As the demand from the weaving industry remained sluggish, cotton yarn prices in south India remained steady. Following a sharp decline in the stock market, the Mumbai yarn market had minimal business and uncomfortable quiet. Because of the decline in liquidity, there was less demand for cotton yarn in Mumbai. In Tiruppur, the demand was not encouraging either.
Due to a shortage of liquidity and limited demand, cotton yarn prices in the Mumbai market continued their steady upward trajectory. “Traders cannot rely on one market, so they must use their liquidity in other places, including the stock market,” a trader from Mumbai stated. However, the recent stock market decline reduced the amount of liquidity in the cotton yarn market. Trade was restricted but prices remained constant.
60 count carded cotton yarn in Mumbai was sold for between 1,540 and 1,570 per 5 kg (including GST) for the warp variety and between 1,440 and 1,490 for the weft variety. Price for 60 combed warp was between 345 and 350 per kg. Cotton weft yarn made from 80 cards was priced between 1,470 and 1,490 grams. The cost of a kilogramme of 44/46 count carded cotton yarn (warp) was between £275 and £280. Priced at 262-268 per kg for 40/41 count carded cotton yarn (warp) and 290-293 for 40/41 count combed yarn (warp), respectively, for 40/41 count.
In the Tiruppur market, cotton yarn was traded at earlier levels. New deals did not pique the interest of buyers from the weaving industry. The dealers claim that due of the high level of inflation and concerns about a worldwide economic downturn, there is little chance that demand from the downstream sector would rise any time soon. New transactions did not pique the curiosity of buyers. In the Tiruppur market, 30 count combed cotton yarn was sold for between 285-290 per kg (GST extra), 34 count combed for between 300-305 per kg, and 40 count combed for between 310-315 per kg. The price per kg for cotton yarn with a 30 count carded was between 255 and 260, a 34 count carded was between 265-270, and a 40 count carded was between 270 and 275.
Since the end of the previous week, cotton prices in Gujarat have increased by 500 to 62,000-62,500 each sweet weighing 356 kg. Because of improved demand and constrained arrival, prices rose.