Rose_P

When I read this I thought we were seeing this difference because of the exchange rate, but I checked and the Australian dollar is barely any higher then the USD right now! That is a shocking price!

Cotton has gone up for various reasons affecting the supply worldwide. Even the chain stores around here - where there is plenty of competition - are charging much more than they did last year. After the new Jo-ann's opened in our neighborhood to much fanfare and a coupon blitz, a whole lot of people were in there shopping. A couple of weeks later I went in to buy thread and found the store practically deserted. Either everyone is at home sewing what they got earlier, or sticker shock is setting in. The reality is that the products that they sell are not necessities of life (except to those of us who are addicted to fabric). The consumer can force the price down by not buying when the prices get too steep, but businesses that operate on a narrow profit margin will not be able to afford to compete that way. Your store owner may be over a barrel and offering the best price she can right now.

On the other hand, something tells me that if there is a bumper crop of cotton next time, the prices are not going to go down accordingly. Over the years I've noticed that a bad year is a reason to raise prices on anything, but the recovery isn't passed on to the consumer. Back in the 1970's there was a sugar shortage and the price of sugary things, such as soda pop, went way up. I don't think it ever came down. A similar thing happened with the price of orange juice when a freeze killed the crop. Once the purveyors have established what consumers are willing to pay, they see no reason to get generous with us.