Brazil cotton prices see sharpest rise since August 2022
By yash chouhan 2026-04-03 14:50:36
Brazil cotton prices post sharpest rise since August 2022 in March
Brazil’s cotton prices climbed sharply in March 2026, marking the strongest monthly increase since August 2022. The CEPEA/ESALQ Index surpassed BRL 3.91 per pound, driven by firm demand, sellers holding back from lower price offers, and supportive global market trends.
The index rose 11.2% percent the month, closing at BRL 3.9173 per pound on March 31. Domestic prices were further boosted by rising international oil prices and higher freight costs, which added upward pressure, according to the Center for Advanced Studies on Applied Economics (CEPEA).
On average, the index reached BRL 3.6463 per pound in March, up 3.58% from February. Despite the recent gains, inflation-adjusted prices were still 11.35% lower than in March 2025.
Looking ahead, global cotton production for the 2026–27 season is projected at 25.11 million tonnes—slightly higher than earlier estimates but still below the 2025–26 level. Meanwhile, global consumption is expected to increase to 25.405 million tonnes, pointing to modest growth in demand.
In Brazil, cotton output is forecast at 3.75 million tonnes for 2026–27. Production for the current 2025–26 season has been slightly revised downward to 3.795 million tonnes, according to CEPEA’s latest outlook.
