Based on an industry request, the U.S. Department of Agriculture (USDA) Agricultural Marketing Service (AMS) evaluated the structure of the cotton spot markets in East and West Texas, Oklahoma, and Kansas. Our analysis of the East Texas/Oklahoma market found that cotton grown in Oklahoma and Kansas has 1) similar quality characteristics and was traded under the same terms and conditions as West Texas cotton; and 2) does not show significant differences in the prices reported to Market News when compared to West Texas cotton.  As a result, AMS is proposing amendments to the regulation for spot markets that will move cotton grown in Oklahoma and Kansas from the East Texas-Oklahoma spot market to the West Texas spot market and will change the names of the affected markets to describe the markets more accurately.

This modification is outlined in the proposed rule published in the Federal Register Mar. 27, 2023.

AMS invites public comment on the proposed amendments through May 26, 2023. Comments should be submitted at www.regulations.gov. All comments submitted by the deadline will be made available for public review and will be considered before a final rule is published.

Reports affected include the Daily Spot Cotton Quotations and Weekly Cotton Market Review available on the Cotton and Tobacco Market News webpage.

For more information, contact Cotton Market News Division Director Barbara Meredith at (901) 384-3016.

The Cotton and Tobacco Program Market News Division, facilitates the domestic and international marketing of U.S. cotton and tobacco by providing accurate, timely, relevant, and unbiased data, information, and services. Market News data gives a representative picture of cotton markets and promotes market transparency and fairness.

Original source can be found here.