EUR/US$ 1.1554
Cotton Rally Holding at Midday
Barchart: Cotton futures were up 70 to 107 points in the front months at Wednesday's midday, with crude oil slipping 87 cents per barrel and the US dollar index down $0.124. The NOAA 7-day forecast points to continued dryness across most of Texas, with only light totals expected in the Gulf and up to an inch of rain in parts of Georgia. The Cotlook A Index rose 90 points on Tuesday to 93.70 cents, while ICE certified stocks fell 1,739 bales on August 4 to 84,632 bales. The Adjusted World Price held at 64.66 cents/lb, good through Thursday. October was at 82.2 (+107), December at 83.16 (+70), and March at 84.88 (+83).
Source: Barchart
Stronger Demand and Overseas Gains Support Cotton Prices in Brazil
DatamarNews (via Cepea/Esalq): Brazilian cotton lint prices remained firm, supported by stronger buyer activity in the spot market and gains in international prices. On July 28, the Cepea/Esalq cotton indicator stood at R$4.1626 per pound, up 0.96% for the month. Buyers are seeking to rebuild inventories, while sellers — especially of higher-quality lots — are holding firm on asking prices, and some buyers have shown greater flexibility, helping support the recovery. Liquidity remains limited by disagreements between buyers and sellers, while still-moderate sales of finished textile goods are keeping mills cautious about new cotton lint purchases.
Source: DatamarNews
Farmers Told to Improve Cotton Quality
Daily News (Tanzania): Tanzania Cotton Board urged farmers in Mwanza to prepare their farms early and follow quality standards, since over 70% of the country's cotton lint is exported. Board official Dotto Ntumba said quality has been declining due to farmers and buyers mixing cotton with foreign materials such as water and sand, causing more than 75% of Tanzanian lint to sell at discounted prices internationally. Tanzanian cotton is graded into seven categories, with TANG and GANY+1/2 commanding premium prices and GANY serving as the world market benchmark; grades below GANY sell at a discount. Ntumba said the Nane Nane agricultural exhibitions provide a key opportunity to educate farmers on how contamination affects the prices they receive.
Source: Daily News (Tanzania)
Kenya: A New Harvest of Hope — Bt Cotton Revives Lamu
AllAfrica: Bt cotton is reviving the industry in Lamu County, Kenya, which now produces about 60% of the country's cotton. County officials say yields have jumped from 300-500 kg per acre with conventional varieties to over 1,500 kg per acre with pest-resistant Bt cotton, and farmer numbers have grown from under 3,000 before 2019 to more than 15,000 today. Production reached about 3.2 million kg last season, with a target of 9 million kg this season. Lamu supplies six ginneries, with a new Thika Cloth Mill facility expected to process about 56 tonnes of seed cotton daily. The minimum farm-gate price is set at Ksh72/kg, though Bt seed remains costly at Ksh4,000-4,500/kg, and limited availability continues to constrain wider adoption.
Source: AllAfrica
