively flat trend pattern. The level of consumption peaked at $X in 2019; however, from 2020 to 2022, consumption remained at a lower figure.

Cotton Lint Production in MERCOSUR

In value terms, cotton lint production reduced slightly to $X in 2022 estimated in export price. Overall, production showed a modest expansion. The most prominent rate of growth was recorded in 2018 when the production volume increased by X% against the previous year. The level of production peaked at $X in 2019; however, from 2020 to 2022, production failed to regain momentum.

Brazil (X tons) constituted the country with the largest volume of cotton lint production, accounting for X% of total volume. Moreover, cotton lint production in Brazil exceeded the figures recorded by the second-largest producer, Argentina (X tons), sixfold.

From 2012 to 2022, the average annual growth rate of volume in Brazil amounted to X%.

The average cotton lint yield skyrocketed to X tons per ha in 2022, picking up by X% on 2021 figures. The yield figure increased at an average annual rate of X% over the period from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. The level of yield peaked at X tons per ha in 2020; however, from 2021 to 2022, the yield failed to regain momentum. Despite the increased use of modern agricultural techniques and methods, future yield figures may still be impacted by adverse weather conditions.

In 2022, approx. X ha of cotton lint were harvested in MERCOSUR; growing by X% against 2021. Overall, the harvested area, however, continues to indicate a relatively flat trend pattern. The most prominent rate of growth was recorded in 2019 when the harvested area increased by X% against the previous year. Over the period under review, the harvested area dedicated to cotton lint production reached the maximum at X ha in 2020; however, from 2021 to 2022, the harvested area remained at a lower figure.

Cotton Lint Exports

Exports in MERCOSUR

In 2022, overseas shipments of cotton lint decreased by X% to X tons, falling for the second year in a row after four years of growth. Over the period under review, exports, however, showed a buoyant expansion. The most prominent rate of growth was recorded in 2019 when exports increased by X%. The volume of export peaked at X tons in 2020; however, from 2021 to 2022, the exports failed to regain momentum.

In value terms, cotton lint exports rose notably to $X in 2022. Overall, exports, however, showed a resilient expansion. The pace of growth appeared the most rapid in 2019 with an increase of X% against the previous year. Over the period under review, the exports attained the maximum in 2022 and are likely to see gradual growth in the immediate term.

Exports by Country

Brazil prevails in exports structure, amounting to X tons, which was approx. X% of total exports in 2022. It was distantly followed by Argentina (X tons), creating a X% share of total exports.

Brazil was also the fastest-growing in terms of the cotton lint exports, with a CAGR of X% from 2012 to 2022. At the same time, Argentina (X%) displayed positive paces of growth. From 2012 to 2022, the share of Brazil increased by X percentage points.

In value terms, Brazil ($X) remains the largest cotton lint supplier in MERCOSUR, comprising X% of total exports. The second position in the ranking was held by Argentina ($X), with a X% share of total exports.

From 2012 to 2022, the average annual rate of growth in terms of value in Brazil amounted to X%.

Export Prices by Country

In 2022, the export price in MERCOSUR amounted to $X per ton, rising by X% against the previous year. Over the period under review, the export price showed a relatively flat trend pattern. As a result, the export price reached the peak level and is likely to continue growth in the immediate term.

Average prices varied noticeably amongst the major exporting countries. In 2022, amid the top suppliers, the country with the highest price was Brazil ($X per ton), while Argentina stood at $X per ton.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Argentina (X%).

Cotton Lint Imports

Imports in MERCOSUR

In 2022, supplies from abroad of cotton lint increased by X% to X tons, rising for the second year in a row after three years of decline. Overall, imports, however, recorded a slight contraction. The pace of growth appeared the most rapid in 2021 when imports increased by X%. Over the period under review, imports attained the peak figure at X tons in 2014; however, from 2015 to 2022, imports remained at a lower figure.

In value terms, cotton lint imports skyrocketed to $X in 2022. In general, imports enjoyed a modest increase. The most prominent rate of growth was recorded in 2021 when imports increased by X% against the previous year. Over the period under review, imports reached the maximum in 2022 and are expected to retain growth in the immediate term.

Imports by Country

Peru was the key importer of cotton lint in MERCOSUR, with the volume of imports recording X tons, which was approx. X% of total imports in 2022. It was distantly followed by Colombia (X tons) and Ecuador (X tons), together generating a X% share of total imports. Brazil (X tons) and Venezuela (X tons) held a little share of total imports.

Peru was also the fastest-growing in terms of the cotton lint imports, with a CAGR of X% from 2012 to 2022. At the same time, Ecuador (X%) displayed positive paces of growth. By contrast, Brazil (X%), Colombia (X%) and Venezuela (X%) illustrated a downward trend over the same period. While the share of Peru (X p.p.) and Ecuador (X p.p.) increased significantly in terms of the total imports from 2012-2022, the share of Venezuela (X p.p.) and Colombia (X p.p.) displayed negative dynamics. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Peru ($X) constitutes the largest market for imported cotton lint in MERCOSUR, comprising X% of total imports. The second position in the ranking was taken by Colombia ($X), with a X% share of total imports. It was followed by Ecuador, with a X% share.

In Peru, cotton lint imports expanded at an average annual rate of X% over the period from 2012-2022. The remaining importing countries recorded the following average annual rates of imports growth: Colombia (X% per year) and Ecuador (X% per year).

Import Prices by Country

In 2022, the import price in MERCOSUR amounted to $X per ton, growing by X% against the previous year. Import price indicated a pronounced increase from 2012 to 2022: its price increased at an average annual rate of X% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, cotton lint import price increased by X% against 2020 indices. As a result, import price attained the peak level and is likely to continue growth in the immediate term.

There were significant differences in the average prices amongst the major importing countries. In 2022, amid the top importers, the country with the highest price was Peru ($X per ton), while Venezuela ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Colombia (X%), while the other leaders experienced more modest paces of growth.

Source: IndexBox Platform

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