COTTON: The 2015/16 U.S. cotton balance sheet shows marginally lower production relative to last month, with ending stocks unchanged. Production is reduced 57,000 bales, as decreases for the Southeast and Delta are mostly offset by an increase for the Southwest. Domestic mill use and exports are unchanged. The forecast range of 55 to 63 cents per pound for the marketing year average price received by producers is narrowed 1 cent on both ends, with the mid-point unchanged from last month at 59 cents.
This month’s 2015/16 world supply and demand estimates include lower production, consumption, and ending stocks. Forecast production is reduced for India, Pakistan, China, Greece, Mali, and Mexico, based on current indications of northern hemisphere harvest results. With consumption reduced mainly for China and Pakistan, total world consumption is now projected to grow a modest 1.1 percent this season. World ending stocks are projected at 106.1 million bales, nearly 6 million bales below the beginning level.