A suite of Australian cotton industry gross margin budgets are available for the 2025-26 season. The budgets are updated biennially and are provided for both those within and outside of the industry to gain an understanding of the operations, production costs and margins for the cotton industry.
The gross margin budgets represent the difference between gross income and the variable costs of producing the crop. They do not take into account risk, overhead costs (such as machinery depreciation, interest payments or permanent labour) and they do not calculate farm profit. Operations will vary from field to field, and between farms and regions. These budgets provide an indication only and cotton growers are advised to tailor their own budgets to the requirements of individual paddocks.
The 2025-26 cotton gross margins include:
- Furrow irrigated
- Furrow irrigated (contracted)
- Overhead irrigated
- Dryland/rain grown
- Semi-irrigated (double-skip)
- Northern Australia rain grown
- Northern Australia irrigated
- Notes and assumptions 2025-26
This season, we have included gross margin budgets for the emerging cotton regions in the North (QLD, NT and WA), including rain grown and irrigated. The gross margins were based on inputs from farmers, researchers, agronomists and industry specialists across QLD, NT, and WA.
The Australian cotton industry gross margins are bought to you by the cotton industry’s joint extension program, CottonInfo, and are compiled by George Revell and Janine Powell of AgEcon.
You can download the customisable Gross Margin Spreadsheet for 2025-26 here.
Other gross margins that you may find useful include NSW DPI's farm budgets and costs.
For further information please contact Janine Powell or George Revell.