At a Glance
- U.S. cotton industry is targeting new Asian markets to counter synthetic fiber competition.
- U.S. Cotton Trust Protocol provides traceability and sustainability verification for brand compliance.
- Proposed Buying American Cotton Act would offer tax credits for using U.S. cotton domestically.
U.S. cotton has lost market share to synthetic fibers such as polyester, which are becoming the primary fiber and clothing of choice. In response, the U.S. cotton industry is mounting a counteroffensive to turn the tide.
“We know there is an urgent call to action with what’s gone on in the industry over the last four years with pricing, the cost to farm and demand,” said Liz Hershfield, Cotton Council International (CCI) executive director and U.S. Cotton Trust Protocol co-director. “So we are hitting it from all avenues, and we have a great sense of urgency to do that.”
Part of the industry’s counterattack is identifying and creating new markets. Hershfield cited Indonesia — a country with the world’s fourth-largest population, 70% of which is under age 30 — as an example. U.S. products are in high demand in the Southeast Asian nation, Hershfield said, and the country would buy U.S. cotton “all day long if it was available all the time.”
“They’re very dynamic and very digital,” she told Farm Press during the Plains Cotton Growers’ annual meeting. “They’re consumers and [fast] growing. It’s a great opportunity for us.”
One potential growth area is within modest fashion. Being a primarily Muslim country, many Indonesian women wear hijab or Islamic clothing, which require 4 to 6 yards of fabric. Other common pieces of Islamic clothing include an overhead drape called a khimar and a dress called an abaya. Hershfield noted that these garments tend to be made from synthetic fibers.
In January 2025, the U.S. partnered with an Indonesian fashion designer to host a modest fashion show featuring U.S. cotton at an Indonesian cotton and food promotion event.
“The product was amazing. It was so modern,” Hershfield said. “It’s hot in Indonesia and a lot of other countries where these populations generally reside. So we have a huge opportunity to target those purchasers with the message that they should be choosing cotton and U.S. cotton and the companies that are producing that product and getting U.S. cotton into that product.”
Another potential market is Bangladesh, a country where apparel is its largest export and business. Hershfield listed logistical challenges, payment terms, letters of credit and infrastructure as items that need to be reconciled.
“But there’s a lot of opportunity and excitement in the textile and apparel industry out of Bangladesh in starting to consume more U.S. cotton in order to get some trade benefit,” she said, adding that Latin America and Egypt also show growth potential.
Traceability
Traceability and sustainability are key to expanding the U.S.’ market position. The vehicle with which to do that is through the U.S. Cotton Trust Protocol, CCI’s traceability and sustainability program.
Farmers are already farming sustainably, Hershfield noted. “Our cotton growers are the most sustainable in the world.”
It’s the traceability that’s become a global hot point. The U.S. Cotton Trust Protocol provides “article-level traceability, with a USDA connection, providing for a robust inventory ledger that doesn’t allow double counting of bales. This is critical when considering compliance with current and upcoming legislation,” Hershfield said.
Last year, the protocol also launched a regenerative pilot, the Field Partner Program, designed to verify, track and scale regenerative farming practices.
“I think what we’ll start seeing is more value coming to the growers and being able to connect them with brands and drive demand through it all,” she said.
On the brand side, Hershfield said the trust protocol has a reputation as the “premiere place to be, so that’s important because that’s where the demand starts.”
Domestic demand
Although the U.S. textile industry has been decimated by globalization, Hershfield said CCI is focused on providing services to brands looking to manufacture in the United States.
“One of the things we’re doing is establishing a sourcing list that will evolve into an interactive website that brands can visit to find out where they can make their product,” she said. “We can take them on visits. We can show where they can source it in the U.S.”
Beyond infrastructure support, legislative approval of the Buying American Cotton Act, a proposed bill that will provide tax credits to brands and retailers that use U.S. cotton in their products, would strengthen domestic demand.
“If the Buying American Cotton Act passes, then making products in the U.S. using U.S. fabric will be a top-tier tax credit,” Hershfield said.
The trust protocol will provide the traceability infrastructure that brands and retailers will need to qualify for those tax incentives.
“As we think about the Buying American Cotton Act, we’re seeing a lot of folks interested in joining the U.S. Cotton Trust Protocol, which is really the gold standard in traceability and sustainability for the industry,” Hershfield said. “It is going to allow folks who are a part of it, these brands, to claim tax credits back, but you have to have digital traceability, and the trust protocol is the best out there.”