COTTON AND WOOL OUTLOOK                                    November 12, 1998
November 1998, CWS-0598
               Approved by the World Agricultural Outlook Board
-------------------------------------------------------------------------------------------------- 
COTTON AND WOOL OUTLOOK is issued five times a year by the Economic 
Research Service, U.S. Department of Agriculture, Washington, DC 20036-
5831.  Electronic release only; no printed copies available.  
---------------------------------------------------------------------------------------------------
U.S. Cotton Production 30 Percent Below 1997/98

Based on USDA's November survey of the U.S. cotton crop, 1998 production is
forecast at 13.23 million bales, only slightly below October's projection but 30
percent below 1997/98. In addition, the latest U.S. crop estimate is the
smallest since 1989. Upland production is forecast at 12.8 million bales, while
the extra-long staple (ELS) crop is projected at 446,000 bales. During the past
10 years, the November forecast has been below final production six times and
above four times. Past differences between the November forecast and the final
production estimate indicate that chances are two out of three for the 1998 U.S.
cotton crop to range between 12.9 and 13.6 million bales.

Compared with last year, upland production is lower in each region. The largest
decrease is in the Southwest, where upland production is forecast to fall 2.2
million bales from last season to 3.1 million, the result of record-high
abandonment rates. Texas' production estimate of 3 million bales is the smallest
since 1989, and Oklahoma's 125,000-bale crop is the smallest of the century.

In the Delta, production is expected to reach only 4.2 million bales, the lowest
since 1989, but it will remain the largest producing region in the United
States. The Southeast crop is projected to approach 3.5 million bales, the
smallest since 1993. Likewise, the upland crop in the West has been reduced to
1.9 million bales, about 1.5 million below the 5-year average for the region. In
addition to upland, ELS production is expected to fall from a year ago. Based on
the November survey, the ELS crop is projected to decline 19 percent from
1997/98. 

While total area planted to cotton (12.9 million acres) is 7 percent below 1997,
projected harvested area has dropped below 10.4 million acres, a national
abandonment rate of nearly 20 percent. As a result of weather problems across
the Cottonbelt this season, the U.S. abandonment rate is the highest reported
since 1933 when the rate reached 27 percent. Based on the harvested area, the
1998 national yield is placed at 612 pounds per acre, 68 pounds below 1997.

Despite the late harvest of the crop out West, the early completion of much of
the Southwest crop has helped push the U.S. harvest progress ahead of the 5-year
average. Arizona, New Mexico, and California, in particular, are lagging behind
their averages, while Texas and Oklahoma are well ahead of their "normal"
harvest progress. As of November 8, 75 percent of the cotton crop was harvested,
compared with an average of 69 percent. In addition, over 55 percent of this
season's estimated production had been ginned as of November 1. Nearly 7.4
million running bales have been ginned according to the Cotton Ginnings report
as of November 1, compared with 7.9 million ginned in 1997/98, or about 45
percent of that year's crop.

Based on the November production forecast, carryin stocks of 3.9 million bales,
and estimated raw cotton imports of 300,000 bales, total U.S. supply for the
1998/99 marketing year is projected at only 17.4 million bales, the lowest since
1984. As a result of the lower crop prospects and rising textile imports, total
use is projected to decline substantially from last season; both cotton exports
and mill use are forecast to fall. Total U.S. cotton demand is estimated to
reach only 15.1 million bales in 1998/99, 20 percent (3.8 million bales) below
1997/98.

Using these supply and demand estimates, U.S. cotton ending stocks for 1998/99
are projected to decline 1.6 million bales from the beginning level to 2.3
million. While actual stocks are projected at recent historically low levels,
the implied stocks-to-use ratio for 1998/99 is above 15 percent, two percentage
points above the 1994/95 season. With lower demand expected this season and
the likelihood of raw cotton imports both before and after July 31, 1999, larger
carryover supplies are not needed to bridge the gap to next season's harvest.


U.S. Mill Use To Decline This Season

In 1998/99, U.S. mill use is expected to fall 7 percent from 1997/98 to 10.6
million bales. The realization of reduced U.S. supplies, slower growth in the
U.S. economy, and the continued influx of relatively cheap cotton textile and
apparel imports into the United States are likely to weigh on domestic mill use
throughout the season. Census mill use data for the first two months of
1998/99 reveal the pace of U.S. mill consumption is running at a seasonally
adjusted annual rate of about 10.7 million bales. Actual consumption is reported
at 1.8 million bales, compared with 2 million last season at this time.

Foreign Cotton Consumption and Production Smaller in 1998/99

Foreign cotton consumption is expected to reach 76 million bales in 1998/99,
while foreign production is forecast to reach 70.5 million bales. Compared with
a month earlier, the consumption forecast is virtually the same as in October,
but production is forecast 1 million bales lower. Foreign consumption and
production in 1998/99 are each forecast below the year before: consumption 1
million bales lower, and production about 2 million bales lower.  Consumption is
expected to decline in part due to the lingering effects of Asia's financial
problems, and the reduced foreign production outlook mainly reflects smaller
crops in China and Uzbekistan.

World cotton trade is expected to reach 25 million bales in 1998/99, while
foreign exports are forecast to reach 20.5 million bales. Compared with a month
earlier, the world trade forecast is the same as in October, but foreign exports
are forecast 200,000 bales lower. World trade in 1998/99 is forecast below the
year before, while foreign exports are higher:  world trade is 1.3 million bales
lower, and foreign exports are up 1.7 million bales. All of this year's increase
in foreign exports can be attributed to China, whose exports are expected to
rise 1.8 million bales, from virtually nothing In 1997/98.

Foreign cotton ending stocks are expected to reach 35 million bales in 1998/99.
Compared with a month earlier, the foreign ending stocks forecast is about 1
million bales lower than in October. Foreign ending stocks in 1998/99 are
expected to total 1.2 million bales below the year before. Excluding China,
foreign cotton ending stocks are expected to reach 20.2 million bales in
1998/99. Compared with a month earlier, the estimate is down about 700,000
bales. Foreign (excluding China) ending stocks in 1998/99 are forecast about
900,000 bales higher than the year before.

The ratio of foreign (excluding China) ending stocks to consumption in 1998/99
is forecast at 36 percent. Compared with a month earlier, this estimate is about
1.2 percentage points lower. Foreign (excluding China) stocks/consumption in
1998/99 is forecast 1.6 percentage points above the year before, and at its
highest since 1992/93.

Foreign Production Forecast Shrinking This Month

Smaller-than-expected recent arrivals of raw cotton in Uzbekistan have suggested
that early-season coolness reduced yield more than previously expected.
Uzbekistan's 1998/99 production forecast was reduced 400,000 bales to 4.6
million bales. While area is unchanged both from last month and last year, at
1.5 million hectares, production is now down substantially from 1997/98's 5.3
million bales. Average maximum temperatures during the first half of June were
among the lowest of the last 15 years, and the beneficial effects of increased
use of plastic sheeting and a reduced need for replanting have proven less
offsetting than was previously expected.

Similarly, 1998/99 production estimates for nearby Kazakhstan and Azerbaijan
were trimmed by 50,000 and 100,000 bales, respectively. Tanzania's and Sudan's
governments reported forecasts below USDA's October estimates by 90,000 and
200,000 bales respectively. Weather damage cut Tanzania's crop, while Sudan's
producers reduced planted area in response to expectations of poor economic
returns.


Argentina's and Paraguay's 1998/99 forecasts were reduced 100,000 and 50,000
bales, respectively.  Weather and economic factors in the region suggest that
relatively slow planting progress to date will not likely be completely overcome
over the next month. Argentina's 1998/99 crop is still forecast above its
flood-reduced 1997/98 level, but no increase is expected in Paraguay compared
with the year before, despite another year of government efforts to increase
production.

Foreign Consumption Stable

Weaker prospects in Turkey led to a decline in 1998/99 expected consumption of
400,000 bales compared with USDA's October 1998 estimate. Textile industry
representatives have indicated that Asian competitors have recently captured a
larger share of the Turkish industry's markets. Exports account for a
significant share of Turkey's textile & apparel marketings, and although exports
rose during the first 9 months of calender 1998, Turkey's Textile Industrialists
Association has forecast a decline in the near future. USDA is now forecasting
Turkey's 1998/99 cotton consumption at 4.8 million bales, down 4 percent from
its 1997/98 volume.

There was little change in the forecast of total foreign consumption in 1998/99
this month due to offsetting increases outside of Turkey. In Southeast Asia and
South Korea, cotton imports in recent months have surpassed amounts consistent
with USDA's October consumption estimates for 1997/98 and forecasts for 1998/99.
It is unlikely that these countries would import to build stocks appreciably in
the face of their widely publicized financial adversity, so 1997/98 consumption
was increased 50,000 bales each in Indonesia and Thailand, and 75,000 bales in
Korea. Higher 1997/98 consumption also implied 1998/99 consumption could be
higher than previously forecast. In Indonesia's case, the 1998/99 consumption
forecast was increased 150,000 bales, to 1.9 million bales, about the same as in
1997/98. In recent months, Indonesia has been importing at about the same rate
as in 1997/98, suggesting that last month's forecast of falling consumption was
incorrect. Both Southeast Asian and South Korean textile mills are now expected
to consume approximately the same amount of cotton in 1998/99 as in 1997/98.

With this month's 1997/98 revisions, USDA's estimate for Southeast Asia's cotton
consumption in the first year affected by the Asian financial crisis is 4
million bales. This is 500,000 bales less than Southeast Asian mills consumed in
1996/97, due to reduced purchasing power by domestic consumers in the region,
and, probably, disruption of exporting during periods of civil disorder and
upward spikes in local interest rates. However, this is USDA's third upward
revision since August in its 1997/98 consumption estimate for the region. In
retrospect, widely publicized assertions by industry officials and other
observers in those countries have proven too pessimistic. USDA's current
estimate for 1997/98 consumption in Southeast Asia is its highest since
January 1998, and its estimate for 1997/98 consumption in South Korea is its
highest since November 1997.

U.S. Textile Trade Deficit Continues To Widen

U.S. Textile imports declined slightly in August to 1.07 billion pounds, 3
percent below July shipments. Lower imports of all fibers, except linen, and all
end-use categories, except floor coverings, occurred in August. Cotton textile
imports, at 579 million pounds, were 5 percent below July, but nearly 22 percent
above a year earlier. Cotton imports from Asia declined to 291 million pounds,
compared with 304 million in July. Imports from North America also dropped in
August to 220 million pounds, with shipments from Mexico accounting for 101
million.

Textile exports rose to 390 million pounds in August, the largest shipments
since last March. Exports of all fibers, except silk, and all end-use
categories, except home furnishings, were larger than a month earlier. However,
only August apparel exports were above shipments of a year ago. Cotton textile
exports, at 175 million pounds, were 8 percent above a month earlier and August
1997. Cotton textile shipments to North America increased nearly 13 million
pounds to 151 million, with Mexico accounting for 35 percent of the total.

Overall, the U.S. textile trade deficit continued to increase during the first 8
months of 1998. The deficit reached 4.19 billion pounds at the end of August,
compared with 3.41 billion last year. 

Cotton accounts for the largest share (64 percent) as the deficit totaled 2.66
billion pounds, or the equivalent of 5.5 million bales of raw cotton. Despite
larger exports of cotton and other textile fibers, the trade deficit for cotton
and total fibers will likely reach a record in 1998.

                                  *     *    *

The Cotton and Wool Yearbook summary (CWS-0698) will be released on November 23,
with printed copies of the report (CWS-1998) available for purchase in December.


**************************************************************************

ERS published only 5 issues of this report in 1998. Reports were released in
March, May, July, August, and November. The release schedule for 1999 has not
yet been finalized. Check the ERS web site (http://www.econ.ag.gov) for these
reports and for other publications relating to cotton.

**************************************************************************

Information Contacts:
Leslie Meyer  (U.S. Cotton)                    lmeyer@econ.ag.gov    (202)
694-5307
Steve MacDonald (Foreign Cotton)               stephenm@econ.ag.gov  (202)
694-5305
Robert Skinner (Textiles and Wool)             rskinner@econ.ag.gov  (202)
694-5313

**************************************************************************

U.S. COTTON SUPPLY AND USE ESTIMATES
----------------------------------------------------------------------
                                                   1998/99
                                         ----------------------------
Item                          1997/98     Sep        Oct         Nov
----------------------------------------------------------------------
Upland:                                      Million acres
  Planted                      13.558    12.552     12.552     12.552
  Harvested                    13.021    10.358     10.108     10.128
                                                Pounds
  Yield/harvested acre            673       607        609        606

                                        Million 480-lb. bales 
  Beginning stocks              3.920     3.813      3.822      3.822
  Production                   18.245    13.101     12.827     12.785
    Total supply 1/            22.178    17.214     16.949     16.907
  Mill use                     11.234    10.600     10.500     10.500
  Exports                       7.060     4.240      4.150      4.160
   Total use                   18.294    14.840     14.640     14.660
  Ending stocks                 3.822     2.328      2.269      2.224
                                               Percent
  Stocks-to-use ratio            20.9      15.7       15.5       15.2
  
Extra-long staple:                           1,000 acres
  Planted                         250       314        314        314
  Harvested                       249       247        247        247
                                                Pounds
  Yield/harvested acre          1,056       900        899        868

                                         1,000 480-lb. bales
  Beginning stocks                 51        65         65         65
  Production                      548       462        461        446
    Total supply 1/               599       527        526        511
  Mill use                        115       100        100        100
  Exports                         440       360        350        340
    Total use                     555       460        450        440
  Ending stocks                    65        72         81         76
                                               Percent
  Stocks-to-use ratio           11.7       15.7       18.0       17.3
----------------------------------------------------------------------
Based on USDA estimates. 1/ Includes imports.

WORLD COTTON SUPPLY AND USE ESTIMATES
----------------------------------------------------------------------
                                                   1998/99
                                        ------------------------------
Item                          1997/98     Sep        Oct         Nov
----------------------------------------------------------------------
Supply:                                 Million 480-lb. bales
Beginning stocks
  World                        36.68     40.51      40.48       40.12
  Foreign                      32.71     36.64      36.59       36.24
Production
  World                        91.17     85.34      84.78       83.69
  Foreign                      72.37     71.77      71.49       70.45
Imports
  World                        27.08     25.86      25.26       25.19
  Foreign                      27.07     25.56      24.96       24.89
Use:
Mill use
  World                        88.24     88.00      86.64       86.45
  Foreign                      76.89     77.30      76.04       75.85
Exports
  World                        26.31     25.68      25.16       24.96
  Foreign                      18.81     21.08      20.66       20.46
Ending stocks
  World                        40.12     37.76      38.48       37.34
  Foreign                      36.24     35.36      36.13       35.04

Stocks-to-use ratio                            Percent
  World                         45.5      42.9       44.4        43.2
  Foreign                       47.1      45.7       47.5        46.2
---------------------------------------------------------------------
Based on USDA estimates.

FIBER SUPPLY
----------------------------------------------------------------------
                                         1998                    1997
                              -----------------------------
Item                             Jul      Aug         Sep        Sep
----------------------------------------------------------------------
Cotton:                                  1,000 480-lb. bales
  Ginnings                         0       538      1,572         954
Imports since August 1          13.4         0         NA         1.8
  Stocks, beginning            5,712     3,887      3,094       2,926
    At mills                     757       760        722         687
    Public storage             4,239     3,270      2,625       2,518
    CCC stocks                   111        64         51         170

Manmade:                                   Million pounds
  Production                   869.7     843.3      851.5       882.1
    Noncellulosic              839.1     813.0      823.7       848.0
    Cellulosic                  30.6      30.3       27.8        34.1
    Total since January 1    6,165.8   7,009.1    7,860.6     7,750.2

                                          1998                   1997
                              ----------------------------
                                Jun        Jul        Aug         Aug
----------------------------------------------------------------------
                                            Million pounds
  Raw fiber imports            130.2     126.6      120.8       105.8
   Noncellulosic               123.7     119.7      114.4        99.0
    Cellulosic                   6.5       6.9        6.4         6.8
    Total since January 1    1,001.1   1,127.7    1,248.5       879.0

Wool and Mohair:                            1,000 pounds
  Raw wool imports, clean      5,493      5,728     4,352       4,178
    48's-and-finer             2,977      2,947     2,081       2,581
    Not-finer-than-46's        2,516      2,781     2,271       1,597
    Total since January 1     40,633     46,361    50,714      47,293

  Wool top imports               255        287       313         267
    Total since January 1      1,142      1,429     1,742       1,384
    Mohair imports, clean          0          0         0           0
    Total since January 1          2          2         2           3
----------------------------------------------------------------------
NA = Not available.

COTTON SYSTEM FIBER CONSUMPTION
----------------------------------------------------------------------
                                          1998                   1997
                              ----------------------------
Item                             Jul       Aug        Sep         Sep
----------------------------------------------------------------------
Cotton:                                  1,000 480-lb. bales
All consumed by mills 1/         915       929        919       1,008
  Total since August 1 1/     11,349       929      1,849       1,974
  SA annual rate 2/           11,369    10,720     10,620      11,583
  SA daily rate 2/              43.6      41.2       40.8        44.4
  Daily rate                    39.8      44.2       41.8        45.8

Upland consumed by mills 1/      905       918        907       1,000
  Total since August 1 1/     11,234       918      1,826       1,957
  Daily rate                  
                                          1,000 Spindles
Spindles in place              5,416     5,483      5,504       5,628
  Active spindles              5,059     5,134      5,138       5,308
    100 percent cotton         2,585     2,651      2,658       2,637
    100 percent manmade          772       781        776         849
    Blends                     1,702     1,702      1,704       1,822
                                             Percent
Cotton's share of fibers        78.5      78.7       79.1        78.9

Manmade:                                    1,000 pounds
Total consumed by mills 1/   120,466   120,895    116,330     129,342
  Total since August 1 1/  1,489,039   120,895    237,225     257,509
  Daily rate                   5,238     5,757      5,288       5,879
    Noncellulosic staple       4,783     5,287      4,814       5,221
    Cellulosic staple            455       470        474         658
----------------------------------------------------------------------
1/ Adjusted to calendar month. 2/ SA = seasonally adjusted.

FIBER EXPORTS
----------------------------------------------------------------------
                                          1998                   1997
                                -------------------------
Item                             Jun       Jul        Aug         Aug
----------------------------------------------------------------------
Cotton:                                  1,000 480-lb. bales
  Upland exports                 552       552        393         444
    Total since August 1       6,508     7,060        393         444
  Sales for next season          275        96         83          70
    Total since August 1       1,474     1,570         83          70
ELS exports                     21.2      19.1        9.7        13.6
    Total since August 1       420.5     439.6        9.7        13.6
  Sales for next season          8.2       9.7        0.4         1.9
    Total since August 1       131.4     141.0        0.4         1.9

Manmade:                                   Million pounds
  Raw fiber exports             87.0      81.7       83.4        89.7
    Noncellulosic               83.4      78.8       80.2        83.9
    Cellulosic                   3.6       2.9        3.2         5.8
    Total since January 1      690.8     772.5      855.9       766.2

Wool and Mohair:                           1,000 pounds
  Raw wool exports, clean      122.0     235.0      259.8       460.3
   Total since January 1       323.5     558.5      818.3     3,042.7
  Wool top exports             789.9     518.4      426.1       908.1
    Total since January 1    2,357.0   2,875.4    3,301.5     3,146.1
  Mohair exports, clean         77.3     213.6      167.2       103.3
    Total since January 1      122.6     336.2      503.4       543.6
----------------------------------------------------------------------

FIBER PRICES
----------------------------------------------------------------------
                                          1998                   1997
                             -----------------------------
Item                            Aug       Sep        Oct         Oct
----------------------------------------------------------------------
Domestic cotton prices:                    Cents per pound
  Adjusted world price         54.10     52.33      47.40       63.53
  Dec'98 futures               73.09     74.63      70.42       75.64
  Mar'99 futures               72.97     73.99      69.76       76.49
Upland spot 41-34              71.87     71.75      67.61       69.46
  Pima spot 03-46             103.76    104.00     103.45      100.15
  Avg. price received by:
    Upland producers           66.20     67.10      68.90       69.40

  Mill delivered:
    Cotton
      Actual                   79.80     79.02      75.35       74.96
      Raw fiber equivalent     88.67     87.80      83.72       83.29
    Rayon staple
      Actual                  110.00    105.00     101.00      115.00
      Raw fiber equivalent    114.58    109.38     105.21      119.79
    Polyester staple
      Actual                   58.00     58.00      53.00       68.00
      Raw fiber equivalent     60.42     60.42      55.21       70.83

    Price ratios                               Percent
      Cotton/rayon              77.4      80.3       79.6        69.5
      Cotton/polyester         146.8     145.3      151.6       117.6

Northern Europe cotton quotes:            Cents per pound
  A Index                       68.13    66.16      61.12       77.56
  Memphis Territory             76.94    77.75      72.95       80.50
  California/Arizona            84.56    85.56      78.75       82.25
  B Index                          NQ       NQ      56.18       73.22
  Orleans/Texas                 74.75    75.13      68.90       76.30

Wool prices (clean):                      Dollars per pound
 U.S. 56's                      0.95      0.90       0.90        1.50
  Australian 56's 1/            1.32      1.33       1.31        1.96
 U.S. 60's                      1.25      0.95       1.00        1.85
  Australian 60's 1/            1.43      1.39       1.36        2.06
 U.S. 64's                      1.50      1.40       1.15        2.55
  Australian 64's 1/            1.44      1.44       1.40        2.50
-----------------------------------------------------------------------
NQ = No quotes.
1/ In bond, Charleston, SC.

U.S. TEXTILE TRADE
----------------------------------------------------------------------
                                          1998                  1997
                            ------------------------------
Item                             Jun      Jul        Aug         Aug
----------------------------------------------------------------------
Imports:                                   1,000 pounds 1/

  Yarn, thread, and fabric   232,095   224,097    218,583     205,078
    Cotton                   103,184    96,073     98,864      86,627
    Linen                     15,273    14,871     13,932      19,532
    Wool                       4,475     4,598      3,434       4,281
    Silk                         720       896        818         714
    Manmade                  108,443   107,660    101,536      93,924

  Apparel                    687,209   784,831    758,111     622,448
    Cotton                   407,807   459,701    427,026     341,458
    Linen                     16,323    17,237     18,269      16,802
    Wool                      26,117    34,134     36,480      32,524
    Silk                      10,205    11,266     12,212      11,562
    Manmade                  226,757   262,493    264,124     147,593

  Home furnishings            54,515    57,583     58,977      51,493
    Cotton                    41,468    43,206     42,708      37,052
    Linen                        170       151        161         140
    Wool                         197       153        257         303
    Silk                          27        39         52          32
    Manmade                   12,653    14,035     15,798      13,966

  Floor coverings             28,028    25,896     26,426      25,675
    Cotton                     3,588     3,628      3,792       4,867
    Linen                      3,516     3,923      4,125       3,035
    Wool                       8,936     8,683      7,363       7,051
    Silk                         543       462        537         329
    Manmade                   11,446     9,201     10,609      10,393

  Total imports 2/         1,010,328 1,101,051  1,070,068     912,407
    Cotton                   560,276   606,799    575,800     473,547
    Linen                     35,348    36,229     36,532      39,554
    Wool                      39,936    47,846     47,780      44,437
    Silk                      11,496    12,665     13,619      12,637
    Manmade                  363,272   397,514    396,337     342,232

Exports:                                 1,000 pounds 1/

  Yarn, thread, and fabric   172,460   148,449    163,327     174,925
    Cotton                    60,582    51,482     58,912      60,200
    Linen                      4,620     4,074      4,207       4,549
    Wool                       4,464     3,585      4,137       4,279
    Silk                       1,696     1,582      1,648       1,735
    Manmade                  101,098    87,726     94,423     104,163

  Apparel                    165,350   172,640    181,438     158,143
    Cotton                    97,324   102,224    107,800      93,179
    Linen                      1,625     1,555      1,798       1,743
    Wool                       8,210     9,554      9,340       8,738
    Silk                       3,027     4,342      4,234       3,857
    Manmade                   54,165    54,964     58,265      50,627

  Home furnishings             6,637     8,178      7,422       8,304
    Cotton                     3,852     5,070      4,553       4,531
    Linen                        264       272        187         449
    Wool                         137        95         81         236
    Silk                         154       161         96         200
    Manmade                    2,230     2,579      2,506       2,888

  Floor coverings             36,740    32,161     37,599      39,478
    Cotton                     3,349     3,207      3,843       3,557
    Linen                      1,855     1,748      2,118       2,189
    Wool                       2,966     2,416      3,123       2,589
    Silk                         119       114        134         129
    Manmade                   28,450    24,676     28,381      31,014

  Total exports 2/           380,480   361,806    390,118     381,139
    Cotton                   165,189   162,104    175,194     161,540
    Linen                      8,374     7,664      8,322       8,939
    Wool                      15,794    15,668     16,698      15,863
    Silk                       4,996     6,199      6,112       5,920
    Manmade                  186,127   170,171    183,793     188,877
---------------------------------------------------------------------
--- = An absence of trade. 1/ Raw fiber equivalent. 2/ Includes
headgear.

U.S. COTTON TEXTILE IMPORTS
----------------------------------------------------------------------
                                         1998                    1997
                             ----------------------------
Country                         Jun       Jul        Aug         Aug
----------------------------------------------------------------------
                                    1,000 pounds 1/

North America                218,872   229,378    219,756     166,661
  Canada                      17,128    15,264     18,711      13,727
  Costa Rica                  10,708     9,564      9,347       8,546
  Dominican Republic          22,193    24,930     21,669      16,784
  El Salvador                 16,515    15,746     14,297       9,815
  Guatemala                   10,272     9,758     10,902       7,809
  Haiti                        3,024     3,226      2,982       1,612
  Honduras                    30,530    32,351     30,504      23,119
  Jamaica                      6,082     7,375      6,023       7,103
  Mexico                      98,080   106,686    101,072      74,900
  Nicaragua                    3,925     3,987      3,837       2,947

South America                  7,287     7,590      7,227       8,133
  Argentina                       40       103          9          47
  Brazil                       1,808     1,932      1,825       3,402
  Chile                           11        22         21         173
  Colombia                     2,529     3,062      2,581       1,975
  Peru                         2,455     2,019      2,317       2,005
  
Europe                        34,738    38,242     35,107      29,766
  Estonia                      1,020       937        115         182
  France                         452       650        621         517
  Germany                        663       882        666         491
  Italy                        3,280     3,177      3,102       2,749
  Portugal                     4,684     6,086      5,989       5,765
  Russia                       1,395     1,291      1,321       1,103
  Spain                        1,707     1,929      2,174       2,085
  Turkey                      16,212    16,860     15,700      12,713
  United Kingdom               1,036     1,276      1,617       1,217
  
Asia                         276,025   304,023    290,603     246,355
  Bahrain                      1,272     1,281      1,259       1,147
  Bangladesh                  20,151    24,812     23,373      18,179
  China                       35,903    42,920     37,281      38,896
  Hong Kong                   36,672    39,313     35,398      28,378
  India                       34,073    31,814     37,278      31,291
  Indonesia                   17,371    19,569     18,785      17,103
  Israel                       2,783     3,203      2,896       2,211
  Japan                          996       979      1,341       1,352
  Macao                        6,166     7,184      6,480       4,827
  Malaysia                     5,566     6,188      5,464       4,305
  Nepal                        1,463     1,550      1,051       1,003
  Oman                         2,180     2,527      2,205       1,992
  Pakistan                    35,810    39,527     37,839      33,415
  Philippines                 13,062    14,210     11,622       9,924
  Qatar                          869     1,974      1,726       1,660
  Singapore                    2,488     2,390      2,665       2,016
  South Korea                  9,612    10,790     10,200       7,730
  Sri Lanka                    9,237    10,497     10,118       8,266
  Taiwan                      14,023    15,702     16,187      14,595
  Thailand                    13,777    14,280     14,432      10,637
  U Arab Em                    2,659     2,962      2,920       2,818

Oceania                        2,080     2,321      2,282       1,794
  Australia                    1,114     1,149      1,216         707
  Fiji                           763       993        906         755
 
Africa                        15,148    19,707     18,310      14,386
  Egypt                        6,510     7,595      9,520       7,507
  Lesotho                      1,405     3,148      1,693       1,300
  Mauritius                    2,560     2,934      2,232       1,574
  Morocco                      2,054     1,431      1,545         881
  South Africa                   959     1,761      1,490       1,389
  Tunisia                         23        89         62          86

World  2/                    560,276   606,799    575,800     473,547
----------------------------------------------------------------------
1/ Raw fiber equivalent. 2/ Totals may not add due to rounding.

U.S. COTTON TEXTILE EXPORTS
----------------------------------------------------------------------
                                          1998                  1997
                             -----------------------------
Country                       June        July         Aug       Aug
----------------------------------------------------------------------
                                   1,000 pounds 1/

North America                141,079    138,346     151,063   125,571
  Canada                      28,623     23,263      28,329    25,875
  Costa Rica                   6,193      7,400       8,947     8,574
  Dominican Republic          17,236     18,039      18,333    15,999
  El Salvador                  6,810      6,577       7,065     5,555
  Guatemala                    3,622      4,009       4,098     4,365
  Haiti                        1,188      1,128       1,644     1,542
  Honduras                    22,299     18,180      23,610    15,717
  Jamaica                      5,046      4,819       4,840     4,996
  Mexico                      48,657     53,479      52,436    41,641

South America                  5,224      5,066       3,574     6,473
  Argentina                      357        217         257       322
  Brazil                         740        451         604       911
  Chile                          942        762         665       684
  Colombia                     1,570      1,429       1,071     1,472
  Peru                           153        111         100       165
  Venezuela                      962      1,589         433     2,187

Europe                        10,183     10,373      10,441    14,872
  Belgium                      3,377      3,203       3,262     6,159
  France                         516        608         478       732
  Germany                        756        847         962       741
  Ireland                        973        202         266       461
  Italy                          394        253         308       243
  Netherlands                    668        651         898       943
  United Kingdom               2,255      3,126       2,827     3,259

Asia                           6,860      6,727       8,054    11,927
  China                          157        168         178       491
  Hong Kong                      791        780         942     1,351
  Israel                         778        516         708     1,249
  Japan                        2,614      2,584       3,348     4,579
  Philippines                    354        200         304       935
  Saudi Arabia                   449        676         857       477
  Singapore                      239        228         195       610
  South Korea                     89        280         237       490
  Taiwan                         162        250         237       366
  U Arab Em                      222        246         285       324

Oceania                          850        813         920     1,260
  Australia                      725        496         757     1,018
  New Zealand                     84        106          76       153

Africa                           725        454         862     1,193
  Egypt                           34         11          10        65
  Ghana                           18          8          11         8
  Ivory Coast                     12         34          30        40
  Nigeria                        138        117         283       228
  South Africa                    94        106         139       277

World  2/                    165,189    162,104     175,194   161,540
---------------------------------------------------------------------
1/ Raw fiber equivalent. 2/ Totals may not add due to rounding.

1997 and 1998 ACREAGE, YIELD, AND PRODUCTION ESTIMATES
-----------------------------------------------------------------------
State/           Harvested Area         Yield             Production
Region           1997      1998     1997      1998     1997       1998
-----------------------------------------------------------------------
                 1,000 acres            Lbs./               1,000
                                    harvested acre          bales

Upland:
  Alabama        442       455      597        601      550       570
  Florida         99        80      577        498      119        83
  Georgia      1,425     1,300      646        517    1,919     1,400
  N. Carolina    665       695      671        656      930       950
  S. Carolina    285       280      691        566      410       330
  Virginia       100        91      659        770      137       146
    Southeast  3,016     2,901      647        576    4,065     3,479

  Arkansas       940       855      859        674    1,683     1,200
  Louisiana      625       540      757        578      986       650
  Mississippi    970       915      901        776    1,821     1,480
  Missouri       375       330      723        524      565       360
  Tennessee      480       445      662        593      662       550
    Delta      3,390     3,085      809        660    5,717     4,240

  Kansas          10        14      418        501        9        15
  Oklahoma       190       120      462        500      183       125
  Texas        5,150     3,050      479        472    5,140     3,000
    Southwest  5,350     3,184      478        473    5,332     3,140

  Arizona        324       249    1,255      1,118      847       580
  California     875       650    1,202        923    2,191     1,250
  New Mexico      66        59      676        781       93        96
    West       1,265       958    1,188        965    3,131     1,926

Total Upland  13,021    10,128      673        606   18,245    12,785

Pima:
  Arizona         22        15      912        768       42        24
  California     184       184    1,141        900      437       345
  New Mexico      11        11      641        777       15        17
  Texas           32        37      815        778       54        60

Total Pima       249       247    1,056        868      548       446

Total All     13,270    10,375      680        612   18,793    13,231
-----------------------------------------------------------------------
Based on the November 1998 Crop Production report.

END_OF_FILE