COTTON RELATED EXTRACTS FROM WASDE - May 11, 2010

COTTON:  The 2010/11 U.S. cotton projections include higher

supplies offset by higher exports relative to last season, resulting in

marginally lower ending stocks.  Production is projected at 16.7

million bales, which is based on the March 31 Prospective Plantings,

combined with 7-percent abandonment and a yield of 815 pounds per

harvested acre.  Projected abandonment is reduced from the 10-year

average of 11 percent due to unusually favorable soil moisture in

Texas.  Domestic mill use is projected at 3.3 million bales, a marginal

reduction from 2009/10.  Exports are projected to rise 1.5 million

bales from 2009/10 to 13.5 million, as foreign demand is expected to

outpace supply.  Ending stocks are projected at 3.0 million bales, the

lowest since 1995/96.  The projected range for the marketing-year

average price received by producers is 60 to 74 cents per pound.

World cotton production is projected to rise nearly 11 million bales in

2010/11, but supplies will increase less than 1 percent from last

season owing to sharply lower beginning stocks.  Production is

expected to rise in nearly all cotton-producing countries, with the

United States, India, Brazil, and Pakistan accounting for about 70

percent of the increase.  World consumption is projected to rise 2.8

percent, supported by economic recovery while at the same time

constrained by limited supplies.  An increase in China’s imports to

11.5 million bales is boosting world trade.  With a slight increase in

production and declining stocks, China will need to rely on imports to

sustain a projected 3 percent increase in consumption.  World ending

stocks are projected to decline 2.6 million bales to 50.1 million.  The

stocks-to-consumption ratio of 42 percent is the lowest since

1994/95.

Revisions to the 2009/10 balance sheets show higher beginning

stocks, higher production, and lower consumption, resulting in an

increase of 1.8 million bales in world ending stocks.  China accounts

for most of the increase, due to higher production and imports. 

China’s production is raised 1.0 million bales based on reported

higher production for Xinjiang; imports are raised 500,000 bales

reflecting activity to date.  Consumption is reduced for Pakistan,

Turkey, and the United States, but is raised for India and Vietnam. 

U.S. 2009/10 production is raised 38,000 bales consistent with

NASS’s final production estimate.  The forecast range for the

marketing-year average price received by producers is lowered 1 cent

on the upper end of the range.

                                 WASDE-482-17                    May 2010

                          U. S. Cotton Supply and Use 1/

===============================================================================

                           :         :         :      2010/11  Projections

        Item               : 2008/09 : 2009/10 :===============================

                           :         :   Est.  :                         May

===============================================================================

                           :               Million acres

Area                       :                           

  Planted                  :   9.47       9.15                         10.51 *

  Harvested                :   7.57       7.53                          9.83 *

                           :

                           :                   Pounds

Yield per harvested        :

    acre                   :    813        777                           815 *

                           :

                           :             Million 480 pound bales

                           :

Beginning stocks 2/        :  10.05       6.34                          3.10

Production                 :  12.82      12.19                         16.70

Imports                    :   0.00       0.01                          0.00

  Supply, total            :  22.87      18.53                         19.80

Domestic use               :   3.59       3.40                          3.30

Exports                    :  13.28      12.00                         13.50

  Use, total               :  16.86      15.40                         16.80

Unaccounted 3/             :  -0.33       0.03                          0.00

Ending stocks              :   6.34       3.10                          3.00

                           :

Avg. farm price 4/         :   47.8  61.5-64.5                     60.0-74.0

===============================================================================

1/ Upland and extra-long staple; marketing year beginning August 1.  Totals may

not add due to rounding.  2/ Based on Bureau of Census data.  3/ Reflects the

difference between the previous season's supply less total use and ending

stocks based on Bureau of Census data.  4/ Cents per pound for upland cotton. 

* Planted area as reported in March 31 "Prospective Plantings." Projected

harvested area is based on the 2000-2009 average abandonment, weighted by

region and adjusted to reflect unusually favorable soil moisture in the

Southwest.  Projected yield per harvested acre is based on 2005-2009 average

yields, weighted by region.

                                 WASDE-482-26                    May 2010

                         World Cotton Supply and Use 1/

                             (Million 480-pound bales)

================================================================================

                      :          Supply         :       Use      :      :

        Region        :=========================:================: Loss : Ending

                      :Beginning:Produc-:Imports:Domestic:Exports:  2/  : stocks

                      :  stocks : tion  :       :        :       :      :

================================================================================

                      :

                      :                      2008/09

                      :

World                 :   62.89  107.46    30.04  109.74    30.16  -2.67  63.16

United States         :   10.05   12.82       3/    3.59    13.28  -0.33   6.34

Total foreign         :   52.83   94.64    30.04  106.15    16.88  -2.33  56.82

  Major exporters 4/  :   18.81   42.36     1.54   26.83    13.93  -0.19  22.15

   Central Asia 5/    :    2.42    7.12     0.01    1.60     4.45   0.00   3.49

   Afr. Fr. Zone 6/   :    0.67    2.41       3/    0.19     2.20   0.00   0.70

   S. Hemis. 7/       :    8.30    8.68     0.31    5.52     4.60  -0.20   7.38

    Australia         :    0.60    1.50       3/    0.05     1.20  -0.07   0.93

   Brazil             :    6.25    5.48     0.05    4.20     2.74  -0.15   4.99

   India              :    6.63   22.60     0.80   17.75     2.36   0.00   9.92

  Major importers 8/  :   32.11   49.51    26.03   75.04     1.88  -2.15  32.88

   Mexico             :    0.93    0.57     1.32    1.85     0.18   0.03   0.76

   China              :   20.50   36.70     7.00   44.00     0.08  -2.25  22.37

   EU-27 9/           :    0.67    1.23     0.96    1.14     1.01   0.05   0.65

   Turkey             :    2.15    1.93     2.92    4.90     0.14  -0.09   2.05

   Pakistan           :    5.39    9.00     1.95   11.25     0.38   0.03   4.69

   Indonesia          :    0.39    0.03     2.00    2.00     0.02   0.05   0.35

   Thailand           :    0.32      3/     1.60    1.60     0.00   0.03   0.29

   Bangladesh         :    0.62    0.04     3.80    3.75     0.00   0.01   0.70

   Vietnam            :    0.25    0.01     1.23    1.25     0.00   0.00   0.24

                      :

                      :                 2009/10 (Estimated)

                      :

World                 :   63.16  102.91    34.62  115.89    34.59  -2.55  52.75

United States         :    6.34   12.19     0.01    3.40    12.00   0.03   3.10

Total foreign         :   56.82   90.72    34.61  112.49    22.59  -2.58  49.65

  Major exporters 4/  :   22.15   42.56     1.50   28.77    19.21  -0.19  18.41

   Central Asia 5/    :    3.49    6.22     0.01    1.69     5.94   0.00   2.10

   Afr. Fr. Zone 6/   :    0.70    2.16       3/    0.19     2.16   0.00   0.51

   S. Hemis. 7/       :    7.38    9.25     0.34    5.70     4.47  -0.20   7.01

    Australia         :    0.93    1.60       3/    0.04     1.78  -0.07   0.79

   Brazil             :    4.99    5.85     0.10    4.40     1.90  -0.15   4.79

   India              :    9.92   23.50     0.60   19.50     6.20   0.00   8.32

  Major importers 8/  :   32.88   45.58    30.46   79.47     2.24  -2.39  29.61

   Mexico             :    0.76    0.42     1.50    1.90     0.10   0.03   0.66

   China              :   22.37   32.50    10.00   47.50     0.03  -2.50  19.84

   EU-27 9/           :    0.65    1.01     0.89    0.98     1.06   0.05   0.46

   Turkey             :    2.05    1.75     3.60    5.30     0.15  -0.08   2.03

   Pakistan           :    4.69    9.80     1.70   11.25     0.75   0.03   4.16

   Indonesia          :    0.35    0.03     2.10    2.05     0.02   0.05   0.36

   Thailand           :    0.29      3/     1.80    1.78     0.01   0.03   0.29

   Bangladesh         :    0.70    0.05     4.00    4.00     0.00   0.01   0.74

   Vietnam            :    0.24    0.02     1.70    1.60     0.00   0.00   0.36

================================================================================

1/ Marketing year beginning August 1.   Totals may not add exactly and trade

may not balance due to rounding and other factors.   2/ Generally reflects

cotton lost or destroyed in the marketing channel; for Australia, Brazil,

China, and the United States, reflects the difference between implicit stocks

based on supply less total use and indicated ending stocks.  3/ Less than

5,000 bales.  4/ Includes Egypt and Syria in addition to the countries and

regions listed.  5/ Azerbaijan, Kazakhstan, Kyrgyzstan, Tajikistan,

Turkmenistan, and Uzbekistan.  6/ Benin, Burkino Faso, Cameroon, Central

African Republic, Chad, Cote d'Ivoire, Mali, Niger, Senegal, and Togo.  7/

Argentina, Australia, Brazil, Paraguay, South Africa, Tanzania, and Zimbabwe.

8/ In addition to the countries and regions listed, includes Hong Kong, Japan,

Russia, South Korea, and Taiwan. 9/ Includes intra-EU trade.

                                 WASDE-482-27                    May 2010

                         World Cotton Supply and Use 1/

                             (Million 480-pound bales)

================================================================================

                      :          Supply         :       Use      :      :

        Region        :=========================:================: Loss : Ending

                      :Beginning:Produc-:Imports:Domestic:Exports:  2/  : stocks

                      :  stocks : tion  :       :        :       :      :

================================================================================

                      :

                      :                 2010/11 (Projected)

World                 :

             May      :   52.75  113.88    35.73  119.08    35.72  -2.58  50.13

United States         :

             May      :    3.10   16.70       3/    3.30    13.50   0.00   3.00

Total foreign         :

             May      :   49.65   97.18    35.73  115.78    22.22  -2.58  47.13

  Major exporters 4/  :

             May      :   18.41   46.85     1.43   29.94    18.63  -0.19  18.30

   Central Asia 5/May :    2.10    6.84     0.01    1.73     5.45   0.00   1.76

   Afr. Fr. Zn. 6/May :    0.51    2.61       3/    0.19     2.38   0.00   0.56

   S. Hemis 7/    May :    7.01   10.82     0.30    5.95     4.68  -0.20   7.69

    Australia     May :    0.79    2.00       3/    0.04     1.85  -0.07   0.97

   Brazil         May :    4.79    6.80     0.09    4.60     2.00  -0.15   5.23

   India          May :    8.32   25.00     0.63   20.40     5.70   0.00   7.85

  Major importers 8/  :

             May      :   29.61   47.58    31.69   81.60     2.44  -2.39  27.22

   Mexico         May :    0.66    0.55     1.60    1.90     0.20   0.03   0.69

   China          May :   19.84   33.00    11.50   49.00     0.03  -2.50  17.82

   EU-27 9/       May :    0.46    1.33     0.84    0.93     1.21   0.05   0.44

   Turkey         May :    2.03    2.10     2.70    5.40     0.15  -0.08   1.36

   Pakistan       May :    4.16   10.50     1.90   11.40     0.70   0.03   4.44

   Indonesia      May :    0.36    0.03     2.20    2.10     0.02   0.05   0.42

   Thailand       May :    0.29      3/     1.80    1.78     0.01   0.03   0.28

   Bangladesh     May :    0.74    0.05     4.25    4.25     0.00   0.01   0.78

   Vietnam        May :    0.36    0.02     1.78    1.80     0.00   0.00   0.35

================================================================================

1/ Marketing year beginning August 1.   Totals may not add exactly and trade

may not balance due to rounding and other factors.   2/ Generally reflects

cotton lost or destroyed in the marketing channel; for Australia, Brazil,

China, and the United States, reflects the difference between implicit stocks

based on supply less total use and indicated ending stocks.  3/ Less than

5,000 bales.  4/ Includes Egypt and Syria in addition to the countries and

regions listed.  5/ Azerbaijan, Kazakhstan, Kyrgyzstan, Tajikistan,

Turkmenistan, and Uzbekistan.  6/ Benin, Burkino Faso, Cameroon, Central

African Republic, Chad, Cote d'Ivoire, Mali, Niger, Senegal, and Togo.  7/

Argentina, Australia, Brazil, Paraguay, South Africa, Tanzania, and Zimbabwe.

8/ In addition to the countries and regions listed, includes Hong Kong, Japan,

Russia, South Korea, and Taiwan. 9/ Includes intra-EU trade.

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