Cotton yarn prices in north India fall ₹15/kg as traders sell stocks

Cotton yarn prices slipped by ₹5-10 per kg in Ludhiana market. Apart from weak demand from fabric manufacturers, downtrend in cotton prices also drove yarn prices down. A local trader told Fibre2Fashion that demand is already weak and cheaper cotton led to selling pressure in the market. Sources said that stockists are forced to sell their stocks as they want to liquidate their holdings. 

In Ludhiana, 30 count cotton combed yarn was sold at ₹420-425 per kg (GST inclusive), according to Fibre2Fashion’s market insight tool TexPro. 20 and 25 count combed yarn was traded at ₹410-415 per kg and ₹415-420 per kg respectively. Carded yarn of 30 count was quoted at ₹360-365 per kg. 

Delhi market also noted a decline trend in cotton yarn trade. According to trade sources, stockists are selling cotton even at losses as they want to clear their stocks and need money for business requirements. Mills are not cutting prices as they do not want to sell in disparity. 30 count combed yarn was traded at ₹405-415 per kg (GST extra), 40 count combed at ₹445-460 per kg, 30 count carded at ₹365-370 per kg and 40 count carded at ₹405-410 per kg. 

Panipat market noted a downward trend in recycled yarn prices. Poor demand and downfall in virgin cotton yarn and cotton dampened the recycled yarn market. Recycled yarn prices fell by ₹5-15 per kg. In Panipat market, 10s recycled yarn (white) was traded at ₹110-110 per kg (excluding GST), 10s recycled yarn (coloured - high quality) at ₹140-145 per kg, 10s recycled yarn (coloured - low quality) at ₹95-105 per kg and 20s recycled PC yarn (coloured) at ₹185-195 per kg. 10s optical yarn was traded at ₹120-125 per kg in the market. 

North India cotton prices reduced as MCX drastically cut open position limits for traders and members. Demand from spinning mills also weakened as they have stopped or shifted production to manmade fibres. Cotton prices were at ₹ 95,000-96,000 per candy of 356 kg. The prices came down by ₹7,000-8,000 per candy in last couple of days. 

ALCHEMPro News Desk (KUL)