Exports dominate demand for U.S. cotton

U.S. cotton mill use peaked in the mid-1990s as the 10-year phase-out of textile and apparel import quotas that existed under the international Multifiber Arrangement began. Increased U.S. imports of those cotton products followed and contributed to reduced U.S. mill use but fostered U.S. exports of raw cotton. Exports now account for more than 85 percent of overall demand for U.S. cotton, compared with less than 40 percent in the 1990s, and mill use is at historically low levels. The United States is the second largest global cotton exporter behind Brazil. Vietnam, Pakistan, and China are the leading destinations for U.S. cotton exports.