Brazilian cotton exports are expected to reach around 455,000 tonnes in 2006, up from a projected 410,000 tonnes this year, the National Association of Cotton Exporters (ANEA) said on Friday. Last month exporters forecast 2006 exports at 415,000 tonnes. "The sector has already registered 100,000 tonnes of cotton shipments for 2006," the association's director Marco Antonio Aluisio said.
He said that export sales increased in the past 15 days due to a recovery in world cotton prices.
"Prices rose almost 5 percent triggering a new wave of export registration for 2006," he said, estimating that some 40,000 tonnes of cotton had been sold at between 53 and 55 cents per pound, fob Santos.
Prices are lower than a year ago but they are now higher than production costs.
The association raised its forecast for Brazilian cotton output in 2006 to 1.31 million tonnes, from 1.22 million tonnes previously. Output is expected to total 1.30 million tonnes this year.
China is expected to replace Indonesia as Brazil's main cotton export market this year.