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Mexico: 2005 Cotton Yarn and Fabric Output Falls 6.5 Percent

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In 2005, Mexico's cotton consumption fell to the lowest level in over five years. As measured by the INEGE Index of Cotton Yarn and Fabric Output (1993=100), 2005 output averaged 89.9. This represented a 6.5 percent year-on-year decline and also was the lowest annualized output in over five years. Mexico's annual cotton yarn and fabric output has fallen every year since 2001, except in 2004 when it posted a meager .5 percent gain. Mexico's cotton use has been hurt by sharp losses in market share in the U.S. market. In addition, cotton has lost market share to man-made fiber.

The gain in MMF market share appears linked to some mill groups switch to output of MMF non-apparel products for export to the U.S. market. Mexico's exports of MMF non-apparel products to the U.S. market actually posted growth in 2005, while exports of cotton apparel fell sharply.


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