Alabama Cotton Price — USDA NASS Monthly & MYA Data
Alabama Cotton price reached $0.56/lb in January 2026 — $0.05/lb below the US average of $0.61/lb. Monthly price received by producers, sourced directly from USDA NASS.
Cotton monthly price trend
Alabama vs the US average, last 24 months of USDA NASS data
| Month | Alabama price | US average |
|---|---|---|
| 2020-01 | $0.56/lb | $0.60/lb |
| 2020-02 | $0.61/lb | $0.61/lb |
| 2020-03 | $0.59/lb | $0.58/lb |
| 2020-04 | $0.57/lb | $0.55/lb |
| 2020-05 | $0.59/lb | $0.55/lb |
| 2020-06 | $0.59/lb | $0.57/lb |
| 2020-11 | $0.61/lb | $0.63/lb |
| 2020-12 | $0.63/lb | $0.66/lb |
| 2021-02 | $0.72/lb | $0.73/lb |
| 2021-03 | $0.71/lb | $0.70/lb |
| 2021-11 | $0.86/lb | $0.86/lb |
| 2022-01 | $0.95/lb | $0.96/lb |
| 2022-03 | $0.95/lb | $1.04/lb |
| 2022-10 | $0.90/lb | $0.86/lb |
| 2022-12 | $0.84/lb | $0.85/lb |
| 2023-01 | $0.93/lb | $0.81/lb |
| 2023-02 | $0.90/lb | $0.80/lb |
| 2023-03 | $0.95/lb | $0.83/lb |
| 2023-05 | $0.96/lb | $0.86/lb |
| 2023-11 | $0.66/lb | $0.68/lb |
| 2023-12 | $0.78/lb | $0.74/lb |
| 2024-01 | $0.75/lb | $0.77/lb |
| 2024-02 | $0.81/lb | $0.78/lb |
| 2024-05 | $0.85/lb | $0.85/lb |
| 2024-07 | $0.87/lb | $0.87/lb |
| 2024-11 | $0.60/lb | $0.66/lb |
| 2025-02 | $0.62/lb | $0.63/lb |
| 2025-03 | $0.63/lb | $0.62/lb |
| 2025-05 | $0.65/lb | $0.64/lb |
| 2026-01 | $0.56/lb | $0.61/lb |
How Alabama compares
Top Cotton-producing states, January 2026 price
| State | Price | vs US avg |
|---|---|---|
| Georgia | $0.651/lb | +7.4% |
| Tennessee | $0.644/lb | +6.3% |
| Arkansas | $0.621/lb | +2.5% |
| Louisiana | $0.574/lb | -5.3% |
| Texas | $0.573/lb | -5.4% |
| North Carolina | $0.572/lb | -5.6% |
| Alabama | $0.557/lb | -8.1% |
What this price means for Alabama Cotton farmers
Alabama's cotton price for January 2026 came in at $0.584 per pound, sitting $0.01 below the national average of $0.594 per pound. That narrow gap is largely a function of state-level basis factors — local transportation costs, gin capacity, and the competitive landscape among regional buyers — rather than any difference in fiber quality coming out of Alabama fields. Looking back at the prior marketing year, which finalized at a $0.645 per pound MYA, the current 2025 marketing-year average of $0.552 per pound represents a $0.09 per pound year-over-year decline, a meaningful step down that reflects broader market softening visible in the slide from $0.867 in July 2024 to the mid-$0.58 range today. Producers watching that trajectory should treat the current monthly print as a market signal, not a stable benchmark.
For marketing and selling decisions, the distinction between a single monthly price and the marketing-year average matters enormously. Locking in a forward contract based on January's $0.584 reading can make sense if you believe prices will continue to soften, but that number can shift sharply from month to month, as the move from $0.647 in May 2025 down to current levels illustrates. The MYA — currently estimated at $0.552 for this marketing year — is the figure that captures what a producer actually receives across the full season's sales, and it is the right input for annual revenue planning, cash flow projections, and loan repayment modeling. Using any single monthly price to build a whole-farm budget introduces volatility that the MYA naturally smooths out, making it the more reliable foundation for financial decisions that extend beyond the next gin ticket.
Revenue calculator
Estimate gross revenue for your Alabama Cotton farm at the current price
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Frequently asked questions — Alabama Cotton price
Why is Alabama's January 2026 cotton price of $0.584/lb lower than the US average of $0.594/lb?
Alabama's cotton price sits $0.01/lb below the national average of $0.594/lb primarily due to regional basis differences, which reflect local supply and demand conditions, gin capacity, transportation costs to export terminals, and regional fiber quality variations. Cotton grown in Alabama may face slightly higher handling or logistics costs compared to states closer to major Gulf export hubs, which can compress the price producers receive. Understanding this basis gap helps Alabama growers evaluate whether local merchandising contracts or futures-based hedges better protect their margins.
What is the difference between Alabama's January 2026 monthly cotton price of $0.584/lb and the marketing-year-average price of $0.552/lb?
The January 2026 monthly price of $0.584/lb represents the average price Alabama cotton producers received during that specific month, while the marketing-year-average (MYA) price of $0.552/lb reflects the weighted average across the entire cotton marketing year, which runs from August through July. The MYA is the figure used by USDA to calculate Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) farm program payments, making it a critical benchmark for revenue forecasting and program enrollment decisions. A monthly price above the MYA, as seen here, indicates stronger late-season pricing that pulled the period average upward.
How frequently does USDA update Alabama cotton price data and where does the data originate?
USDA's National Agricultural Statistics Service (NASS) publishes state-level cotton prices monthly through the Agricultural Prices report, typically released on the last business day of the following month. The data is collected via surveys of cotton merchants, gins, and cooperatives operating within Alabama, providing a statistically representative estimate of prices paid to producers at the first point of sale. Farmers and agronomists should monitor each monthly release to track price trends throughout the marketing year and refine MYA projections.
How can Alabama cotton growers use the $0.584/lb January 2026 price alongside yield data to estimate gross revenue per acre?
To estimate gross revenue, multiply your expected or actual yield in pounds per acre by the applicable price—for example, an Alabama farm averaging 900 lbs/acre of lint multiplied by $0.584/lb yields approximately $525.60 per acre in gross lint revenue. Using the marketing-year-average price of $0.552/lb instead gives a more conservative full-season estimate of roughly $496.80 per acre, which is more appropriate for annual budgeting and PLC payment calculations. Comparing both figures against your cost of production helps determine breakeven thresholds and informs decisions on forward contracting remaining unsold bales.