Cotton

Cotton, the fabric of our lives

Cotton is an important means of livelihood for millions of smallholders, providing employment and income and attracting export revenues to some of the poorest countries. This sector is key to contributing to the achievement of the 2030 Agenda for Sustainable Development and its Sustainable Development Goals (SDGs).

Commodity in focus

Cotton is the most important natural fibre due to its rapid growth rate and wide range of applications in apparel and home furnishings. Demand for cotton is a derived demand, as it depends on the global demand for textile products. Competition from substitutes, such as polyester and other synthetic fibres, also influences the performance of the sector. Over the last decade, textile utilization rose steadily and is mainly driven by population and income growth in developing countries, particularly in Asia. Moreover, demand for natural fibres has expanded quite markedly in recent years, reflecting a growing trend for sustainability.

Publications

Recent trends and prospects in the world cotton market and policy developments

12/09/2020

The cotton sector contributes significantly to the economies of a number of developing countries, as well as to the livelihoods of millions of rural smallholders worldwide. In 2019, world production of cotton was valued at about USD 46 billion, while global trade reached USD 15 billion. Moreover, the cotton industry employs an estimated 150 million people across 75 countries, making the cotton sector an important contributor to the achievements of the 2030 Agenda for Sustainable Development. Understanding the drivers of the cotton market and identifying the challenges and opportunities that lie ahead is key, given the socio-economic significance of the sector. The mobilisation of innovative technologies and resources is vital to ensure that the sector remains viable and sustainable. As FAO Director-General QU Dongyu highlighted during the World Cotton Day event held at the WTO headquarters in October 2019, it is critical that the sector meets the highest standards of sustainability at all stages of the value chain. It is time to do things differently: to explore innovative approaches and new ideas aimed at pro-poor outcomes.

Guide For Decision Makers

01/01/2010

This guide draws on the lessons learned in the framework of the project “Increasing incomes and food security of small farmers in West and Central Africa through exports of organic and fair-trade tropical products, implemented by FAO in Burkina Faso, Cameroon, Ghana, Senegal and Sierra Leone from September 2005 to September 2009, with funds provided by the German Government. For more information on this project, consult its website at . This guide was developed for farmer organizations and companies wishing to export organic and fair-trade certified products, as well as for organizations providing them with support services.

Did you know?
Takeaways

	The largest cotton producing countries are China and India, followed by the United States of America and Brazil.
	Around 80 percent of cotton is used in apparel, 15 percent in home furnishings and the remaining 5 percent in mostly non-woven applications, such as filters and padding.
	Many countries implement policies and programmes to support the cotton sector, including direct support paid to producers, border protection, crop insurance subsidies and price support mechanisms.
	The cost pressure on manufacturers throughout the apparel value chain is leading to consolidation in textile and apparel production among countries and companies.
	World Cotton Day (WCD) is celebrated on the 7th of October, and it represents an opportunity to promote cotton, share knowledge and showcase cotton-related activities and products.

	Cotton contributes significantly to the economies of many developing countries and to the livelihoods of millions of rural smallholders worldwide.
	The performance of the cotton sector is influenced by cotton policies and programmes implemented at the country level.
	Cotton faces a number of challenges such as climate change, low productivity, and the price-cost squeeze faced by actors along the value chain.
	Mobilizing innovative technologies and resources is vital for the viability and sustainability of the sector.