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2020 Organic Cotton Market Report

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2020 Organic Cotton Market Report Organic Cotton Market Report 2020 Covering production trends and initiative updates from the 2018/19 harvest year. Organic Cotton Market Report 2020 Organic farming is a way of living in harmony with the land and is a way to honor life – life in the soil for the farm, for the family, for the community, and ultimately for the world. In times like the COVID-19 pandemic, we are reminded just how connected we are to each other - we are an ecosystem, and what we do impacts the whole. We, as an industry, need to cross the threshold from minimizing harm to maximizing positive impacts. This means stronger investments in building soils, ecosystems, and biodiversity. We need to truly embrace and support regenerative practices in order to deliver to the promise of a world transformed! Together – we can do this! La Rhea Pepper Managing Director for Textile Exchange and life-long organic cotton farmer Contents Cover photo: Farmers respect new hygiene and social distancing requirements during a COVID-19 awareness program © Suminter India Organics. • 2 Welcome to the 2020 Organic Cotton Market Report Organic agriculture started as a response to “lock-down” are behind us, but the situation is Call to action biodiversity loss, symbolized by the decline of far from over. Responding to immediate health the American bald eagle due to the heavy use and safety has been the priority. But just as Move from commodity cotton to a networked community. of toxic pesticides in the 1950s. Fast-forward important is the need for business sustainability. The days of anonymous supply chains are over. Transparent business and we find ourselves amid a global pandemic Livelihoods (and lives) depend on a just relationships build trust and long-term resilience. - again, a result of our continued degradation economy working for us all. Over the next few and destruction of biodiversity. COVID-19 is months, perhaps even years, business planning Embrace diversity and complexity. another, albeit more powerful, reminder of the and relations will be challenging and difficult to fundamental importance that a functioning "web predict. For cotton farmers, that unpredictability Don’t sit in a darkened room to find the answers – diversity and of nature" is to our survival. Rachel Carson, the will impact the next growing cycle and, for textile “systems thinking” will spark the best solutions. Think about all 17 of scientist credited with connecting the loss of manufacturers, brands, and retailers, the next the Sustainable Development Goals. species to pesticide use all those years ago, uptake and consumption cycle. One thing that would probably not be surprised to hear of our is for sure is that the “new normal” will require Communicate with your business partners. latest ecological crisis. But she would not have much more transparency and sharing of the risks Pick up the phone or better still set up a video call (turn the camera on!) given up, just as we should not either. and rewards as we collectively aspire to “Climate Action” as well as the other 16 Sustainable and share “what’s it like for you” experiences. The challenges are two- Yes, COVID has shaken us up afresh, and a Development Goals. Communication and trust way – so is empathy and partnership. renewed call to action - that considers both will be key. COVID and climate - is necessary. In the words Adapt and innovate. of Dr. Helen Crowley, the biologist and textile There’s a lot to do, but, for now, let’s take industry specialist behind Kering’s sustainable a moment to applaud “Team Organic” - all Change is hard, and right now, the global pandemic is forcing change sourcing and biodiversity strategy, those working to grow the market for organic upon us. Use this situation as an opportunity to re-imagine the purpose cotton and agro-ecology more broadly. From of business and “build back better.” “Organic cotton production – at its best – is the farmers to the manufacturers, certifiers, a ‘proof of concept’ for the significant and extension workers, NGOs, brands, retailers, and Work together. strengthening focus and effort on restorative consumers THANK YOU for your dedication It’s a common mantra – but can never be said too many times. and regenerative practices for agriculture. and contribution to this good growth. And Re-building soil health, water cycles, congratulations – we are doing the right work! Collective action is needed for inclusion, scale, and acceleration. Bring protecting biodiversity both above and below Enjoy the report. everyone together to align solutions. soil across our ‘working lands’ is essential for our future and is key to the nature-based Build on common ground. approaches that comprise over 30 percent of Liesl Truscott Whether you call it “regenerative,” “organic,” or “sustainable” … we are the solution for climate.” Director of European all on the same journey. Move from minimizing harm to maximizing the & Materials Strategy, Our 2020 Organic Cotton Market Report comes positive impacts. Think holistically. to you as the first experiences of the COVID-19 Textile Exchange Contents • 3 The year in numbers 2018/19 organic cotton production snapshot INDIA % 51 % 418,935 31 USA 2% CHINA 17% TURKEY 10% 222,134 2% TANZANIA TAJIKISTAN 5% TAJIKISTAN Organic certified 10% KYRGYZSTAN Organic cotton farmers Organic cotton fiber land (ha) (over 2017/18) 239,787 55,833 19 Organic cotton Organic in-conversion Countries growing fiber (MT) land (ha) organic cotton 97 percent of global production stems from the above seven countries The rest comes from: Uganda (1.08%); Greece (0.49%); Benin (0.42%); Peru (0.23%); Burkina Faso (0.19%); Pakistan India and Global growth continues for organic fiber (0.17%); Egypt (0.12%); Ethiopia (0.05%); Brazil (0.04%); Pakistan Mali (0.03%); Argentina (0.005%); and Thailand (0.003%). A top for in- The significant growth seen last year, when global organic total of 19 countries grew organic cotton in 2018/19. cotton production rose 56 percent, continues this year with a conversion further 31 percent growth. Estimates show this will continue in India and Pakistan 2019/20, though to a lesser degree of around ten percent. India fuels this year’s global growth have the most land in-conversion to India was by far the biggest contributor to global growth this organic, followed Growth in certified facilities accelerates year, adding 37,138 MT to the global total. Turkey, Tajikistan, by Turkey, Greece, China and Uganda were also significant contributors. and Tajikistan. Facilities certified to leading voluntary organic textile standards grew significantly between 2018 and 2019; 2014-15 2015-16 2016-17 2017-18 2018-19 by 48 percent for OCS and 35 percent for GOTS. Organic Fiber Production (MT) TOP FIVE BY TOP FIVE BY FIBER VOLUME INCREASE IN-CONVERSION LAND AREA India: 37,138 MT India: 23,251 ha Second biggest harvest on record h 48% Turkey: 9,945 MT Pakistan: 17,632 ha Turkey: 6,148 ha 2018/19 saw the second biggest harvest of Tajikistan: 3,180 MT 55,833 ha Greece: 2,592 ha organic cotton ever recorded, surpassed only China: 2,661 MT Tajikistan: 2,226 ha h 35% marginally in 2009/10. Others: 3,984 ha Uganda: 1,816 MT 42+31+11547F Contents • 4 68+18+653F This report is interactive. Navigate using What’s inside this page and return using the “Contents” button at the bottom of each page. Important notes about this report 6 Ethiopia 34 Tajikistan 61 COVID-19: voices from the sector 8 Tanzania 35 Turkey 62 The climate emergency 9 Uganda 37 Uzbekistan 64 Understanding regenerative 10 Latin America & the Caribbean 38 South & Southeast Asia 65 Non-GM seed development 11 Regional overview 39 Regional overview 66 In-conversion (transitional) cotton 12 TEam insights 40 TEam insights 67 Spotlight on pricing 14 Argentina 41 India 68 Market signals 17 Brazil 42 Pakistan 74 Organic Cotton Round Table 18 Peru 43 Thailand 75 Organic Cotton Producer Directory 19 Myanmar | In-conversion 76 Insider Series 20 North America 44 Standards & Certification 77 Global organic cotton production 21 TEam insights 45 USA 46 OCS & GOTS certified facilities 2019 78 Global overview 22 Organic Content Standard 79 East Asia 49 Sub-Saharan Africa 24 Global Organic Textile Standard 80 TEam insights 50 Regional overview 25 China 52 Methodology & Disclaimer 81 TEam insights | West Africa 26 Second Regional Organic Cotton Round Table 27 EMENA, Central & Western Asia 55 Appendices 85 Benin 28 Regional overview 56 Textile Exchange membership 86 Burkina Faso 29 TEam insights 57 Further resources 87 Mali 31 Egypt 58 Senegal 32 Greece 59 TEam insights | East Africa 33 Kyrgyzstan 60 • 5 Important notes about this report Every year, the sustainability context places working hard to meet the principles ground program work regarding the Textile Exchange collects fiber production changes and public expectations shift. of organic "beyond certification" - often production of organic cotton or any data and reports it as an industry resource. This year, that shift has been exceptional within complex constructs of entrenched other fiber in any country, nor make Because China, and Xinjiang in particular, is in ways we could not have anticipated, and worrying political administrations and recommendations for preferred sourcing a key producing region, leaving its reported leading to an eruption of social and limited transparency. locations. production out of this report would result environmental sustainability concerns. in the report not being truly representative The report was written with these Textile Exchange owns the Organic of the global organic cotton supply. We COVID-19 shines a spotlight on public challenges in mind, and we want to clearly Content Standard (OCS) which confirms believe it is important that our readers health, biodiversity, zoonotic diseases, state from the beginning that it aims to that organic material certified to a national understand the current situation in Xinjiang and climate change, while concerns about share the best available data, within a organic standard within the IFOAM Family so that they can make informed choices equality, human rights, and labor practices transparent methodology.
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