Energy crunch tightens cotton outlook

CAREY – Cotton prices have continued their upward trend as geopolitical tensions in the Middle East spill over into energy markets, raising production costs for growers and mills and adding a fresh layer of volatility to fibre sourcing strategies.

Higher oil prices are also pushing up polyester values, with prices rising about $0.10 per pound in most major producing countries, narrowing the price gap between synthetics and cotton.