There was a decline in the demand for polyester staple fibre over the last year as consumption of cotton recorded a steady growth.
Several polyester staple fibre spinners have increased their percentage of cotton used in their blend of yarns while others have shifted to hundred percent cotton.
Global cotton prices have been easing with encouraging output forecast from major cotton growing nations.
Further, due to the record oil prices, the cost of the raw materials used to manufacture polyester staple, PTA and MEG, have shot up adversely affecting polyester staple output.
Considering the situation, the producers have had to lower prices for December shipments last week.
The current price trend places Indian polyester staple fibre prices below domestic prices in Europe and the United States, but at a premium over those prevailing in Asia and China.
Polyester staple fiber prices dropped to Rs 2250 per ton, or from near an average of Rs 67.27 per kilogram for 1.4 Denier SD, down to 65.15 rupees per kilogram. These changes equated to an approximate 2.07 US cents per pound decline to 64.38 cents per pound.
marketing@alchempro.com
