INSIGHTS
- Due to weak demand, the price of North Indian cotton yarn decreased by up to 5 per kg.
- Markets in Ludhiana, Delhi, and Panipat are affected by declining demand from the textile and garment sectors.
- The extra day off is being taken by mills to lower output.
- North India’s cotton prices stayed stable, and they aren’t going to go up until the demand from the clothing sector increases.
Due to increased pressure from spinning mills and stockists due to the lower demand, cotton yarn prices in north India dropped by up to 5 rupees per kilogramme. Market participants were still unsure about which markets to purchase from for home and export purposes. In the marketplaces of Delhi and Ludhiana, cotton yarn was exchanged for less. In the Panipat market, recycled polyester fiber and cotton comber were on the decline. As demand from both local and international markets was moderate, recycled cotton yarn’s price remained stable.
Cotton yarn prices were on the decline in the Ludhiana market.
Weaving sector demand was lower since it was highly unknown if local and export garment demand would increase. “Mills were facing very slow demand from both the export market and the domestic consumer industry,” Gulshan Jain, a merchant from the Ludhiana market, said . Many mills were forced to take an extra day off each week in order to cut production. To cut down on yarn manufacturing and cotton use, they are concentrating on producing higher counts. TexPro, a market research tool , reports that 30 count cotton combed yarn was sold for between 270 and 280 per kilogramme (GST included). Traded prices for 20 and 25 count combed yarn were 260-265 and 265-270 per kg, respectively. Carded yarn in the 30 count was observed to cost between 250 and 260 per kilogramme. Cotton yarn rates eased down by₹5 per kg in the market.
Cotton yarn prices also showed a lower trend in the Delhi market. There was no indication that the demand from the downstream sector would improve. A dealer from the Delhi market stated that “stockists and millers were compelled to lower cotton yarn pricing. A decrease of $5 per kg was seen in cotton yarn of 30 counts. According to TexPro, 30 count combed yarn was sold for between $265 and $275 per kg (GST additional), 40 count combed for between $300 and 305 kg, 30 count carded for between 243 and 250 kg, and 40 count carded for between 280 and 285 kg.
The market for recycled yarn in Panipat also saw negative sentiment. A loss of between $2 and $3 per kg was observed in recycled polyester and cotton comber. Trade sources claim that lower customer demand caused the price of cotton comber to decrease. Due to a decrease in the cost of virgin polyester staple fiber and its raw ingredients, the price of recycled polyester fiber also decreased. Both local and export demand remained relatively low. Gray 10s recycled PC yarn was sold for between $85 and $90 per kilogramme (GST Extra). The price per kilogramme for 10s recycled PC yarn (black), 20s recycled PC yarn (gray), and 30s recycled PC yarn (gray) was 55–60, 95–100, and 150–155, respectively. Comber costs ranged from 138 to 142 per kg.
Recycled polyester fiber, often known as PET bottle fiber, is priced between $72 and $75 per kilogramme. Due to little demand, 10s recycled PC yarn (black) was exchanged at a reduced price.
In the meanwhile, despite less demand, cotton prices stabilized in north India. Poor demand from the apparel industry, according to traders, lowered market spirits. Until the apparel sector starts to want more cotton, cotton prices are unlikely to be supported. The quantity that arrived was 5,000 170 kilogramme bales. In Punjab, Haryana, and upper Rajasthan, cotton was exchanged at 6,100–6,200, 6,100–6,200, and 6,300–6,400 per maund, respectively. In lower Rajasthan, the natural fiber was priced between 59,000 and 61,000 rupees for every 356 kilogramme confection.
