Cotton imports by Bangladesh are projected to rise by 1.2 per cent year on year (YoY) to 8.2 million bales in marketing year 2025-26 (MY26), and the United States is losing its market share in cotton exports to the country amid concerns about logistics and long shipment duration, according to a recent report by the US Department of Agriculture (USDA).
West African countries and Brazil gained market share in cotton exports, USDA said in its ‘Cotton and Products Annual report’ released last month end.
Bangladesh's millers imported 7.8 million bales of cotton in MY24. Of that, the share of US cotton was 9 per cent. In MY23, the share of cotton imported from America was 10 per cent.
During the first seven months of MY25, importers in Bangladesh bought 286,056 bales of cotton from the United States. The amount was only 6 per cent of the total cotton imports, down from 11 per cent during the same period a year ago.
The West African countries collectively supplied 1.9 million bales, 41 per cent of Bangladesh's total imports during the first seven months of this MY, the USDA said.
As a single country, Brazil emerged as the major raw cotton supplier to Bangladesh during this period, it said. Brazil exported 970,487 bales, comprising 20 per cent of the market share, followed by India with 887,600 bales and a 19-per cent share.
"Spinners prefer to buy Brazilian cotton due to its competitive pricing, increased availability during the harvesting season, and supply stability. The shipment period is also shorter for Brazilian cotton as it is often sold while it is afloat," the report noted.
Citing industry contacts, the report said Bangladesh’s readymade garments sector has shown resilience and growth despite recent political upheavals that led to the ouster of Sheikh Hasina's government in August last year. The unrest led to factory shutdowns and a decline in international work orders. However, the industry has rebounded.
"With law and order restored, international clothing brands have resumed placing new orders since mid-January 2025, fostering optimism among garment exporters, with an increase in work orders from early 2025 boosting the demand for cotton," USDA observed.
"As the RMG industry is expecting a resurgence in work orders, the demand for raw materials, including cotton, will increase," it added.
