LUBBOCK, TX (KCBD) - You've probably heard people talk about how commodity prices generally are low lately – and they are. However, in cotton, we recently have seen a bit of an uptick.
Farmers don't get to set their own prices – they're determined by several factors, especially since we're in a worldwide market.
For the past several months, cotton has been trading for around 60 cents per pound, which is less than break-even for most farmers. But prices recently vaulted to above the 70-cent mark for the first time in awhile, in part because the U.S. Department of Agriculture reported that worldwide cotton consumption could be higher and supply may be lower.
This is good news for cotton producers for now, but who knows how long this surge will last.
For KCBD Spotlight on Agriculture and Plains Cotton Growers, I'm Mary Jane Buerkle.