Global Market Report: Cotton

The report examines the global cotton market, highlighting a shift toward voluntary sustainability standards (VSSs) which grew from 1% of production in 2009 to 14.1% in 2016. It identifies significant sustainability challenges, including high water and pesticide use, price volatility, and labor abuses. The document argues that VSSs like BCI, CmiA, Organic, and Fairtrade are essential for mitigating these risks and improving livelihoods for the 100 million farmers globally. It specifically identifies Mali and Burkina Faso as having high potential for VSS growth among Low Human Development Countries.

• Cotton production compliant with voluntary sustainability standards (VSSs) saw significant growth between 2009 and 2016, increasing from 1% to at least 14.1% of total global production. In 2016, VSS-compliant cotton was valued at USD 7.5 billion, with a compound annual growth rate (CAGR) of approximately 48% from 2009 to 2016, while conventional production decreased by 0.58% over the same period.
• The cotton sector is characterized by severe environmental and social sustainability challenges. Environmentally, it is water-intensive, with over half of cotton land irrigated by often inefficient methods, and it accounts for 16% of global insecticide and 6.8% of herbicide applications. Socially, the sector has documented cases of slave labour, child labour, and low wages, alongside a dependency on genetically modified (GM) seeds that can increase farmer debt.
• Cotton supports the livelihoods of up to 1 billion people, including 100 million farmers and 250 million processing workers. Approximately 90% of these farmers operate on less than 2 hectares of land and are located in developing countries, primarily in Africa, Southeast Asia, and Central and West Asia.
• Global cotton supply faced a deficit of approximately 1.5 million tonnes in 2018, a trend expected to continue until at least 2025. This shortage was driven by adverse weather, water scarcity, and pests in the US, India, and China, and was further complicated by US-China trade tensions and the COVID-19 pandemic, which disrupted sowing and labour availability in India.
• Among Low Human Development Countries (LHDCs), Mali and Burkina Faso are identified as having the most significant prospects for expanding VSS-compliant cotton production based on their share of total production, existing VSS presence, and HDI values. They are followed by Nigeria, Benin, and Sudan.
• The adoption of VSSs is driven by consumer preferences for eco-friendly products in Europe and the United States, as well as brand efforts to mitigate reputational and supply risks. Major brands like Nike, H&M, and Adidas have set sustainable sourcing commitments, with some aiming for 100% sustainable sourcing by 2020 or 2025.

APA

Voora, V., Larrea, C., & Bermudez, S. (2020). Global Market Report: Cotton. International Institute for Sustainable Development. https://www.iisd.org/system/files/publications/ssi-global-market-report-cotton.pdf

Chicago

Voora, Vivek, Cristina Larrea, and Steffany Bermudez. Global Market Report: Cotton. International Institute for Sustainable Development, 2020. https://www.iisd.org/system/files/publications/ssi-global-market-report-cotton.pdf.

Wikipedia

{{cite report |last1=Voora |first1=Vivek |last2=Larrea |first2=Cristina |last3=Bermudez |first3=Steffany |title=Global Market Report: Cotton |publisher=International Institute for Sustainable Development |date=June 2020 |url=https://www.iisd.org/system/files/publications/ssi-global-market-report-cotton.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{voora2020global, author = {Voora, Vivek and Larrea, Cristina and Bermudez, Steffany}, title = {{Global Market Report: Cotton}}, institution = {International Institute for Sustainable Development}, year = {2020}, month = jun, url = {https://www.iisd.org/system/files/publications/ssi-global-market-report-cotton.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }