Australian Cotton Shipments Focus On India As Duty-Free Window Narrows
The Australian cotton industry is heading into the final quarter of 2025 with ginning operations across key growing regions expected to conclude during October. With the harvest largely completed and classing nearly finished, attention has now shifted to merchant activity as exporters move unsold stocks into global markets.
India has emerged as the most active destination for Australian cotton so far, though exporters are racing against time as the current duty-free import exemption in India is scheduled to end on December 31. Traders say the narrowing shipping window may influence shipment pace in the coming weeks.
Beyond India, global demand signals remain subdued. Spinners continue to operate cautiously, purchasing limited quantities amid persistent macroeconomic uncertainty, steady global supply conditions and ongoing speculative pressure on cotton futures. Prices have continued to hover steadily in the 65–70 cent range, with market participants indicating that momentum has remained flat for several months.
Meanwhile, the Australian Cotton Shippers Association (ACSA) has launched four new sector-focused committees aimed at improving coordination and supply chain efficiency across classing, freight, ginning and sustainability. The new frameworks are designed to streamline data flows, address logistics pressure points, support workforce development and enhance traceability to meet evolving market expectations.
Industry leaders have also urged wider awareness around the growing environmental concerns associated with microplastics, encouraging stakeholders to highlight cotton’s natural fibre advantages to audiences beyond the textile sector.
ACSA Chair Cliff White said the priority continues to be maintaining Australia’s reputation for high-quality cotton while working collaboratively to strengthen supply chain resilience.
