Senators urge assistance for US cotton industry
16/07/2020
“Billions of dollars of orders have been canceled as retail shopping outlets remain closed or operate at reduced capacity,” wrote the senators. “The collapse in cotton demand is being felt across the US cotton industry from textile manufacturers to merchandisers to cotton producers, and all segments in between. The viability of the farms and businesses, and the jobs they represent, are at risk of not surviving this crisis.”
The letter outlined impacts being felt by the industry. For example, the Census Bureau reports that March to May clothing sales are down by $44 billion, or 67%, compared to the same period in 2019. Also, US textile mills report a 90% drop in orders for the yarn they produce; with mill consumption at an all-time low, the loss in monthly yarn production value is $200 to $300 million.
They also point out industry efforts to redirect production lines to manufacture PPE and other health-related textiles, which — while underscoring the importance of textile manufacturers — is costly to maintain because the mills are generally operating at less than full capacity.
“Given the severe pressures facing US cotton and all of our agriculture industry, we believe Congress should pass the necessary legislation before the August recess,” the letter said. “We want to work closely with you and our other colleagues to ensure adequate relief for the US cotton industry so that this critical industry receives the necessary assistance for all segments to survive and recover.”
An additional 16 senators from both parties have also signed on to the letter.
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