Cotton prices are down amid a spike in production from Brazil, which has overtaken the US as world’s biggest cotton exporter, the Financial Times reports. ICE cotton futures dropped below USD 0.69 a pound in July, the lowest level since October 2020. Brazil exported a total of 12.4 mn bales of cotton in the 2023-24 harvest season, overtaking the US’ 11.8 mn bales, says FT, citing data from an US Department of Agriculture (USDA) report (pdf). “Brazil has the cheapest cotton in the world. We produce almost 2 tonnes of link per hectare, which is not heard of elsewhere,” Brazilian cotton farm manager Carlos Alberto Moresco told the news outlet.

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Demand for cotton has tumbled as cost-conscious shoppers opt for more affordable fabrics, further squeezing the market. A sharp rise in interest rates have pushed shoppers towards polyester and other petroleum-based fabric products, says the news outlet. “Until we get world cotton demand back up, we’re not going to get prices coming back up,” said National Cotton Council of America’s economic and policy analyst VP Jody Campiche.

Who is the region’s top exporter? Turkey exported 1.3 mn bales of cotton in 2023-24, taking the lead as the region’s top cotton exporter, and is forecasted to be the world's fifth largest exporter, according to a USDA report (pdf). Turkey’s exports are rising as domestic use falls due to inflationary pressures in the country.

Amazon using AI in maritime risk management: Maritime AI company Windward has collaborated with Amazon Web Services (AWS) to launch generative AI solutions to improve risk management for the shipping, logistics, and public sectors, according to a press release. The collaboration aims to provide solutions for managing unstructured data, ensuring consistent workflows, and addressing expertise shortages.

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