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Sentiments improve in south India's cotton yarn market; demand high

Trade sources have cited the production halt in Tamil Nadu and increased buying from the weaving industry as factors supporting cotton yarn prices. With the approaching festival season, the weaving industry is ramping up fabric production, providing a silver lining of hope for the domestic textile value chain. 

In Mumbai, higher cotton yarn prices by &#****;*-* per kg were quoted due to the proposed strike of spinning mills in Tamil Nadu, which is expected to reduce supply. The strike, scheduled to begin on July **, will involve a hold on sales for its duration. A trader from Mumbai market told Fibre2Fashion, “Market sentiments have improved slightly. A lower supply can further support cotton yarn prices. The weaving industry is keen on purchasing yarn for its future production plans.”