Brazil Cotton Prices Rise To Multi-Month High On Strong Global Demand
Cotton prices in Brazil have climbed to their highest nominal level since late July 2025, supported by firmer global prices, limited seller participation, and rising crude oil values, according to the latest update from the Center for Advanced Studies on Applied Economics (CEPEA).
The CEPEA/ESALQ cotton index (eight-day payment) reflects tightening market conditions during the offseason, with spot trading activity remaining subdued and only a limited number of deals reported. Buyers, meanwhile, are facing difficulties passing on higher raw material costs to yarn and downstream textile products, which has curbed procurement appetite.
On the supply side, Brazil exported more than 2.6 million tonnes of cotton between August 2025 and April 2026. While this is about 7% lower than the 2.84 million tonnes shipped in the previous full season, export flows remain strong by historical standards. On a rolling 12-month basis, shipments reached a record 3.09 million tonnes through April (partial data).
Market analysts say domestic price strength is being driven by elevated international cotton prices, reduced willingness among sellers to offer discounts during the offseason, and support from higher crude oil prices, which continue to influence global fibre and synthetic textile markets.
Overall, the Brazilian cotton market remains firm, with tight supply conditions and resilient export demand shaping price trends.
