Australia’s cotton industry continues to supply international markets, with crop quality and changing global fibre markets contributing to demand from manufacturers, according to Nutrien.
While Australia accounts for a relatively small share of global cotton production, Nutrien said the industry’s combination of crop quality, farming efficiency and improved sustainability practices has helped support its position in international markets.
Nutrien Market Insights Lead Ethan Woolley said manufacturing demand could benefit from tighter global cotton supply and changes in competing fibre markets.
“Expectations of tighter global supply and the rapid increase in synthetic and alternative fibre prices are also supporting manufacturing demand for cotton,” Woolley said.
Gunnedah cotton grower and Nutrien customer James Barlow, who has grown cotton for 10 years, said the crop had contributed to his business through its fit with his irrigation program and the opportunity to grow winter crops in the same year.
“The return margins have been good and the weed control it brings has also been great to clean up some of the tough weeds,” Barlow said.
The Australian Cotton Shippers Association (ACSA) reported average yields of around 12–14 bales per hectare in 2026, with warm and dry autumn conditions contributing to picking conditions across growing regions.
“Quality continues to be a standout and grade continues to be as good as we have ever seen,” the ACSA said. ACSA Chair Arther Spellson described the 2026 crop as “one of the highest-quality Australian cotton crops ever produced”.
Nutrien said global pricing had been affected by strong supply in recent seasons, while reduced planted area and production could provide support for prices through the remainder of 2026 and beyond.
Woolley said climate variability remained a challenge for growers, while improvements in water efficiency would remain important to the industry.
Sustainability and traceability are also increasingly relevant to cotton markets. Australian cotton has been subject to environmental assessment since 1991, while each bale carries a unique barcode allowing it to be traced to its gin and growing area.
Nutrien Gunnedah Agronomist Mark Goddard said the industry had made progress in sustainability and water use while continuing to increase yields.
“The cotton industry is one that is probably envied against others in Australia in the fact that it’s kicked so many goals in and around sustainability and water usage with yields still increasing,” Goddard said.
“It’s a small industry here in Australia with a smaller number of growers but it’s very proactive and it doesn’t walk away from challenges.”
