Cotton yarn demand weakens in north India, prices hold steady

In Ludhiana, cotton yarn saw weaker lifting amid uncertainty over new export orders. Despite the sluggish demand, prices remained unchanged. A trader from Ludhiana told Fibre2Fashion, “The cotton yarn trade is facing multiple headwinds. Market sentiment is unlikely to improve until domestic festival demand and export orders pick up in the coming weeks. Mills are trying to hold prices steady. A recent report from the Cotton Association of India (CAI) indicated lower cotton demand due to increased competition from man-made fibres.”

In Ludhiana, 30 count cotton combed yarn was sold at ₹258-268 (~$3.03-3.15) per kg (inclusive of GST); 20 and 25 count combed yarn were traded at ₹248-258 (~$2.91-3.03) per kg and ₹253-263 (~$2.97-3.09) per kg, respectively; and carded yarn of 30 count was noted at ₹238-243 (~$2.80-2.86) per kg today, according to trade sources.

The Delhi market also witnessed subdued buying due to weak export demand, although cotton yarn prices remained steady. A trader in Delhi noted that the local market is already dealing with payment constraints and a shortage of labour. Additional concerns include declining cotton consumption and reduced sales by major US retail chains, further dampening market sentiment. Nevertheless, traders are hopeful of an improvement in demand next month.

In Delhi, 30 count combed knitting yarn was traded at ₹260-261 (~$3.06-3.07) per kg (GST extra), 40 count combed at ₹285-286 (~$3.35-3.36) per kg, 30 count carded at ₹234-236 (~$2.75-2.77) per kg, and 40 count carded at ₹259-261 (~$3.04-3.07) per kg today.

In Panipat, India’s home textile hub, demand for recycled yarn remained weak, except for colourful yarns, which saw comparatively better offtake. The market continued to face payment delays and labour shortages, further slowing the pace of buying. Raw material prices remained steady. According to trade sources, buyers lack confidence in export demand for the coming months.

In Panipat, 10s recycled PC yarn (Grey) was traded at ₹75-78 (~$0.88-0.92) per kg (GST paid). Other varieties and counts were noted at 10s recycled PC yarn (Black) at ₹52-55 (~$0.61-0.65) per kg, 20s recycled PC yarn (Grey) at ₹95-99 (~$1.12-1.16) per kg and 30s recycled PC yarn (Grey) at ₹128-134 (~$1.50-1.57) per kg. Cotton comber prices were noted at ₹108-110 (~$1.27-1.29) per kg and recycled polyester fibre (PET bottle fibre) at ₹75-78 (~$0.88-0.92) per kg today.

In north India, cotton prices eased by ₹10 per maund (37.2 kg) due to bearish trends in ICE cotton, which dampened market sentiment. Higher production estimates and slower consumption forecasts also contributed to the weakness. Trade sources said spinning mills are cautious with fresh buying as they do not anticipate strong downstream demand in the near term.

North India’s cotton arrivals totalled 750 bales (170 kg each), comprising 500 bales in Haryana, 200 in upper Rajasthan, and 50 in lower Rajasthan. Punjab reported no fresh arrivals. Cotton prices in Punjab ranged from ₹5,740 to ₹5,750 (~$67.46–67.57) per maund of 37.2 kg; in Haryana, ₹5,570–5,620 (~$65.46–66.05); in upper Rajasthan, ₹5,760–5,780 (~$67.69–67.93). In lower Rajasthan, prices stood at ₹54,000–₹55,200 (~$634.61–648.71) per candy of 356 kg.

Disclaimer: The prices in this article are based on market sources and hence, readers are recommended to do their own research before making any decision. The publisher and their affiliates are not liable for any inaccuracies or actions taken based on this information.

ALCHEMPro News Desk (KUL)