Cotton yarn down in Ludhiana but comber up, mixed trend in north India

The Ludhiana market noted a downward trend in cotton yarn amid bearish demand. The market did not see an improvement in demand from the downstream industry. A trader from the Ludhiana market told Fibre2Fashion, "Poor response in the Chinese yarn fair dampened market sentiments. Although mills did not decrease prices, cotton yarn eased in the open market." 

The 30-count cotton combed yarn was sold at ₹261-271 per kg (GST inclusive) in Ludhiana. The 20 and 25-count combed yarn were traded at ₹251-261 per kg and ₹255-265 per kg, respectively. Carded yarn of 30-count was noted at ₹241-246 per kg, according to Fibre2Fashion's market insight tool, TexPro. 

However, the Delhi market did not experience a downward trend in cotton yarn prices. Most counts and varieties remained at their previous levels. The market noted limited demand from the downstream industry. However, mills were contemplating increasing yarn prices following gains in natural cotton prices. According to a trader from the Delhi market, cotton prices rose last week, adding additional pressure on their cost of production. To protect their margins, they are considering raising yarn prices. 

The 30-count combed yarn was traded at ₹267-272 per kg (GST extra), the 40-count combed at ₹297-302 per kg, the 30-count carded at ₹237-242 per kg, and the 40-count carded at ₹267-272 per kg in Delhi, as per TexPro. 

Panipat's recycled yarn market witnessed a bearish tone amid slower demand from the downstream industry. However, lower arrivals and an increase in cotton prices pushed up comber prices by ₹3 per kg. A trade source stated that spinning mills were not keen to reduce recycled yarn prices to attract buyers, as they were already operating at the lowest prices, which could not be further eased. Additionally, they faced a scarcity of cotton comber, which drove up its prices. 

In Panipat, 10s recycled PC yarn (Grey) was traded at ₹77-82 per kg (GST Paid). Other varieties and counts were noted at 10s recycled PC yarn (Black) ₹50-54 per kg, 20s recycled PC yarn (Grey) at ₹92-97 per kg and 30s recycled PC yarn (Grey) at ₹135-145 per kg. Comber prices were hovering at ₹133-135 per kg. Recycled polyester fibre (PET bottle fibre) was noted at ₹76-78 per kg. 

North India saw a rise in cotton prices due to an increase in new arrivals. The cotton arrival in the region surged to 5,000 bales, each weighing 170 kg. According to traders, the influx of cotton in north India was due to favourable weather, and it is expected to peak earlier than last season. The rise in the Intercontinental Exchange (ICE) cotton prices last week also contributed to the upward movement in prices. Domestic prices gained ₹100-125 since last Friday. Spinners have been buying regularly as they have limited stock to sustain production. The arrival figures included 500 bales of old cotton. Haryana recorded the arrival of 300 bales of new cotton and 500 bales of old cotton. New cotton was traded at ₹6,200-6,220 per maund (37.2 kg), while unginned cotton (Kapas) traded at ₹6,700-7,100 per quintal, with lower rates for higher moisture cotton. 

ALCHEMPro News Desk (KUL)