June,
Cotton is grown in the US. There is even a fabric store in the web that specializes in US fabrics to the extent they have their own fabric sent overseas to be batiked.
Yes, cotton does require soil suppliments, but since this has been known for well over a century, as well as how this can be done in envirmentally friendly ways (such as alternative crops being planted) I'm not sure where the rumor about cotton originated.
If there are more questions, I'd check with the Cooperative Extension Service in your state for information. They are the ag experts.