Cotton Crop and Cotton Industry

World Bank Activities in Cotton Sector

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The World Bank Group has undertaken cotton-related activities in several developing countries. Traditionally, the Bank's involvement has taken the following forms: lending to support the cotton sector-for both investment and technical assistance-either from IBRD loans or IDA credits; and policy advice through economic and sector work, usually linked to policy reforms associated with quick-disbursing loans and credits.

Lending and Technical Assistance Projects

The World Bank has approved a number of cotton-related investment and adjustment op-erations. Two operations were approved during the 1990s. Approved in 1994 for a total of US$14 million, the Cotton Development Project in Uganda sought to improve performance in the cotton industry through liberalization of cotton processing and export marketing; establish an efficient regulatory framework for the cotton industry; and improve manage-rial, technical, and operating efficiency in a creditworthy ginning industry. The project also sought to improve efficiency of supporting services through support for national re-search and extension programs and also to improve delivery mechanisms and availability of credit and seeds. Approved in 1995 in the amount of US$66 million, the Cotton Im-provement Project in Uzbekistan was designed to liberalize prices of cotton seed, bring producer prices for seed cotton marketed under the state system closer to international prices, create a private cotton-planting industry, eliminate input subsidies, and shift cotton trade from barter-based to cash-based transactions.

More recently, the World Bank made loans in West and Central Africa that had components directly or indirectly affecting the cotton sector. The Cotton Sector Reform Project in Benin (approved in 2002), is expected to facilitate transition to a competitive sys-tem through support of private sector operations and institutional change resulting from the privatization of the National Company for Agricultural Promotion's (SONAPRA) gin-ning activities. This project component's main focus is supporting the institutions involved in cotton ginning and primary marketing to help them become strong and effective. Tech-nical assistance and advisory services will cover management responsibilities, auditing, and financing operations, including training for institutional capacity building. Further-more, the project will support the implementation of sectorwide technical-service pro-grams to help the private sector take over the agricultural services and other technical support functions carried out by SONAPRA. The effort to privatize SONAPRA's ginning plants includes assistance and advisory services, notably to address social issues and the financial needs of the government's conversion program.

The Second Poverty Reduction Support Credit Project in Burkina Faso, approved in 2002, is an integral part of the Country Assistance Strategy to support the implementation of the Poverty Reduction Strategy Paper (PRSP). It is the second in a series of three planned operations.

The project is designed to help the government achieve better out-comes in public resource management by

(i) strengthening program budgets and linking allocations to specific sector objectives, strategies, and action plans

(ii) improving service delivery in education, health, and rural development and

(iii) strengthening the fiduciary framework to promote accountability and transparency in the use of public funds, includ-ing external aid.

In the context of its rural development component, the government, in collaboration with the World Bank, will closely monitor the poverty impact of cotton liber-alization in the medium-term and take corrective measures if necessary. An upcoming PRSC III program ($50 million) is expected to continue to foster the reform process in the cotton sector by supporting participatory mechanisms for developing the rules and condi-tions governing the opening of two cotton zones to private investors, awarding the con-tracts, and addressing issues related to input financing.

The Structural Adjustment Credit Project V in Chad, approved in 2003, is designed to support the cotton-sector reform program. Its primary goal is to improve the livelihoods of about 300,000 poor families. Given the complexity of the reform program, which is be-ing introduced in a context of depressed world cotton prices and barely functioning rural markets, it will be a challenge to ensure the program's consistency with its stated objective. To overcome this risk, a study has been carried out to identify the most appropriate sce-nario for the state's divestiture from Cotontchad. Moreover, an extensive ex-ante and ex-post poverty and social impact analysis is being completed, the results of which will feed into the design of the reform program and allow for ex-post adjustments if necessary.

The Third Structural Adjustment Credit in Mali, approved in 2001 and currently under way, supports

(i) recovery and restructuring of the cotton sector to restore positive economic growth and

(ii) public expenditure reforms aimed specifically at advancing the government's poverty reduction objectives.

The government has laid out its policy for re-forming and liberalizing the cotton sector, including a plan to privatize the cotton com-pany's agro-industrial and commercial activities. The first phase of the project includes ini-tial divestment activities and design of a full sector-liberalization program. The restructur-ing program will necessarily span several years and require an effort to create an appro-priate framework to attract private capital and know-how and to build the capacities of key participants, notably the farmers' organizations. Reinforcement of the capacity of farmers' organizations to play an increasing role in the management of the cotton sector will be provided separately.

Finally, under the Agricultural Services and Producer Organizations Project, ap-proved in 2001, the authorities in Mali expect to implement the first phase of the reform program. Its objectives were to

(i) restore the cotton company's financial stability so as to allow it to secure financing for the forthcoming crop season

(ii) achieve efficiency gains in the cotton company through restructuring and divestment of non-core activities

(iii) di-vest to the private sector the cotton collection and marketing activities in one cotton grow-ing area

(iv) privatize the cotton-oil company

(v) assure that the producer price of cotton for the 2001-02 crop year was high enough so that confidence of the farmers would be maintained, compensate for the heavy losses in rural incomes suffered in 2000-01, and re-dress the impact on rural poverty and

(vi) define and prepare the final phase of the sec-toral reform program.

Non-Lending Activities

In addition to its lending operations, the World Bank has engaged in non-lending activities that include policy advice, sector work, dissemination activities, and, more recently, price-risk management.

The World Bank has been active in assisting the reform process in the cotton-producing countries of West and Central Africa. To that end, numerous consultations have taken place among the relevant stakeholders, including farmers' organizations, the cotton companies, the French cotton parastatal, and the multilateral donors. Initially, the discus-sion regarding the reasons for reform took a heated tone, most likely due to misunder-standing. Later, however, a consensus emerged. As the special issue of Cotton Outlook on the cotton sector of West and Central Africa noted : "Much of the impetus for change in the regions has come from ... the World Bank [which] provides a clear outline of the main policy options now under consideration. It is encouraging to note that the sometimes acrimonious nature of the recent debate with regard to the future of cotton in Francophone producing countries appears to be giving away to a more constructive dialogue."

The World Bank along with AFD convened two major regional meetings, a techni-cal symposium on cotton sector policies in Ouagadougou in 1999 and a ministerial meet-ing in Abidjan in 2002 on the cotton reforms and the global environment for cotton trade. Furthermore, the World Bank is currently finalizing a study on long term development strategies for the cotton sector in West and Central Africa countries, focusing on 4 main ar-eas: the potential for textile and garment sector development; future trading mechanisms for an expanding cotton sector; technology generation and dissemination to sustain long term competitiveness; and raising the poverty impact of cotton cultivation. The World Bank and ICAC co-sponsored a conference on "Cotton and Global Trade Negotiations" (July 8-9, 2002) that boosted awareness of the global policy environment in the cotton market. Cotton also figures prominently in Global Agricultural Trade and Developing Coun-tries, an edited volume forthcoming from the World Bank. Numerous commodity-related briefings of the Bank's Board of Executive Directors have taken place, including one that focused exclusively on cotton .

Managing price risk in the cotton sector is another area in which the World Bank has been active. Price-risk management in the cotton sector is complicated due to the pres-ence of high basis risk-that is, low correlation between the New York Board of Trade fu-tures contract and the A Index, the main price measure of the world cotton market. In ad-dition to the basis risk, use of the New York contract by producers and traders outside the United States involves currency risk (for example, Euro/$ exchange-rate risk in the case of West and Central Africa). Despite these difficulties, the World Bank recognizes that man-aging risk, especially in an environment where cotton growers are fully exposed to the forces of demand and supply, is an issue that must be fully explored. Currently, the World Bank and ICAC are examining the existing pricing and marketing systems in selected West and Central Africa countries in order to assess the potential of various devices to manage and mitigate risk. The work will focus on two key areas. First, it will examine the existing marketing and price mechanisms and the way in which risks are currently allo-cated. Second, it will study potential risk-mitigation devices that go beyond the existing New York futures contract, such as over-the-counter or forward contracts offered by large banks, cotton merchants, and investment houses.

Price Developments in Cotton

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Differences in cotton prices may be attributable to a number of factors. Cotton prices vary, in particular, depending on the variety grown and the quality of the harvested cotton. For examples, ad hoc quotations are set for long-staple Egyptian cotton.

In addition, cotton-pricing mechanisms are affected by government support programmes, especially in the United States. Subsidisation regimes in several producing countries have added to the relative fragmentation of price formation for cotton. According to a communication from the Commission of the European Communities to the Council and the European Parliament (COM(2004) 87), due to subsidisation, prices paid to domestic cotton farmers were 90% and 154% above world prices in 2001/02 in the US and EU respectively.

It should be pointed out here that there is no world futures contract currently used as an international cotton price benchmark. Indeed, standard specifications of futures contracts traded on the New York Commodity Exchange correspond mainly to US cotton market fundamentals. For the same reason, quotations at the Osaka Mercantile Exchange are not representative of world prices for raw cotton. Despite a punctual reduction of basis risk due to the increasing importance of US cotton on the world sector (and on price discovery mechanism), the use of future instruments for the other origins (with the exception of Mexico, member of NAFTA and which might be in a position to use US futures as both prices are well correlated) is not always easy as spot and futures prices might suddenly diverge. Any exogenous changes (e.g. trade policy) might eventually bring on the re-emergence of an important basis risk, with devastating spillovers on cotton hedgers.

The point of departure is generally the cash price for cotton set in actual transactions or through relatively short-term contracts for forward delivery (2 to 4 months). World prices are monitored by means of price indexes (the "Cotlook Indexes", A and B) compiled by Cotlook Limited, a private UK cotton consultancy, and published daily in the Cotton Outlook.

The Indexes are intended to be representative of the price level on the international raw cotton market:

The Cotlook A-Index is the average of the cheapest five quotations from a selection of the main upland cottons traded internationally (19 origins). The prices are CIF cash against documents on arrival of a vessel at a Far East port.

The Cotlook B-Index is an average of the cheapest three quotations for "Coarse Count" cotton - commonly in use for spinning coarse count yarn over the nine origins shipped to European ports.

Overall, fluctuations in cotton prices are determined by several factors, in particular: shifts in the level of demand and supply, which reflect changes in producing countries' cotton policies.

With output exceeding demand, world cotton stocks rose steadily in the middle of the 1980s, up to 10.3 million tonnes in 1984/85 and 11.4 million tonnes, the following year. There have then been continued increases in cotton stocks during the late 1990s and early 2000s, with stocks remaining high above 10 million tonnes. The rise in cotton stocks is attributable to excess supply, notably in China and the United States, were government incentives stimulated oversupply and added to the general downward pressure on prices. Cotlook A Index declined consistently during this period, with prices falling at 35US cents/lb in August 1986. Prices stood at 48.9 US cents/lb on average in 1985/86 and 62 US cents/lb in 1986/87, compared to 69.1 US cents/lb in 1984/85 and 72.2 US cents/lb in 1987/88 respectively. Following a meagre upward movement in 1989/90 (82.2 US cents/lb), the A-Index dropped again in the early 1990s, with major downward shifts occurring in 1991/92 and 1992/93. Prices averaged 57.6 US cents/lb in 1992/93. The lowest peak was recorded in November 1992 (52.7 US cents/lb).

Several factors contributed to drive cotton prices down, including:

1) A rise in cotton production. World cotton production increased from 19 million tonnes in the 1990/91 season to 20.7 million tonnes in 1991/92, at a growth rate of 9% over the period. Production sharply increased mainly due to the huge increase of China, whose production rose from 3.8 million tonnes in 1989/90 to 5.7 million tonnes in 1991/92.

2) On the demand side of the ledger, pricing was negatively impacted as cotton consumption declined in the former Soviet Union (consumption levels, which stood at 2 million tonnes in 1990, fell to 1.9 million tonnes over the next year and to 1.8 million tonnes in 1992).

Prices performance was more robust in the following years, with prices reaching the highest peak at 92.4 US cents/lb in 1994/95. This upward movement was recorded in conjunction with a steady decrease in cotton production in a number of countries (whose supply levels were closely linked to cotton quotations). In the first half of the 1990s, production of raw cotton dropped sharply in South America (it divided by 1.5), as the cotton area reduced in size. However, this regional slowdown in production was compensated by huge increases in the largest producing countries, notably China and the United States which has been going on until early 2000s (to which added an increase in cotton area in Brazil, Turkey and Australia). This overcompensation along with only a slight increase in demand and an important rise in direct subsidies (particularly at the end of the 1990s) led the price to reduce by more than half between 1994/95 (92,4 US cents/lb) and 2001/02 (41,9 US cents/lb). In 2007/08, cotton prices have reached pretty high level prices, especially from January to May 2008 when cotton prices averaged 75.6 US cents/lb. According to ICAC, this increase may not been totally explained by the analysis of market fundamentals and especially the significant decrease in the stock-to-mill use ratio forecasted at 53% in 2007/08 against 58% the crop season before.

With one fourth of global output, cotton stocks, and consumption, China plays a major role in cotton, affecting the movements in prices.

Uses of Cotton

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The major end uses for cotton fibre include wearing apparel, home furnishings, and other industrial uses (such as medical supplies). The cotton fibre is made primarily into yearns and threads for use in the textile and apparel sectors (wearing apparel would account for approximately 60% of cotton consumption). Cotton is also used to make home furnishings, such as draperies (eventually the third major end use) or professional garments (about 5% of cotton fibre demand).

Besides traditional uses and as a result of different finishing processes that have been applied to the cotton fibre, cotton is made into specialty materials suitable for a great variety of uses. Cotton fabrics with specialty applications include, for example, fire-proof (flame resistant) apparel, which is suitable for professional uses and provides effective protection against potential risks associated with high temperature and particularly flashover. Flame resistant cotton fabrics are treated with chemicals. Without chemical treatment, cotton would burn up releasing very strong heat, just like the major part of synthetic fibres, which melt when they are exposed to high temperatures.

Cotton also finds specialty applications in medical and hygienic uses. Most notably, the fibre is used to manufacture hydrophile cotton (cotton wool), compress, gauze bandages, tampons or sanitary towels, and cotton swabs. In this field, the most suitable cotton variety is the species Gossypium herbaceum with short-staple thick fibres.

Cotton Economic Policies

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International Cotton Advisory Committee

The International Cotton Advisory Committee (hereinafter referred to as ICAC) is the authoritative forum for international discussions on matters related to the cotton economy. It met for the first time in Washington, D.C. in April 1940. Membership in ICAC is open to all members of the United Nations or of the Food and Agriculture Organisation of the United Nations, expressing an interest in cotton (although any other interested government shall be eligible to apply for membership).

As established in Article I of the Rules and Regulations adopted by the 31st Plenary Meeting (June 16, 1972), the functions of ICAC are:

1. To monitor developments affecting the world cotton situation;

2. To provide statistics and other information relating to world production, trade, consumption, stocks and prices of cotton and other textile fibres, or of textiles, insofar as they affect the cotton economy;

3. To suggest to member governments of ICAC, as and when advisable, any measures ICAC considers suitable and practicable for the furtherance of international collaboration directed towards developing and maintaining a sound world cotton economy;

4. To be the forum for international discussions on matters related to cotton prices.

ICAC meets in plenary session ("Advisory Committee") at least once per calendar year. Between Plenary Meetings, a Standing Committee represents the Advisory Committee at Washington. The Standing Committee gives practicable effect to all directions, decisions, and recommendations of the Advisory Committee. In this connection, it prepares work programs and monitors their implementation; makes recommendations for consideration by the Advisory Committee; establishes practicable cooperation with the United Nations and other international organisations concerned with matters of interest to ICAC. ICAC Secretariat, headquartered in Washington, comprises an Executive Director and his staff.

Overview of selected trade and economic policies

World cotton trade and production are highly affected by government policy intervention, notably in the US, China and the EU. Direct support to producers through price interventions is of particular concern as regards the efficiency of the global cotton market. According to ICAC, the aggregate level of direct production assistance across all subsidising countries reached US$2,7 billion in the season 2007/08 against US$5,6 billion in the 2006/07 and US$7,7 billion in 2005/06.

It is estimated that cotton subsidies artificially inflated production and depressed world cotton prices, damaging those developing countries that are heavily reliant on cotton exports for their foreign exchange earnings. Many studies have attempted to measure the impact of cotton subsidies, and have estimated the effects of subsidy removal. As highlighted in recent studies mentionned hereunder (GEM, 2007, ODI, 2004), different results are sensitive to different assumptions about the cotton market.

Trade disputes and negotiations

Within the World Trade Organization ("WTO"), action by developing countries to redress distortions in the cotton market has taken place in two different, although related, contexts: dispute settlement and negotiations.

Disputes: "US - Upland Cotton" (WT/DS267)

In 2003, Brazil was the first country to submit a formal complaint under the WTO dispute settlement mechanism about US cotton subsidies, claiming that they depressed world cotton prices and injured Brazilian farmers. Without the subsidies, according to estimates that Brazil commissioned from an American agricultural economist, United States cotton production would have fallen by 29% in 2001 - 2002 and its cotton exports would have dropped by 41%. According to these estimates, this contraction would have led to a rise in international cotton prices of 12.6%.

In a landmark ruling, the WTO dispute settlement Panel sided with Brazil on certain major substantive claims. The United States and Brazil each appealed certain issues of law and legal interpretations developed in the Panel Report. Finally, the Appelate Body upheld most of the Panel's findings.

Products at issue:

The dispute principally concerned United States subsidies in respect of upland cotton (Gossypium hirsutum). The term "upland cotton" here means raw upland cotton as well as the primary processed forms of such cotton including cotton lint and cottonseed. Upland cotton would account for approximately 98 per cent of United States cotton production.

Measures at issue:

It is worh recalling that the WTO Agreement on Subsidies and Countervailing Measures ("SCM Agreement") creates two basic categories of subsidies: those that are prohibited, and those that are actionable. Subsidies contingent, in law or in fact, on export performance ("export subsidies") are prohibited. Other domestic-support measures fall in the "actionable" category. They are subject to challenge, either through multilateral dispute settlement or through countervailing action, in the event that they cause adverse effects to the interests of another Member (including "serious prejudice" arising from export displacement).

The measures as identified in Brazil's request for the establishment of a panel were alleged prohibited or actionable subsidies provided to United States producers, users and/or exporters of upland cotton under various commodity support programmes.

Production and trade policies affecting the cotton industry

It is estimated that cotton subsidies artificially inflated production and depressed world cotton prices, damaging those developing countries that are heavily reliant on cotton exports for their foreign exchange earnings. Many studies have attempted to measure the impact of cotton subsidies, and have estimated the effects of subsidy removal. As highlighted in recent studies mentionned hereunder (GEM, 2007, ODI, 2004), different results are sensitive to different assumptions about the cotton market.

WTO Cotton Sub-Committee

WTO members on 19 November 2004 set up a body to focus on cotton, as required in the 1 August 2004 decision, sometimes called the "July Package", covering all the WTO negotiations.The agreement to create a body to focus specifically on cotton is part of WTO member governments' response to proposals from four African countries - Benin, Burkina Faso, Chad and Mali - to tackle the sector.

Cotton Quality

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In industrial uses of cotton, grades defined by the US Department of Agriculture are generally accepted as the world standards for cotton fibre quality.

United States Cotton Standards

Developments in Cotton Classification Standards

Prior to the development of official standards, cotton was marketed primarily on the basis of its variety and where it was grown, although some physical standards for cotton classification (sets of physical samples) were used privately. The United States Cotton Futures Act of 1914 authorised the Department of Agriculture to establish physical standards as a means of determining colour grade, staple length and strength, and other qualities and properties. These standards were thereafter agreed upon and accepted by the leading European cotton associations and exchanges. They were accordingly termed and referred to as the "Universal Standards for American Cotton." Indeed, when in 1923 the US Department of Agriculture (USDA) signed the Universal Cotton Standards Agreement with nine leading cotton associations in seven major European countries, the US classing system entered into increasingly global use. Under the auspices of the Agreement, the currently twenty-four signatory cotton associations representing twenty-one countries agreed to use only Universal Standards to arbitrate US grown American upland cotton.

In addition to use by signatory countries, Universal Standards are routinely used in over twenty-five non-signatory countries as the standard for US and non-US grown cottons. Whereas other countries started developing their own classification system, the USDA kept committed to continual development and improvement efforts in the area of cotton classification standards. Since 1991, USDA cotton classification has relied on instrumental measurements (in addition to or as a substitute for human vision) for fibre length, strength and length, micronaire (a measure of the cotton's fineness), colour grade, colour Rd (reflectance), colour +b (yellowness), and trash percent area. All instrument measurements currently utilised in USDA are performed by High Volume Instrument (HVI) patented by Uster Technologies, a leading company in textile quality controlling.

Given the international acceptance of HVI testing, in 1996 the Universal Cotton Standards Agreement was amended to recognize USDA-produced HVI calibration cotton standards for strength, length and uniformity index. The new standards were named Universal HVI Calibration Cotton Standards and continue to serve today as the most recognized standards for HVI calibration. USDA is continuing its effort toward global HVI standardisation.

The quality of the cotton fibre is determined by three factors, namely, the colour of ginned cotton, purity (the absence of foreign matter) and quality of the ginning process, and the length of fibres. Practically all cotton grown in the United States is classed by USDA at the request of producers. While classification is not mandatory, growers generally find it essential to marketing their crop and for participation in the USDA price support program. For additional information on USDA cotton classification standards, the reader is referred to the official USDA website sections on classification, the HVI system, and standardisation.

Colour

The colour of cotton fibres is primarily determined by conditions of temperature and/or humidity, cotton lint exposure to sunlight, and cotton varieties. Action by parasites or micro-organism, as well as technical defects in harvesting and subsequent storage and transport, may all affect the colour of cotton.

The colour of cotton ranges from white to yellowish and is classed into the groups "White", "Light Spotted", "Spotted Tinged" and "Yellow Stained", in descending order of quality. There are 25 official colour grades of American upland cotton, ranging from "Good Middling" colour through "Middling Yellow Stained" colour. In addition, there is a descriptive "Below Colour Grade" standard for 5 categories of American upland cotton. Fifteen of these grades are each within the range represented by a set of physical samples in the custody of the United States Department of Agriculture (physical standards), whereas the remaining 10 grades (the six "Light Spotted" grades, "Good Middling Spotted Colour", "Strict Middling Tinged Colour", and the two "Yellow Stained" grades), as well as the 5 "below grade" categories, are descriptions based on the physical colour grade standards (descriptive standards).

Colour |Colour Grade |Symbol

White |Good Middling |GM

White |Strict Middling | SM

White |Middling | Mid

White | Strict Low Middling | SLM

White | Low Middling | LM

White | Strict Good Ordinary | SGO

White | Good Ordinary | GO

Light Spotted | Good Middling Light Spotted | GM Lt Sp

Light Spotted |Strict Middling Light Spotted |SM Lt Sp

Light Spotted | Middling Light Spotted | Mid Lt Sp

Light Spotted | Strict Low Middling Light Spotted | SLM Lt Sp

Light Spotted | Low Middling Light Spotted | LM Lt Sp

Light Spotted | Strict Good Ordinary Light Spotted | SGO Lt Sp

Spotted | Good Middling Spotted | GM Sp

Spotted | Strict Middling Spotted | SM Sp

Spotted | Middling Spotted | Mid Sp

Spotted | Strict Low Middling Spotted | SGM Sp

Spotted | Low Middling Spotted | LM Sp

Spotted | Strict Good Ordinary Spotted | SGO Sp

Tinged | Strict Middling Tinged | SM Tg

Tinged | Middling Tinged | Mid Tg

Tinged | Strict Low Middling Tinged | SLM Tg

Tinged | Low Middling Tinged | LM Tg

Yellow stained | Strict Middling Yellow Stained | SM YS

Yellow Stained | Middling Yellow Stained | Mid YS

Below Grade | Below Grade-(Below Good BG 81 Ordinary) | BG

Below Grade | Below Grade-(Below Strict Good BG 82 Ordinary Light Spotted) | BG

Below Grade | Below Grade-(Below Strict Good BG 83 Ordinary Spotted) | BG

Below Grade | Below Grade-(Below Low BG 84 Middling Tinged) | BG

Below Grade | Below Grade-(Below Middling Yellow BG 85 Stained) | BG

HVI classing has been available on an optional basis to all growers since 1981. The colour of cotton is measured by the degree of reflectance (Rd) and yellowness (+b). Reflectance indicates how bright or dull a sample is, and yellowness indicates the degree of colour pigment. A three-digit colour code is used to indicate the colour grade. This colour grade is determined by locating the quadrant of the colour chart in which the Rd and +b values intersect. For example, a sample with an Rd value of 72 and a +b value of 9.0 would have a colour code of 41-3. In cotton classification, the colour grade of American upland cotton is determined using the HVI Colour Chart (instrument measurement), and referenced to colour grade standards that are in the custody of the USDA (the abovementioned Universal Cotton Standards used by human classers to determine official colour grade).

Leaf Grade and Extraneous Matter

Leaf grade describes the leaf or trash content in the cotton. Purity as regards the presence of foreign matter (waste such as leaves or earth) is of the utmost importance. There are seven official leaf grades for American upland cotton designated as "Leaf Grade 1" through "Leaf Grade 7". They are all represented by official physical standards in the custody of the USDA. In addition, there is a descriptive "Below Leaf Grade Cotton" designation for American upland cotton that is lower in leaf grade than Leaf Grade 7.

Official US standards for the leaf grade of American Upland cotton

Leaf Grade | Symbol | Code no.

Leaf Grade 1 | LG 1 | 1

Leaf Grade 2 | LG 2 | 2

Leaf Grade 3 | LG 3 | 3

Leaf Grade 4 | LG 4 | 4

Leaf Grade 5 | LG 5 | 5

Leaf Grade 6 | LG 6 | 6

Leaf Grade 7 | LG 7 | 7

Below Leaf Grade | BLG | 8

Other foreign matter (such as seed coat fragments), as well as the degree of smoothness or roughness with which cotton is ginned, may all affect the purity of the cotton lint. Additional explanatory terms considered necessary to describe adequately the condition of the cotton may thus be entered on classification memorandums or certificates.

An HVI trash measurement is also available, although the traditional method of classer determination for leaf grade and extraneous matter continues to be included as part of USDA's official cotton classification. Trash in raw cotton is measured by a video scanner, commonly referred to as a trash meter. It is a measure of both leaf and other elements such as grass and bark. The surface of the cotton sample is scanned by the camera and the percentage of the surface area occupied by trash particles is calculated.

Fibre Length

Fibre length is defined as the average length of the longer one-half of the fibres (upper half mean length). Fibre length is basically an inherited/genetically character of the seed variety. However, weather, nutrient deficiencies, as well as excessive cleaning and/or drying at the gin may also affect the fibre length. By affecting yarn strength and evenness, and the efficiency of the spinning process, the length of the fibre has a great influence on quality and price.

According to USDA's classing methodology, length measurement of American upland cotton is performed by HVI in accordance with standard test methods. The length of staple, measured in inches and fractions of an inch, is classed according to the following codes:

length(inches) | code | length(inches) | code

<13/16 | 24 | 1-3/16 | 38

13/16 | 26 | 1-7/32 | 39

7/8 | 28 | 1-1/4 | 40

29/32 | 29 | 1-9/32 | 41

15/16 | 30 | 1-5/16 | 42

31/32 | 31 | 1-11/32 | 43

1 | 32 | 1-3/8 | 44

1-1/32 | 33 | 1-13/32 | 45

1-1/16 | 34 | 1-7/16 | 46

1-3/32 | 35 | 1-15/32 | 47

1-1/8 | 36 | 1-1/2 | 48

1-5/32 | 37

Uniformity

Length uniformity is the ratio between the mean length and the upper half mean length of the cotton fibres within a sample. It is measured on the same beards of cotton that are used for measuring fibre length and is reported as a percentage. The higher the percentage, the greater the uniformity. If all the fibres in the sample were of the same length, the mean length and the upper half mean length would be the same, and the uniformity index would be 100. The following tabulation can be used as a guide in interpreting length uniformity results. Measurements are performed by HVI. Cotton with a low uniformity index is likely to have a high percentage of short fibres and may be difficult to process

Length Uniformity Index

Descriptive Designation | Length Uniformity

Very low | below 77

Low | 77-79

Average | 80-82

High | 83-85

Very high | Above 85

Strength

The fibre strength measurement is made by clamping and breaking a bundle of fibres from the same beards of cotton that are used for measuring fibre length. Results are reported in terms of grams per tex (a tex unit is equal to the weight in grams of 1,000 meters of fibre). It expresses the force required to break a bundle of fibres one tex unit in size. Fibre strength is largely determined by variety. Strength measurements are performed by HVI in accordance with standard test methods. The descriptive terms listed below may be helpful in explaining the measurement results.

Fibre Strength Table

Descriptive Designation | Strength (grams per tex)

weak | 23 and below

intermediate | 24-25

average | 26-28

strong | 29-30

very strong | 31 and above

Other properties that are of great importance in the industrial uses of cotton, including fibre fineness and maturity, are measured in accordance with standard test methods. Classing methodology is constantly updated to include state-of-the-art methods and equipment. Fibre properties are also measured for American pima cotton.

While the basic testing procedures for American Pima cotton are the same as for American upland cotton, different grade standards are used. For more information, refer to the Classification of Cotton (Cotton incorporated).

Global Cotton Varieties, Planting and Harvesting Periods

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Afghanistan

Planting Period : April - May

Harvesting : Oct - Dec

Staple in mm : 26-28

Variety : Acala

Argentina

Planting Period : Sep - Oct

Harvesting Period : Feb - June

Staple in mm : 24 - 28

Variety : Toba

Australia

Planting Period : Sep - Nov

Harvesting Period : Mar - June

Staple in mm :24 - 29

Variety: DPL

Brazil

Planting Period : Oct - Nov

Harvesting Period : Mar - June

Staple in mm : 26 - 28

Variety : IAC

Burkin

Planting Period : June - July

Harvesting Period : Nov - Dec

Staple in mm : 25 - 28

Variety : Allen

Camerron

Planting Period : June

Harvesting Period : Nov - Dec

Staple in mm : 25 - 28

Variety : Allen

Central Africa

Planting Period : June - July

Harvesting Period : Nov - Dec

Staple in mm : 25 - 28

Variety : Allen

Chad

Planting Period : June

Harvesting Period : Nov- Dec

Staple in mm : 25 - 28

Variety : Allen

China

Planting Period : April - June

Harvesting Period : Sep - Oct

Staple in mm : 22 - 28

Variety : Shandong, Xinjiang, MNH-93

Coted Ivorie

Planting Period : June - Aug

Harvesting Period : Oct - Jan

Staple in mm : 24 - 28

Variety : Allen

Egypt

Planting Period : March

Harvesting Period : Sep - Oct

Staple in mm : 31 - 40

Variety : Giza

Greece

Planting Period : April

Harvesting Period : Sep - Oct

Staple in mm : 26 - 28

Variety : 4S

India

Planting Period : April - Nov

Harvesting Period :Sep - Nov

Staple in mm : 16 - 38

Variety : G cot, DH 37, G cot DH 9, DDH 2,SRT 1, Renuka, LRA 5166, Anjali, Rajat

Iran

Planting Period : Mar - April

Harvesting Period : Sep - Nov

Staple in mm : 26 - 28

Variety : Coker

Israel

Planting Period : April

Harvesting Period : Sep - Oct

Staple in mm : 26 - 37

Variety : Akala

Mali

Planting Period : June - July

Harvesting Period : Oct - Nov

Staple in mm : 26 - 27

Variety : BJA

Mexico

Planting Period : March - June

Harvesting Period : Aug - Dec

Staple in mm : 26 - 29

Variety : Deltapine

Mozambique

Planting Period : Nov - Dec

Harvesting Period : April - May

Staple in mm : 25 - 29

Variety : A637

Nigeria

Planting Period : July - Aug

Harvesting Period : Dec - Feb

Staple in mm : 24 - 26

Variety : Samaru

Paraguay

Planting Period : Oct - Dec

Harvesting Period : March - April

Staple in mm : 26 - 28

Variety : Empire

Peru

Planting Period : July - Nov

Harvesting Period : Feb - Aug

Staple in mm : 26 - 28

Variety : Tanguis, Pima

Spain

Planting Period : April - May

Harvesting Period : Sep - Nov

Staple in mm : 25 - 28

Variety : Corolina

Sudan

Planting Period : Aug

Harvesting Period : June - April

Staple in mm : 27 - 30

Variety : Barakat, Acala

Syria

Planting Period : Aril - May

Harvesting Period : Sep - Nov

Staple in mm : 25 - 29

Variety : Alleppo

Togo

Planting Period : June - July

Harvesting Period : Nov - Dec

Staple in mm : 28 - 29

Variety : Allen

Uganda

Planting Period : April - June

Harvesting Period : Nov - Feb

Staple in mm : 26 - 28

Variety : Bap - Satu

USA

Planting Period : April - May

Harvesting Period : Sep - Dec

Staple in mm : 26 - 40

Variety : Acala151T, Deltapinenc, Paymaster280, Stonovilliest, Pima S7

Yemen

Planting Period : Aug - Sep

Harvesting Period : June - April

Staple in mm : 36 - 40

Variety : K4

Leading Cotton Producing Countries

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People's Republic of China : 25.3million bales

India : 20.5million bales

United States : 19.2 million bales

Pakistan : 11.7million bales

Brazil : 7.2 million bales

Uzbekistan : 5.5 million bales

Turkey : 3.2 million bales

Greece : 1.4 million bales

Turkmenistan : 1.3 million bales

Syria : 1.2 million bales

Cotton Market

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The United States and Russia shuffle the first position in the cotton production between themselves. These two, countries are closely followed by China and India while other important producers include Brazil, Egypt, Mexico and Pakistan.

United States

The most famous cotton growing area in the United States is the 'cotton belt' which refers to a large area from southern Virginia to western Texas, excluding most of Florida but including major parts of Oklahoma, Arkansas, and Tennessee as well as the adjoining corners of Missouri and Kentucky. The most important of these in area, yield and production is the Mississippi alluvial plain. The outer limit of the cotton belt corresponds to the 200 day growing season and rough topography in the north, low and uncertain rainfall in the west and poorly drained coastal marshland on the south and heavy autumn rainfall in the east.

The desert valleys of the lower Colorado basin in the California and Arizona resemble the famous Egyptian long-staple cotton growing region in respect of dry season and almost continuous sunshine. The dry climate reduces the danger of the boll weevil. Flat and fertile land, long growing season, and irrigation water are the bases for the yields per acre more than twice the national average.

Russia

Cotton growing has made remarkable progress in Russia. Also, a land and water reform was introduced in the cotton growing former Soviet republics Uzbekistan, Kazakhstan, Kirghizia etc. during the very first years of socialist construction. Large state and collective cotton growing farms came into being in central Asia, Kazakhstan and Transcaucasia. Advanced agrotechnical methods were introduced into cotton growing practice and extensive work of irrigation was carried out as a sequel to the radical land reform measures.

The areas's principal cotton growing base is Uzbekistan where most of the cotton production is localized and which represents more than 60% of the ex-Soviet countries cotton acreage. The second, third, fourth and the fifth places go to the credit of the Turkmen, the Azerbaijan, the Tajik, and the Kazak respectively. The Kirghiz and Armenian Union republics are also other important producers.

China

Since 1949 a great deal has been achieved with regard to cotton cultivation. Research on methods of cultivation and new varieties has not only increased output in the established and high-yielding areas of Kiangsu, Hupeh, Honan and Shensi but also has opened new or previously little developed regions. New varieties have enabled Liaoning, which has only 150-160 frost less days, to produce successfully long-staple cotton. Expansion of the growing area and consequently the output of cotton in Sinkiang are to a large extent attributable to development of irrigation.

Egypt

The Nile valley of Egypt is unquestionably the best cotton field in the world. The highly fertile alluvial soil of the Nile delta, long fertilized by the flood waters, with almost continuous sunshine and warmed by a climate in which there is a steady rise in temperature from spring to summer and steady decline from summer to autumn yields a return, nearly double the amount obtained in the United States. Largest acreage than any other crop is sown with cotton, and this represents more than 20% of the cultivated land. Increase in cotton acreage is greatly limited by the absence of irrigation facilities. However, the construction of the Aswan Dam near the Sudanese border has gone a long way in the development of cotton cultivation in Egypt. Egypt accounts for about 17% of the world's cotton exports. With regard to the export of long-staple cotton Egypt is a source of envy with its world share of about 25%. Production of long-staple cotton, developed from the Egyptian v arieties, has spread with varying degrees of success in the irrigated area of India, Pakistan, Sudan, Peru, Russia, and the southwestern United States.

Brazil

Brazil held the sixth position in the world in 1987-88 in the production of cotton. The former sugar lands of northeastern Brazil accounts for about 25% of the national output. Both long yet strong fibered 'tree cotton' and regular short-staple varieties are grown. The rest of the Brazilian output originates from Sao Paulo where coffee and cotton vary m acreage and importance according to fluctuations in world prices and demand.

Mexico

Mexico represents less than 2% of the world's cotton in 1987-88. Major producing districts lie close to the U.S. border on the Colorado River delta and along the Rio Grande, and also in Oases in the dry interior and along the west coast.

Other Latin American Countries

Peruvian cotton is noted for its excellent quality. Peru grows its cotton along the coast under irrigation. Colombia and Argentina are the second and the third largest producers of cotton in South America. Bolivia, Equador, Paraguay and Venezuela are other cotton growing countries.

As many as 70 countries are engaged in the cultivation of cotton all over the world but more than 80% of cotton is grown in only nine countries.

Cotton in India

With regard to cotton acreage, India is second to none in the world, but in total output she ranks a poor fourth; India contributes only 10% of the world production. Cotton holds the first position among the commercial crops in India if its manufacturing aspect is also taken into consideration.

India grows a large variety of cotton over a range of climatic and edaphic conditions from the sub-montane tract in the extreme north of Punjab to the Tinnevelly district of Tamil Nadu in the extreme south of India; Generally speaking it is an arid region crop and thrives best where rainfall is less than 75 cm. The soil is no less important. The sticky black cotton soil of Deccan Trap with greater moisture retaining capacity is ideal for cotton cultivation.

In India cotton is considered long-staple when the fibre is 2.2 cm and above; it is medium staple, when the tearing length of fibre varies between 22 cm and 1.7 cm, if the length of fibre is below 1.7 cm it is classed as short staple variety.

Principal Producing Areas

The major cotton producing areas are the southern United States, Russia, India, Pakistan, Egypt, China and Brazil. The less important producers are Mexico, Sudan, Peru, Uganda, Turkey and Argentina.

World Trade in Raw Cotton

The principal exporters of raw cotton are the U.S.A. Egypt, Brazil, Pakistan, Uganda, Peru and Russia. During 1987-88 cotton exports of the U.S.A., Egypt, U.S.S.R., Brazil and Pakistan were 4.6 million bales, 1.6 million bales, 1.2 million bales, 0.8 million bales and 0.6 million bales of 500 lbs. each. Mexico, Peru, other African countries and Turkey exported 0.9 million bales, 0.3 million bales, 0.9 million bales and 0.4 million bales of 500 lbs each. U.K. is the principal customer of U.S.A.'s cotton. India's imports are confined to long staple cotton of 90 thousand metric tones annually from U.S.A., Kenya, U.A.R., Tanganyika and Sudan.

Cotton Pest Management

• Overview of Cotton Pest Management
• Growing a Healthy Crop
• Keeping Track of Insects and Damange
• Preserving Beneficial Insects
• Preventing Insecticide Resistance
• Managing Crop and Weed Hosts
• Using Trap Crops Effectively
• Communication and Training
• Insecticide Resistance Management Strategy

Cotton Pests and Diseases

Ants

Some species of Australian ants (Hymenoptera: Formicidae) are important predators of cotton pests, particularly under raingrown conditions and in lighter soils where ant colonies can establish within the field. However ants can sometimes form associations with aphids, in which they feed on aphid honeydew, and in return, nurture and defend aphid colonies against other predators.

During an irrigation event, ants present in the crop will re-locate their eggs higher into the plant canopy.

Bacteria

Bacterial disease may also affect larvae of various cotton pests such as heliothis. Commonly, bacterial infections can be observed after artificial infection with Bacillus thuringiensis (Berliner), sold commercially as Bt sprays.

Bacterial Blight (Xanthomonas Axonopodis or X. Campestris Pvmavacearum - Exotic Strains)

Although strains of bacterial blight are alreadypresent in Australia, they are no longer a problemdue to varietal resistance. Exotic strains (races)occur, however, that are ‘hypervirulent' and, ifestablished in Australia, would cause large yieldlosses. The disease is seed borne allowing easydispersal and introduction of new races into newareas. Bacterial blight is spread by high temperature,humidity and rainfall.

The initial symptoms include the undersides of leaveshave angular water soaked lesions. Lesions dry anddarken with age then leaves are shed. Black lesionsspread along stem. Bolls often infected at base or tip.Lesions dry out and prevent the boll opening. The pathogen is capable of symptomless transfer andtherefore could be undetected through quarantine.Symptoms include yellowing or bronzing of leaves,leaves wilt and die; dead leaves usually remain onplant. At this stage, roots are dead and surface iscovered with network of tan fungal strands.

Fungal Diseases

Fungal diseases may affect larvae of heliothis, cotton looper, cluster caterpillar and armyworms. Prolonged, moist conditions favour the development of fungal diseases such as those caused by Nomuraea rileyi (Farlow)Samson and Beauveria bassiana (Balsamo) Vuillemin. Larvae infected by fungus become stiff and are anchored to the plant by fungal threads. Later, they are completely covered in white fungus which produces a velvety layer of spores under moist conditions, green in the case of N. rileyi or white for Beauveria spp. These spores infect other larvae and other species of insects producing fungal threads which penetrate their bodies.

TExAS Root Rot (Phymatotrichopsisomnivore)

Texas root rot is an extremely damaging fungal diseasewith a wide host range. It causes sudden death ofaffected plants, usually during the warmer months. Incotton, infection can result in 100% crop loss. If thisdisease became established in Australia, control wouldbe extremely difficult as management using rotationsand fungicides is usually only partially effective.Symptoms include yellowing or bronzing of leaves,leaves wilt and die; dead leaves usually remain onplant. At this stage, roots are dead and surface iscovered with network of tan fungal strands.

Fusarium Wilt (Fusarium oxysporum F. sp. vasinfectum - Exotic Strains)

Fusarium wilt is a fungal disease. Strains ofFusarium were identified in Australia in 1993however the introduction of new strains (races)would increase the difficulty of management as newresistant varieties would be required.External symptoms can appear in the crop atany stage but most commonly appear in eitherthe seedling phase or after flowering when bollsare filling. Leaves appear dull and wilted beforeyellowing or browning progresses to eventual deathfrom the top of the plant. Seedlings may either wiltand die or survive, but often with stunted growth.Adult plants may wilt and die, especially underconditions of stress. Some affected plants mayre-shoot from the base of the stem. Lengthwisecutting of the stem from affected plants will showcontinuous brown discolouration of the tissue.The internal discolouration is similar to that ofVerticillium wilt but usually appears as continuousbrowning rather than flecks. Sometimes thediscolouration is visible in only one side of thestem. External symptoms do not always reflect theextent of discolouration in the stem.

Blue Disease

Blue disease is a virus specific to cotton that canreduce yield potential by up to 20%. It is spread bya vector, the cotton aphid. It has been associatedwith plants infected with cotton leaf roll dwarf virus(CLRDV) and has similarities with cotton bunchytop, anthocyanosis and cotton leaf roll. It is notknown if the same pathogen causes all these diseasesor if there are multiple pathogens causing similarsymptoms. CLRDV was not detected from Australiancotton affected by cotton bunchy top disease. Cottonblue disease affected leaves tend to be smaller, thick,more brittle and leathery and have an intense greento bluish colour with yellow veins. Reddening of stempetioles and leaf veins can occur in some infections.Leaf edges tend to roll downwards and under andplants become stunted due to a shortening of thebranch internodes and produce many branches,giving a bunchy zig-zag stem habit. Symptoms aremore obvious in plants infected at an early age andstunting is more pronounced. Infected plants alsoproduce smaller bolls and boll shed may occur. Singleinfected plants can be overlooked if overgrown bynearby healthy plants.

Cotton Leaf Curl Disease (CLCUD)

CLCuD, sometimes referred to as Gemini virus, cancause yield losses of up to 35% in cotton. It is spreadby a whitefly vector. There are at least seven differentbegomoviruses and several different DNA satellitemolecules associated with CLCuD. A cotton plantneeds to be infected with at least one begomovirusand one satellite to develop CLCuD.Symptoms of CLCuD are seen on leaves andinitially appear as a swelling and darkening of leafveins, followed by a deep downward cupping of theyoungest leaves then either an upward or downwardcurling of the leaf margins. Leaf-like structures(enations) on the veins are common and vary in sizefrom only a few millimetres in diameter to almostthe size of a normal leaf. These larger structures areoften cup-shaped.

Indian Green  Jassid (Amrascadevestans)

Indian green jassid is a sap-sucking insect pest thatcan cause yield losses of up to 25%. While several‘jassid' species are found in Australian cotton .The damage they cause is relatively minor, rarely if everaffecting yield. Green jassids inject a toxin as they feed that causes leaves and bolls to drop and canstunt plant growth. Elsewhere green jassids can bemanaged using resistant varieties and insecticides.Hairy-leafed varieties are used in parts of Africa andthe sub-continent where cotton is hand harvestedto provide effective resistance against green jassids.Such varieties are not suitable for mechanical harvestas the leaf hairs cause excessive leaf trash in thecotton lint.

Bugs

Bigeyed Bug

The huge eyes on the bigeyed bug, Geocoris lubra Kirkaldy provide easy identification. The cylindrical, white eggs are laid singly on terminals and under leaves. Adults and nymphs are fast-moving, daytime hunters of a range of soft-bodied insects and mites which they kill with piercing/sucking mouthparts. Numbers in cotton are highest during flowering. Germalus sp. is a slightly larger, related species also common in cotton but the two may be distinguished by colour. Geocoris is dark brown to black whereas Germalus is brown and green.

Brown Smudge Bug

The habits of the brown smudge bug, Deraeocoris signatus (Distant) are not well known, though it has been found to feed on heliothis eggs, aphids and the apple dimpling bug. The maroon coloured nymphs and the adults are very aggressive predators of mites. It is most abundant in unsprayed cotton in December, January and February.

Damsel Bug

The damsel bug, Nabis kinbergii Reuter inserts its eggs singly into soft plant tissues so that the circular emergence caps protrude above the surface. Nymphs are small and wingless but otherwise similar to the adults. Nymphs and adults use piercing/sucking 'beaks' to feed on many insects including eggs and larvae of moths, mites and aphids. They are usually present in any kind of crop infested with caterpillars. Maximum numbers occur in unsprayed cotton at the same time as maximum numbers of heliothis larvae. Adult damsel bugs may be found on weeds and crops during winter.

Glossy Shield Bug

Larvae including those of loopers and heliothis are the usual food of the glossy shield bug, Cermatulus nasalis (Westwood) and its nymphs. The black eggs which are laid in 'rafts' of 50 or more have short, white spines around the rim. Nymphs are dark red and brown with the early instars being bright red. Maximum numbers are found in unsprayed cotton during midsummer. In early summer they can be found in linseed and lucerne crops infested with heliothis. This species is easily confused with the brown shield bug.

Pirate Bugs

Pirate bugs, Orius spp. prey on thrips and eggs of other insect pests in cotton. They often appear in large numbers at flowering when thrips are in abundance.

Predatory Shield Bug

The predatory shield bug, Oechalia schellenbergii (Guerin-Meneville) is another species which feeds with piercing/sucking mouthparts mainly on caterpillars. Adults can be found at any time of year on weeds or crops infested with caterpillars. The black eggs are laid in 'rafts' usually in multiples of 14, with long, white spines around the rim. The nymphs are dark red and brown. Adults and nymphs are usually most abundant in cotton from December to February.

Red Eyes Bug

Leptocoris mitellata, the red eyes bug. This species may be confused with cotton stainers.

Note that their wings are generally dark, rather than being orange with a distinct dark spot. L. mitellata has a wide host range including fruit trees and many garden plants. They are attracted to light and will often shelter in large numbers around houses. Little is known of the behaviour of these species in cotton. If they are present, ensure bolls are monitored for signs of plant bug damage.

Seed Eating Bug

Graptostethus servus, seed eating bug (Note that their wings are generally dark, rather than being orange with a distinct dark spot.cf pale cotton stainers) G. servus is a pest of sorghum, soybeans, mungbeansand cowpeas. They are attracted to light and will often shelter in large numbers around houses.Little is known of the behaviour of these species in cotton. If they are present, ensure bolls are monitored for signs of plant bug damage

Tarnished Plant Bug (Lygus Lineolaris)

The tarnished plant bug is a pest of over 250 plantspecies. In cotton, its feeding causes seed abortion,stem or leaf wilting and poor seed germination.It has 2-5 generations per year and can thereforequickly build up to high levels.

Beetles

Green Carab Beetle

Beetles belonging to the family Carabidae are general predators which vary greatly in size and colour. Green carab beetle, Calosoma schayeri Erichson is a large, active beetle hunting caterpillars and other slow-moving prey. It flies at night and is attracted to lights. If handled roughly these beetles give off an unpleasant smell. The larvae are predaceous also but have not been found in cotton fields.

Green Soldier Beetle

The green soldier beetle, Chauliognathus pulchellus W.S. Macleay sometimes occurs in large, flying swarms of low density. Some swarms seem to be mating aggregations while others seem to be mass dispersal flights. Large numbers of these beetles can arrive in a crop in a very short time. It is now thought that the adults of these beetles are plant feeders although they are not classified as a pest of cotton. The larvae are predacious although they have not been found in cotton fields.

Red and Blue Beetle

The distinctive red and blue beetle, Dicranolaius bellulus (Guerin-Meneville) is extremely abundant in a range of habitats in some years and is rare in other years. The adults are partly carnivorous and search actively over cotton plants during the day. They eat eggs and small heliothis larvae and probably other slow-moving insects. In rice crops, adults have been found to feed on pollen anthers and stamens and are therefore sometimes referred to as pollen beetles. The egg, larval and pupal stages occur in the soil.

Ladybirds

Adults and larvae of ladybirds are important predatory insects in cotton, especially early season and when chemicals have not been used against pests. They are voracious predators of aphids and, under most conditions, ladybirds, along with lacewings and hover flies, stop aphid populations from increasing explosively. Ladybirds are also important predators of mites, heliothis eggs and small larvae. Ladybird eggs are generally yellow, spindle-shaped and laid standing on end in groups. The larvae are characteristically tapered, often with prominent tubercles, whilst the adults are round and highly convex in shape.

The most common ladybirds found in cotton are: transverse ladybird, Coccinella transversalis Fabricius, striped ladybird, Micraspis frenata (Erichson) and the maculate or three banded ladybird, Harmonia octomaculata (Fabricius). Minute two-spotted ladybird, Diomus notescens (Blackburn) is another common predator in cotton, particularly of mites. The tiny mite-eating ladybirds, Stethorus spp. are also good mite predators.

White Collared Ladybird

This new ladybird species Hippodamia variegata was first recorded by Dr. Franzman (QDPI) in Gatton in November 2000 and has spread rapidly since then. It's not known how they entered Australia, but researchers suspect that it was either accidental or through deliberate introduction for pest control. The species is native to Europe and has spread to many other regions around the world.

Transverse Ladybird

The Transverse ladybird or Coccinella transversalis is commonly found in cotton crops, and are voracious predators of aphids, mites and Helicoverpa eggs and small larvae.

Earwigs

Earwigs have distinctive pincers at the 'tail' and hide on and in the ground during the day. Adult female guard their oval, white eggs and young nymphs in burrows in the ground. The common brown earwig Labidura truncata Kirby is a nocturnal predator of caterpillars. It also attacks heliothis pupae in their chambers in the ground. Adults have wings folded beneath the slate-blue covers on the thorax and can fly.

Black Field Earwig

Black field earwig, Nala lividipes (Dufour) also commonly occurs in cotton fields. It is smaller and entirely black in colour and can be a pest of seeds and seedlings.

Flies

Hover Flies

Adult hover flies (Syrphidae) are harmless but mimic bees and wasps with black and yellow bands across their abdomens. They feed on nectar and pollen of flowers. They fly swiftly and hover. White, oval eggs are laid on their sides near colonies of aphids. Larvae are blind, slug-like maggots which feed voraciously on aphids. The brown, tear-shaped puparia are found under leaves or in ground litter. Other fly larvae like members of the Chamaemyiidae family are also predators of aphids. They are similar to the hoverfly larvae but are smaller and have 2 distinct spines on one end.

Whitefly (Bemisia Tabaci B-Type or Q-Type)

Whitefly feeding results in a sticky residue, sooty moulds, reduced boll size and poor lint quality.Although the B-type whitefly is present in Australia there is a risk of other B-type strains and other biotypes, e.g. Q-type, entering the country with different insecticide resistance profiles. Whiteflies are also vectors of damaging exotic viruses such as cotton leaf curl disease.

Lacewings

Green Lacewings

At least two species of green lacewings, belonging to the genus Mallada are found on cotton. Their eggs are unmistakable, being white, oval and attached in groups to the undersides of leaves by long, flexible stalks.

The larvae are squat, six-legged, voracious hunters which camouflage themselves by lodging corpses of their victims on their backs. They have large, hollow, sickle-shaped jaws which they drive into softbodied insects or eggs before sucking up the contents.

The pupal cocoon is also camouflaged with corpses. Adults have a slow, fluttering flight and are not predaceous as they usually feed on nectar. Greatest numbers are found on cotton in mid to late season, especially if aphids are present. Larvae also feed on mites.

Large numbers of green lacewing eggs are often found in commercial cotton crops, but larvae are seldom seen. This is thought to be due to: the camouflaged nature of the larva making detection difficult; high mortality due to the use of broad-spectrum insecticides; and the often high level of egg parasitism by Telenomus sp.

Brown Lacewing

The brown lacewing, Micromus tasmaniae Walker lays cream, oval eggs singly attached by one side to the underside of leaves. Larvae have sickle-shaped, hollow jaws like green lacewings. They differ from green lacewings by being longer and thinner and by not camouflaging themselves. Larvae are voracious predators of all insects and adults have been seen to eat heliothis eggs. Adults fly at night and are attracted to light.

Spiders

Flower or crab spidersFlower or crab spiders, (family Thomisidae) have crab-like legs and are often brightly coloured. They specialise in hiding on flowers where they are well camouflaged and ambush small insects attracted to nectar and pollen. They make no web but females cover their eggs with a silken shelter, usually under leaves.

Jumping Spiders

Jumping spiders (family Salticidae) have two particularly large, forward-facing eyes which give them excellent binocular vision. They rest during the night and actively roam plants during the day jumping on prey detected by eyesight. They are generalist predators but have been observed eating jassids and small heliothis larvae. Except for the first pair, the legs are relatively short. Most species on cotton are predominantly dark or grey in colour.

Lynx Spiders

Lynx spiders, Oxyopes spp. are active hunters usually seen near the tops of plants. They do not make a web but use their good eyesight to locate prey, then jump on it from a distance. Their legs bear numerous characteristic spines. Their abdomens are narrow and pointed and usually pale brown to green and striped. As in almost all spiders, the young disperse by 'ballooning' from tall plants where the silk is played out into the breeze until the pull lifts and carries them away. Most spiders arrive on cotton in this way in early summer and do not mature and reproduce until the crop is flowering. Lynx spiders are generalist predators like most spiders and have been observed eating small helicoverpa larvae and jassids and are known as important predators of Mirids (Cotton Flea hopper) in the United States.

Nightstalking Spiders

Small nightstalking spiders, Cheiracanthium spp. are pale yellow with a faint grey mark on the abdomen. The 'head' of larger specimens may become pale orange (yellow nightstalking sac spider - Cheiracanthium mordax L. Koch). During the day they hide in silken retreats, often under leaves and during the night they stalk over plants searching for slow-moving prey. They will eat heliothis eggs as well as larvae. Mating takes place in midsummer in large silk retreats and the females guard their eggs in the retreats until they hatch.

Wolf Spiders

Several species of wolf spider, many belonging to the genus Lycosa occur in cotton fields. Most have a shallow burrow in the soil as a retreat and range over the ground searching for prey. Their coloration merges well into a background of soil. Some species also climb plants. Large specimens have been seen killing large heliothis larvae and attack Heliothis moths. Females of these spiders carry their eggs in a grey ball attached to the abdomen. Wolf spiders are most easily seen in early summer before the cotton canopy closes over furrows.

Thrips

Although thrips are one of the most common early seedling pests in most cotton growing districts, their damage is usually cosmetic and rarely affects yield or earliness. Severe damage, resulting in plant tip loss or seedling death, tends to occur only under extreme infestation levels or in combination with cool weather. Control is warranted under these circumstances. However all thrips species commonly found in cotton are also predators of spider mite eggs. So control of thrips to prevent damage should be carefully weighed against their predatory activity and the impact of insecticides on other beneficials.

The most common species infesting cotton are tobacco thrips, Thrips tabaci Lindeman and tomato thrips, Frankliniella schultzei (Trybom). Plague thrips, Thrips imaginis Bagnall, although previously suggested to be an important species, is found rarely in cotton. Adults are small, cylindrical insects less than 1.5 mm in length, and colours range from yellow to grey to black. They have two pairs of narrow wings fringed with long hairs. The nymphs are less than l mm in length, pale yellow and wingless.

T. tabaci is the most abundant in the early season and is usually a pale straw colour. F. schultze can be abundant on young cotton but more typically dominates once flowering has commenced. This species can vary in colour but in most cotton regions is typically a dark almost

In the 2001/02 cotton season, the western flower thrips, Frankiliniella occidentalis (Pergande), was recorded in cotton for the first time. This species was accidentally introduced into Australia in the early 1990's. It is similar in appearance to F. schultzei exept that it is paler in colour (see picture). This makes it easy to distinguish from F. schultzei later in the season but hard to distinguish from T. tabaci in the early season. The western flower thrips causes similar damage to cotton as our native species and also feeds on spider mite eggs. The strains introduced to Australia have resistance to a range of insecticides, including many organophosphates and carbarmates.

Damage Caused by Thrips

Thrips are pests only during the seedling stage of growth. They infest the underside of cotyledons, young leaves and also the growing point of the plant. They use their mouthparts to pierce the leaf surface and suck out plant juices. Damaged leaves take on a silvery, bleached appearance and younger leaves become distorted in shape. Under most circumstances, this form of damage is cosmetic, plants recover quickly and control is not warranted.

Thrips infestations tend to be serious under cool, dry conditions when seedlings are unable to grow away from the damage. Severe damage can result in destruction of the growing point ('tipping out') leading to extensive lateral branching. Seedling death can be associated with extreme infestations or a combination of desiccation by thrips and damping off diseases. If damage to this extent is allowed to occur, heavy losses of plant stand may necessitate replanting the crop, while severe multiple branching may cause a maturity delay of 7 to 14 days. This delay, if compounded by damage from other pests, may cause a yield loss. Analysis of the effects of thrips on the yield and maturity of cotton over the past 6 years has shown that the risk of yield loss occuring is about 1 year in 10 in warm regions; but is higher at 1 year in 2 in cool regions. Overall, the risk of delayed maturity was low with delays of less than 4 days most common. Only extreme populations (70 thrips per plant) caused delays in excess of 7 days. This information can be used to help make decisions on the need for prophylactic insecticide treatment to the seed or at planting.

Cotton Boll Weevil (AnthomonusgranDIS)

Cotton boll weevil is specific to cotton and causes large yield losses due to damage to developing bollsand subsequent reduction in lint production. In theUSA, control of cotton boll weevil using insecticidescosts hundreds of millions of dollars.

Spider Mites (Tetrany Chid Mites)

Spider mites are in the group that includes ticks. Theyfeed on the undersides of leaves, sucking out thecell contents. Their damage causes a characteristicbronzing of leaves, and if uncontrolled candramatically reduce yield and fibre quality. Severalspecies are found in Australian cotton, the mostcommon of which is the two-spotted spider mite.However, overseas there are a range of other speciesthat have different host preferences, cause moresevere damage or have resistance to some of our keyacaricides.

Melon Aphid (Aphis Gossipyi Exotic Strains)

Aphids damage cotton by feeding on young leaves andbolls which can reduce yield. They produce a stickyresidue that can cover leaves resulting in reducedphotosynthesis and contamination of lint as bollsopen, reducing the crop's value. This species may alsocarry exotic diseases such as blue disease. As well asthe risk of disease, there is a risk that new aphid strainsentering the country will have different insecticideresistance profiles, making control more difficult.

Verticilium Wilt - Defoilating Strains

Australian strains of Verticilium wilt are describedas mild in comparison to the defoliating stratins thatoriginated in North America but are now becomingmore widespread. If established in Australia,management would be reliant on the use of resistantvarieties, with a lag of several years before adaptedvarieties were available.