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U.S. Cotton Trust Protocol Releases Inaugural Annual Report

THE STANDARDS SYSTEM FOR SUSTAINABLY GROWN COTTON ATTRACTED 560 MEMBERS IN ITS FIRST YEAR

Late last year, the U.S. Cotton Trust Protocol released its first annual report, detailing its achievements over 2020 and 2021. In little more than a year, the protocol established a system tracking sustainably grown cotton from scratch and attracted 560 member organizations from across the supply chain.

The annual report provides a complete overview of the protocol’s programs supporting U.S. cotton growers to deliver against science-based sustainability targets and improve their performance in six key metrics including land use, soil conservation, energy use, greenhouse gas emissions, soil carbon and water use.

U.S. Cotton Trust Protocol’s Impact on Cotton Sustainability

The U.S. Cotton Trust Protocol aims to bring metrics to sustainable cotton farming so every member in the U.S. cotton supply chain gains transparency about their environmental impact. The protocol provides the only farm-level sustainability data on cotton in the U.S. and article-level transparency on sustainable cotton fibers. They have set measurable goals across six metrics to validate sustainability performance, as well as goals for increasing their membership and footprint.

Cotton Bales: Enrolled approximately 950,000 cotton bales, representing 6% of all U.S. cotton grown in 2020/21. They aim to bring on 3 million more bales in 2021/22 and 50% of the cotton grown in the U.S. by 2025.

Membership: 525 mills and manufacturers joined including global apparel manufacturer Gildan and 37 brands and retailers joined including Levi Strauss & Co.PVH Corp (Calvin Klein and Tommy Hilfiger), and Gap Inc. (Old Navy, Gap, Banana Republic and Athleta).

Sustainability: Goals align with the U.S. cotton industry’s 2025 national goals of decreasing greenhouse gas emissions by 39%, soil loss per acre by 50%, water use by 18%, and energy use by 15% while increasing soil carbon by 30% and land use efficiency by 13%.

The U.S. Cotton Trust Protocol Fosters Transparency

The U.S. Cotton Trust Protocol verifies the U.S. cotton industry’s progress toward its sustainability goals using an independent third party. It sets production principles and criteria for growers on these sustainability goals, as well as supporting worker well-being and safety, and verifies grower data through third-party desktop applications and field visits. The protocol’s annual report shows members’ progress toward each of these goals.

Across the U.S. cotton supply chain, the protocol fosters transparency through programs like:

The Protocol Credit System: Tags each kilogram of ginned cotton with a unique credit that follows it through the life of the supply chain. 

The Permanent Bale Identification System: Assigns a unique ID number to every bale of cotton to track fiber qualities.

Each credit ties to the bale’s identification number, ensuring credits are issued on actual yield and enabling full transparency throughout the U.S. cotton supply chain.

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2025 USDA December Crop Report a “Dud” + Trump $12 Billion U.S. Farm Aid

Video: 2025 USDA December Crop Report a “Dud” + Trump $12 Billion U.S. Farm Aid


The USDA December crop report was friendly corn, neutral soybeans and bearish wheat. The USDA did surprise and increase the 25/26 U.S. corn export forecast to a new record high at 3.2 billion bushels now up 12% vs. last year vs. prior at +9% vs. the export pace to date up 30% the best in 10 years even higher than 20/21! The USDA left the 25/26 U.S. soybean export pace unchanged at 1.635 billion bushels. Higher global wheat supplies will remain a weight and headwind for wheat into year end and start of 2026.
Mexico is now the #1 buyer of U.S. corn, soybeans (usually China), wheat and pork!
USDA also released its long-term early projections but expect more changes by February of 2026.
Trump announces a $12 billion U.S. farmer aid package to be paid out by February 28, 2026. This helps no one but the ag banks, farm equipment companies, seed and fertilizer companies. It does prevent more farmer bushels from being sold near-term but is not bullish grain prices long-term. The Trump administration should focus on increasing U.S. domestic demand and propping up grain futures so farmers can cover their higher costs, up since COVID of 2020.
The China U.S. soybean purchase tracker now stands at 4.521 mmt or 38% of the 12 mmt promised by China at year end or is it end of February or the growing season? Why the discrepancy vs. the fact sheet. The optics are poor for the Trump administration.
After surging to contract highs U.S. natural gas futures plunged over 30+% in just 5-trading days!
Silver traded to new record highs as the debasement and de dollarization trade continued but technicals remain overbought near-term.
Soybean futures remained in correction mode after the funds went record long futures on Nov. 19 +233,000 contracts but the $10.80 support should hold into year end when the fund profit taking/liquidation comes to an end from the year end, end of month and end of quarter selling.
The U.S. Fed cut interest rates for the 3rd time by 25 basis points to a range of 3.50 – 3.75% and they will only cut one more time in 2026 and once in 20267/ but when Powell is gone next April the replacement is willing to cut more aggressively and we could see U.S. interest rates fall to 2.0% very bullish for ag and stocks as it could reignite inflation into 2027.
After 2 months of being drier than normal in Brazil the rains have finally arrived for the 1st half of December, and a record crop is still in the cards but if this pattern continues and verifies it could start to delay the harvest. Argentina after being too wet has turned dry but they are too small, compared top Brazil in the grand picture.
The Canadian dollar surged to $0.73 after better-than-expected employment data with 180,000 new jobs in the past 3-months and 3rd quarter GDP at +2.6% but this could be short-lived.
The latest CFTC report as of 11-19-2025 reported a record long fund position in soybeans at +233,000 contracts when 2026 March soybean futures peaked on 11-19-25 at $11.724/bu.