Cotton producers face hard choices

Nearly 400 Texas cotton producers and professionals gathered for the Plains Cotton Growers’ annual meeting this week with concerns about the upcoming planting season.

Texas is the top producer of cotton in the United States, and the High Plains region accounts for two-thirds of production. According to Texas A&M AgriLife, 2025 saw Texas farmers planting less acres – the fifth lowest year. With severe financial challenges, low cotton prices and weather factors, producers planted about 15.8% less in acreage than in 2024. Other factors contributing to the decline were shifts toward other crops such as sorghum and corn.

According to Texas A&M AgriLife, input costs are expected to continue to rise and will likely outweigh revenue. Farmers are facing significant fertilizer and fuel costs, largely due to the Iran war and tariffs. The reduction is particularly steep in West Texas, which is experiencing a contraction in the industry's infrastructure, including the closure of, or lack of business for, many cotton gins.

In significant dry, windy weather in key areas like the Texas Panhandle, is creating high early-season abandonment risks. The expected harvested area is around 7.1 million acres, producing approximately 12.7 million bales.

Nationally, U.S. producers have shown intent to slightly increase acreage in 2026. U.S. cotton growers intend to plant 9.0 million cotton acres this spring, down 3.2 percent from 2025, according to the National Cotton Council’s 45th Annual Early Season Planting Intentions Survey.

The cotton industry overall is facing intense competition from, and contamination by, oil-based synthetic fibers like polyester, which offer lower prices and high market share in the apparel industry. The industry is combating this trend by highlighting plasticfree, sustainable, and biodegradable cotton benefits against microfiber pollution.

The National Cotton Council has launched initiatives like 'Plant Not Plastic' to raise awareness about the benefits of natural fiber and fight the environmental and health impacts of microplastics. Polyester is the most used fiber in apparel and is significantly cheaper, allowing it to take market share from cotton, especially in a slow economy.

U.S. cotton product exports were 4 percent lower in calendar year 2025 at 2.1 million bale equivalents. Meanwhile, U.S. domestic consumption of cotton (mill use plus net textile trade) in calendar year 2025 is estimated marginally lower at 17.4 million bale equivalents, compared with 17.5 million bale equivalents in 2024. U.S. per capita cotton consumption in calendar year 2025 is estimated at 24.5 pounds, compared with approximately 25 pounds in 2024.