Cotton yarn prices see mixed trend in south India; Tiruppur prices up

In Mumbai, cotton yarn prices decreased ₹3-4 per kg for most varieties and counts. Mills were unable to increase the yarn price after a rise in cotton prices. A trader from Mumbai's market told Fibre2Fashion, “The garment industry was very slow in fabric buying. Poor lifting of fabric dampened market sentiments in cotton yarn. Buyers did not agree to accept the present rate due to uncertainty regarding the demand for garments.” 

In Mumbai, 60 carded yarn of warp and weft varieties was sold at ₹1,420-1,440 and ₹1,312-1,355 per 5 kg (excluding GST), respectively. Other prices include 60 combed warp at ₹322-328 per kg, 80 carded weft at ₹1,305-1,330 per 4.5 kg, 44/46 carded warp at ₹255-260 per kg, 40/41 carded warp at ₹240-244 per kg and 40/41 combed warp at ₹268-272 per kg, according to Fibre2Fashion's market insight tool TexPro. 

However, the Tiruppur market noted an increase in cotton yarn prices. Tamil Nadu-based spinning mills unusually revised prices during mid-month to increase their rates by ₹10 per kg. They took the decision to pass on additional cost of production after a rise in the natural fibre. However, the market did not fully accept the increase due to poor demand. A trader from Tiruppur told Fibre2Fashion, “Cotton yarn prices were traded higher by ₹4-5 per kg. The mills had increased prices by ₹10 per kg from August 16. The market accepted just half the increase of rates of mills.” 

Prices in the Tiruppur market were noted as 30 count combed cotton yarn at ₹255-262 per kg (excluding GST), 34 count combed cotton yarn at ₹265-272 per kg, 40 count combed cotton yarn at ₹275-282 per kg, 30 count carded cotton yarn at ₹230-236 per kg, 34 count carded cotton yarn at ₹238-245 per kg, and 40 count carded cotton yarn at ₹246-252 per kg, as per TexPro. 

In Gujarat, cotton prices have exhibited a sluggish trend following a decline in ICE cotton. The prices have reduced by ₹300-400 per candy of 356 kg after an earlier rise. Cotton prices saw an increase during the last week but have now fallen due to poor buying from spinning mills. Traders say that spinning mills were interested in buying cotton but were unwilling to pay additional costs owing to poor demand from the retail sector. 

Shankar-6 cotton was quoted between ₹61,000 and 61,500 per candy. Cotton arrival was around 8,000 bales of 170 kg in Gujarat, while all India arrival was estimated at 19,000 bales. 

ALCHEMPro News Desk (KUL)