Cotton farmers warn of deepening crisis amid low prices and rising costs

Cotton farmers across the southern United States are warning of an escalating financial crisis as persistently low commodity prices, high input costs, and limited government support threaten the viability of their operations. Producers in Georgia and Texas say the current environment has gone beyond eroding profits, with some now at risk of losing their farms altogether.

Franz Rowland, a cotton farmer in Boston, Georgia, described the situation as one of the most difficult in his nearly five-decade-long career. “We’re going to plant cotton and don’t even have a clue if we’re going to get our money back,” he said, citing low market prices and a farm bill that he called “irrelevant and worthless.”

Cotton, a high-input crop, has become increasingly expensive to grow. Fertilizers, chemicals, and machinery costs have risen sharply. Rowland noted that equipment alone has become a major burden: “Cotton pickers are over $1 million. And nobody makes a cotton picker but John Deere. So, we don’t have a choice.”

The situation is equally bleak in West Texas, where prolonged drought conditions have compounded the challenges. According to the U.S. Drought Monitor, nearly 68% of the state is experiencing drought, with 29% categorized as extreme. “It feels like the death of agriculture somewhat in our area,” said Heath Heinrich, a cotton and sorghum farmer near Lubbock. He described his struggle as a fight on multiple fronts—weather, trade, and market uncertainty—while attempting to sustain his business.

The structural issues are not limited to weather and production costs. Gary Adams, president, and CEO of the National Cotton Council (NCC), said that global demand for cotton has dropped from 123 million bales in recent years to approximately 117–118 million bales in 2025 due in large part to the increased use of man-made fibers like polyester—particularly from China. “They’re almost twice the size of global cotton demand,” he noted.

Meanwhile, Brazil and Australia are producing large crops, intensifying competition for a shrinking share of the global market. The U.S. exports approximately 85% of its cotton, and Adams said the strong dollar has further weakened its global competitiveness.

A significant decline in U.S. cotton exports to China has also played a role. U.S. market share fell from 42% in 2018 to 17% following the trade war, and synthetic alternatives have further displaced demand. The NCC is urging the U.S. government to enforce trade agreements more stringently, particularly in cases where yarn and fabric from countries like India, Pakistan, and China are entering the U.S. market under duty-free arrangements not intended for non-qualifying products.

On the domestic front, U.S. cotton mills used 6.7 million bales in 2004 compared to just 1.7 million in 2024. The NCC is exploring ways to stimulate domestic demand, including potential tax credits to incentivize U.S. cotton use in retail supply chains.

In the short term, however, the top priority remains a new farm bill. The NCC and producers alike are pressing Congress to enact legislation that applies to the 2025 crop. “We have to have a farm bill. Farmers can’t survive without it,” Rowland said, warning that many younger farmers are struggling to obtain financing for the upcoming season due to previous losses.

Rowland said the optimism usually associated with spring planting has evaporated. “I just spent $50,000 today on fertilizer and chemicals. Am I going to get that back?” he asked. “If prices don’t improve this year, I could be looking at losses in the millions.”

Without intervention, industry leaders warn that the economic situation for U.S. cotton could worsen further, potentially leading to lasting structural damage in key production regions.