·
World
Trade Organization members met in Geneva on 4 May 2026 to review:
o global cotton market trends,
o development assistance,
o trade-related issues,
o and investment opportunities in the cotton
sector.
·
The
meetings followed the high-level cotton event held during:
o 14th WTO Ministerial Conference (MC14) in
Cameroon.
·
Discussions
involved WTO members, international organizations and the Cotton-4+ (C-4+) countries:
o Benin,
o Burkina Faso,
o Chad,
o Mali,
o Côte d'Ivoire.
·
WTO
Deputy Director-General Jean-Marie Paugam emphasized that the time is ripe for:
o attracting investment into cotton
processing and value addition in Africa.
·
The
C-4+ countries aim to:
o mobilize USD 5 billion over the next 10 years,
o and create approximately 500,000 jobs in the
cotton sector.
·
Support
is expected through:
o the Partenariat
pour le Coton (PPC)
initiative.
·
DDG
Paugam urged development of a:
o two-year workplan,
o defining roles of financial and
development partners.
According
to the International Cotton Advisory Committee (ICAC):
·
Global
cotton production is projected at:
o 25.9 million tonnes
·
Global
cotton consumption is projected at:
o 25.2 million tonnes
·
Cotton
trade is expected to decline:
o by 2.7%
to 9.6 million tonnes
·
Ending
cotton stocks are projected to rise:
o by 4%
to nearly 18 million
tonnes
·
China
alone is expected to hold:
o about 10 million tonnes of cotton stocks.
Members
highlighted several challenges affecting cotton producers, especially in
Africa:
·
Rising
energy costs due to the Middle East conflict.
·
Lower
fertilizer availability.
·
Pest-related
crop damage.
·
Political
instability and unrest in the Sahel region.
·
Investment
and infrastructure constraints.
Countries
including:
·
China
and
·
India
shared
updates on South-South cooperation initiatives in the cotton sector.
·
ICAC
presented findings on:
o carbon sequestration in cotton
cultivation,
o and opportunities for farmers to earn
additional income through carbon credits.
·
Benin
highlighted sustainable farming methods such as:
o crop rotation,
o and use of biochar to improve soil carbon
retention.
·
Food
and Agriculture Organization announced that:
o World Cotton Day 2026 will be held on:
§ 7 October 2026
§ in Tashkent.
·
ICAC
announced the first:
o Global Cotton and Textiles Investment
Summit
o to be held in Tashkent from:
§ 19–21 November 2026.
·
The
summit is expected to:
o include over 20 countries,
o attract 800+ participants,
o and showcase investment opportunities in
cotton and textiles.
Financial
institutions including:
·
African
Export-Import Bank (Afreximbank),
·
International
Islamic Trade Finance Corporation (ITFC),
·
and
African Development Bank (AfDB)
outlined
financing support for cotton-sector projects in Africa.
·
A new
investment portal:
o AfricaTextileInvest-CottonPartnership.com
aims to connect investors with African cotton projects.
·
The
C-4+ countries expressed disappointment over:
o the lack of substantive cotton-related
outcomes at MC14.
·
Ali
Sarfraz Hussain stated that:
o consultations on agriculture negotiations,
including cotton, have resumed,
o with at least one negotiating meeting
planned before the summer break.
·
The
WTO Secretariat stressed the importance of:
o public-private partnerships in developing
Africa’s cotton and textile industries.
·
FIFA
announced support through its:
o Football
for Schools
programme.
·
FIFA
plans to distribute:
o 75,000 T-shirts and polo shirts
o produced in Benin using West African
cotton.
WTO
members reviewed global cotton market trends and the path ahead for the cotton sector
at meetings in Geneva on 4 May. The meetings follow the high-level cotton event
at the 14th WTO Ministerial Conference (MC14) in Cameroon in March. Delegations
noted commitments announced at MC14 to invest in African countries moving up the
cotton value chain and stressed the vital contribution of cotton to international
trade and its potential to foster sustainable development.
Deputy
Director-General Jean-Marie Paugam welcomed members and observers to WTO headquarters
in Geneva for the first of two sessions. Discussions in the morning focused on development
assistance to the cotton sector, while those in the afternoon considered trade-related
developments. Both meetings are part of a series of consultations organized biannually
by the WTO, with participation from other international organizations. WTO members,
including the Cotton 4+ countries (Benin, Burkina Faso, Chad, Mali and Côte d'Ivoire),
updated each other on latest developments in the cotton sector.
Referring
to investment plans announced at MC14 by Afreximbank, the International Islamic
Trade Finance Corporation (ITFC) and ARISE IIP, DDG Paugam noted that the time is
ripe for attracting investment in cotton processing activities. Recalling the C-4+
vision of mobilizing USD 5 billion over the next 10 years to create around 500,000
decent jobs, he encouraged C-4+ countries to act decisively on mobilizing the required
resources, with the support of the Partenariat pour le
Coton (PPC). Developing a two-year workplan defining the complementary roles of
partners would be key in guiding efforts and ensuring results for beneficiary countries,
he said.
DDG
Paugam also welcomed the presentation by the International Cotton Advisory Committee
(ICAC) on carbon sequestration in cotton cultivation, and on opportunities for farmers
to raise income using carbon credits.
Global cotton market outlook
On
emerging challenges, members learned about the latest developments in cotton-producing
countries, as well as new challenges facing the cotton sector in C-4+ countries.
Members,
including China and India, took the floor to share their activities within the framework
of South-South cooperation. Several noted the impact of the ongoing conflict in
the Middle East, which has caused a rise in energy costs and a drop in fertilizer
availability. They also noted that crop protection from pests, and political unrest
in the Sahel region and other regions in Africa were also hurting the African cotton
industry.
The
ICAC also provided an overview of the global cotton market for the 2026-27 season.
World cotton production is projected to reach 25.9 million tonnes, surpassing consumption
which is projected to be 25.2 million tonnes. Both production and consumption projections
are expected to be very close to the current season. Trade is projected to be 2.7%
lower in the 2026-27 season at 9.6 million tonnes while ending stocks are expected
to be 4% higher at almost 18 million tonnes, including 10 million tonnes in China.
The
ICAC also provided its latest data on the level of governmental support provided
to cotton production, based on its methodology which differs from that used by the
WTO. These data confirmed the inverse relationship between the level of support
and the level of international cotton prices.
Cotton events scheduled for
2026
The
United Nations Food and Agriculture Organization (FAO) announced that the 2026 World
Cotton Day will take place on 7 October in Tashkent, Uzbekistan. The event aims
to boost visibility of the cotton sector and promote investment in African cotton
through the work of the PPC as well as to encourage discussion of climate challenges
to cotton.
The
ICAC made a presentation on the first-ever Global Cotton and Textiles Investment
Summit to be held in Tashkent, Uzbekistan on 19-21 November 2026. The event, which
is organized by the International Cotton Advisory Committee (ICAC), will bring together
over 20 countries, and is expected to host pavilions showcasing investment opportunities
for 800+ participants.
The
C-4+ countries and other WTO members expressed support for the cotton sector, focusing
on the importance of job creation, economic diversification, de-risking investments,
tailored cooperation, and the elaboration of regional strategies. Delegations also
discussed industrialization, global value chain integration, investment clarity,
and progress on regional development projects.
Other issues
The
C-4+ countries voiced their deep disappointment over the lack of outcomes from MC14
on agricultural issues, especially regarding cotton. The Chair of the WTO agriculture
negotiations, Ambassador Ali Sarfraz Hussain of Pakistan, informed members that
he had started consulting informally with members on how to resume the discussions
in the agriculture negotiations, including cotton. His intention is to hold at least
one meeting of the agriculture negotiating body before the summer break.
The
United Nations Industrial Development Organization (UNIDO) briefed members on key
outcomes and the way forward following the high-level cotton event at MC14. It updated
participants on efforts by the ITFC, Afreximbank and the African Development Bank
(AfDB) to mobilize capital, including through the newly launched AfricaTextileInvest-CottonPartnership.com
portal, which seeks to pair potential investors with cotton projects in Africa.
The
financial partners, including Afreximbank, the ITFC and the AfDB, provided updates
on their financing mechanisms and outlined the concrete actions they are undertaking
to support the work of the PPC. The ICAC shared a presentation about carbon sequestration
in cotton cultivation and opportunities for farmers to raise income using carbon
credits. Benin also pointed out that African farmers use various methods to increase
carbon sequestration, including crop rotation and returning biochar to the soil.
The
WTO Secretariat noted the importance of public-private partnerships in supporting
the development of Africa's cotton and textile sector. FIFA's Football for Schools programme will encourage
the use of C-4+ cotton for apparel, and plans to distribute 75,000 T-shirts and
polo shirts designed and made in Benin from cotton grown in West Africa.