Despite the uptick in activity, most sellers maintained a focus on fulfilling term contracts for both domestic and international markets. According to the Brazilian Cotton Producers Association (ABRAPA), 77.2 per cent of Brazil’s cotton production had been processed by November 7. This progress allowed well-capitalised producers to hold out for improved trading conditions before selling their stocks, CEPEA said in its latest fortnightly report on the Brazilian cotton market.
Between October 31 and November 18, the CEPEA/ESALQ Cotton Index (8-day payment) saw a slight decrease of 0.66 per cent, closing at BRL 3.9077 (~$0.68) per pound on November 18.
Brazil’s cotton trade gained pace in mid-November, driven by strong demand for year-end and inventory replenishment, but prices remained subdued as buyers offered lower rates than sellers’ expectations.
While trading activity grew, sellers prioritised fulfilling term contracts, with 77.2 per cent of production processed by November 7, 2024.
Fibre2Fashion News Desk (KD)
