Forecast: The Global Cotton Price May Be Halved By The End Of 2011

    It estimated by the International Cotton Advisory Board that the global cotton price may be halved by the end of 2011. It is because the high cotton price will make the presents increase the cultivated areas, and the average cotton price may be 1 USD per pound in 2011/2012.

    The cotton futures in ICE Futures Exchange closed at 1.944 USD on March 28. In the past 6 mouths, the cotton futures price almost doubled because of the reduction of cotton output in China and Pakistan and so on and the increasing demands. The cotton price in ICE futures market increased to 2.197 USD per pound, which had reached a new historical record.

    It is estimated by the USDA that the global cotton output will reach 0.1275 billion packs in 2011/2012 which is the highest in history. The cotton cultivated areas in the USA in 2011/2012 will increase 20%.

    The analysts estimated that the American cotton cultivated areas will reach 13,136,000 acres, which increased 20% compared to 10,970,000 acres in last year.