Australia’s cotton export market faced a significant downturn in the first seven months of 2025, spanning January to July 2025.

The average price for Australia’s cotton exports declined to $1.81 per kg during this period, representing a 35.7 per cent contraction since 2022. This decline is a part of a consistent trend, following prices of $2.82 per kg in 2022, $2.52 per kg in 2023, and $2.09 per kg in 2024.

Compared to the average price of $2.17 per kg during the same period in 2024, the Y-o-Y reduction reflects both suppressed global consumption and competitive pressure from rival suppliers like the US and Brazil.

Consequently, the total export value declined by 46.3 per cent to $594.3 million. In terms of volume, exports slipped by 16.5 per cent to 327.6 million kg, down from 392.2 million kg in the first seven months of the previous year.

This drop in volume was primarily caused by a smaller domestic crop due to adverse weather in some growing regions, compounded by slower purchasing activity from major international buyers. Despite these challenges, Asia remains the primary destination for Australia’s cotton, with China leading the export share at 35.4 per cent, followed by Bangladesh, Vietnam, India, and Indonesia.