In its August report, USDA raised U.S. cotton export projections by 300,000 bales to 12.30 million bales while U.S. mill cotton use was unchanged at 3.80 million bales.

Projected total offtake is 16.10 million bales for the 2011-2012 marketing year.

With beginning U.S. stocks of 2.85 million bales, this would result in ending stocks of 3.30 million bales on July 31, 2012, and a stocks-to-use ratio of 20.5 percent.

For the 2010-2011 marketing year, USDA puts U.S. production at 18.10 million bales. U.S. mill use is unchanged from the previous month at 3.80 million bales, while exports were lowered 100,000 bales to 14.40 million bales.

The estimated total offtake now stands at 18.20 million bales, generating ending stocks of 2.85 million bales and a stocks-to-use ratio of 15.7 percent.

In its report, USDA projected world production for the 2011-2012 marketing year to be 122.71 million bales, down 450,000 bales from the July report.

World mill use was lowered 1.57 million bales to 115.18 million bales.

With beginning world stocks at 44.99 million bales, this would result in ending stocks of 52.66 million bales on July 31, 2012, and a stocks-to-use ratio of 45.7 percent.

For the 2010-2011 marketing year, USDA raised world production 30,000 bales from the previous month to 114.59 million bales. Mill use is estimated at 113.93 million bales, 1,000,000 bales lower than the previous month.

Consequently, world ending stocks are estimated to be 44.99 million bales with a stocks-to-use ratio of 39.5 percent.