Cotton Futures Market: Q2 2026 Scenario Analysis and Global Supply Contraction Risk
The contraction in global cotton harvest estimates is creating upward momentum across raw material markets and yarn price indices in Q2 2026.
ICE Cotton futures are trading at 82.45 cents/lb in Q2 2026. Market analysts expect a supply contraction following drought reports in India.
India Monsoon Impact
According to early forecasts released by the India Meteorological Department, the 2026 summer monsoon could remain below normal levels. Water scarcity concerns are mounting across the cotton-growing regions of Maharashtra and Gujarat.
Turkey Cotton Balance
Turkey consumes approximately 900,000 tons of cotton annually. Domestic production hovers around 850,000 tons. This shortfall keeps Turkey reliant on imports from the US, Brazil, and Greece.
The contraction in global cotton harvest estimates is creating upward momentum across raw material markets and yarn price indices in Q2 2026.
