Cotton export jumps in November
Cotton exports shipment jumped to 8.61 lakh bales (170 kg each) in November as against 6.21 lakh bales exported in the same month in previous marketing year of 2017-18. In November, cotton shipment jumped 39% YoY. Pakistan was the largest importer of Indian cotton in November, followed by Bangladesh and Chi-na. Vietnam was the fourth largest importer. The unit prices realisation averaged INR129 per kg or US cents 81.20 per pound. Domestic spot prices of benchmark Gujarat Shankar-6 averaged US cents 80.88 per pound while global spot benchmark, the Cotlook ‘A’ index for November averaged US cents 86.99 per pound.
Cotton export had ended 2017-18 marketing year (Oct-Sept) with shipment of 8.70 million bales (170 kg each) as against 6.74 million bales exported in the previous marketing year, implying a jump of 29% YoY. Bangladesh was the largest importer of Indian cotton during the year, followed by Pakistan, Vietnam and China. These four buyers accounted for 82% of total shipment and rest was exported to 37 countries, of which, Indonesia, Malaysia and Thailand formed 13.5%. This means only seven destinations accounted for a little more than 95% of total shipment. In terms of value, exports were at INR17,400 crore or US$2,700 million, increasing by 32% and 35% respectively over 2016-17 marketing season.
Cotton yarn export up 8% in November but at lower prices
In November, shipment of fibre, spun and filament yarn continued to jump up on galloping cotton fibre export and a low base for filament and spun yarn export. They were 82% up in INR term and 62% in US$ terms during the month at US$732 million.
Spun yarns shipment totaled 112 million kg (up 8.5%) worth US$334 million (up 10%) implying an average unit value realization of US$2.97 per kg, down US cents 11 compared to previous month. Meanwhile, the INR against the US$ weakened to INR72 this November, which augured well for exports. China was the larg-est buyer of spun yarns, topping both in terms of volume and value.
Cotton yarn export was at 91 million kg worth US$275 million (INR1,980 crore), 8% above previous year’s level. 73 countries imported cotton yarn from India at an average price of US$3.01 a kg, down US cents 13 from previous month and US cents 3 up from a year ago.
China continued to reduce its cotton yarn import from India in volume and value terms. China was followed by Bangladesh with volume and value rising more than 60% over the year. Pakistan and Egypt were the other major importers, both according 15-30% increase in imports from India. Fourteen countries did not import any cotton yarn from India this November as they had imported yarn worth US$2.67 million same month last year. However, they were replaced by 12 other countries which imported yarn worth US$1.32 million.
Ethiopia, Israel, Ukraine, Algeria and Bulgaria were among top five fastest importers of cotton yarn in November while Sudan, Romania, Macedonia, Iran and Lithuania significantly reduced their imports compared to last year.
100% man-made fibre yarns exports rose in November, comprising 3.3 million kg of polyester yarn, 1.4 mil-lion kg of viscose yarn and 1.8 million kg of acrylic yarn. Polyester yarn exports jumped 25% in value while viscose yarn exports value declined by 16% during the month. Acrylic yarn exports were up 74% during the month.
Polyester spun yarns worth US$8.2 million were exported to 44 countries at average unit price of US$2.49 a kg. Turkey was the largest importer of polyester yarn, followed by Brazil and USA. Unit price realization was up US cents 5 compared to last month and up US cents 21 from last year.
Viscose yarn worth US$4.9 million or INR35 crore was exported in November at an average price of US$3.45 per kg. Bangladesh was the top importer worth US$1.08 million, followed by Belgium and Turkey. Italy was the fourth largest importer of viscose yarn during the month.
Blended spun yarns worth US$42 million were exported in November, up 18% YoY in value terms. During the month, 9.1 million kg of PC yarns was exported worth US$24 million while 2.8 million kg of PV yarns were exported worth US$8 million.
Bangladesh, Egypt and Guatemala, were the largest importers of PC yarn from India while Turkey was the single largest importer of PV yarns from India followed distantly by Brazil.
Shipment of all kinds of filament yarns totaled 54 million kg, up 25% YoY valued at US$99 million.