The Fabric of Our Lives, with Prices on the Rise!
Over the past several months there have been numerous articles warning consumers about the increase in cotton prices around the world. Who would have thought such a light, white and fluffy crop would be sticking its sharp thorns into consumer’s wallets at such a rapid rate!?!
A combination of several factors has caused the price of cotton to more than double during the past year. First, there’s the increase in demand for cotton, which has lead to a shortage of crops. Additionally, the increase in demand brought in more competition, and more competition + a shortage means higher prices for manufacturers, and in turn, the consumer. And according to an article in Bizmology this month, the federal government revealed information that an even steeper shortfall in global cotton production is expected for the future. Finally, dismal weather conditions in India, Australia and Pakistan left significant damage to their cotton crops, resulting in an even greater shortage.
What does all this mean? It means that a trickle-down effect will start to impact the price of consumer products over the next year, if it hasn’t already. The New York Times reported that big companies like Levi’s and Hanesbrands have already started to increase the price of their cotton-based products late last year, due to the increase prices on their end. Unfortunately, this cotton shortage may end up impacting everything from your favorite pair of jeans to those comfy scrubs you wear to work. Hopefully things will start to look up over time, but until then, we wanted to keep you in-the-know!