Cotton yarn prices steady in south India; Mumbai faces trading slump

The Mumbai market experienced partial trading activity with stable cotton yarn prices. Power looms continued to operate at reduced capacity due to the absence of workers who had not yet returned from their hometowns after Diwali. Buyers were also largely absent from the market. A trader in the Mumbai market informed Fibre2Fashion, “While trading activity in cotton yarn has improved, it is not yet at normal levels due to the absence of buyers. Current transactions are mainly need-based. Regular trading activity is expected to resume from next week.”

In Mumbai, 60 carded yarn of warp and weft varieties were sold before Diwali at ₹1,410-1,450 (approximately $16.71-$17.19) and ₹1,365-1,410 per 5 kg (approximately $16.18-$16.71) (excluding GST), respectively. Other prices include 60 combed warp at ₹324-332 (approximately $3.84-$3.94) per kg, 80 carded weft at ₹1,380-1,425 (approximately $16.36-$16.89) per 4.5 kg, 44/46 carded warp at ₹254-262 (approximately $3.01-$3.11) per kg, 40/41 carded warp at ₹250-260 (approximately $2.96-$3.08) per kg and 40/41 combed warp at ₹279-284 (approximately $3.31-3.37) per kg, according to trade sources.

The Tiruppur market was fully operational with improved trading activity; however, cotton yarn prices remained stable. A local trader noted that fabric manufacturers were interested in purchasing cotton yarn but were cautious due to the upcoming peak cotton arrival season. If the arrivals increase as expected, prices for both cotton and yarn may decrease. As a result, manufacturers are currently buying only to meet immediate needs.

In Tiruppur, knitting cotton yarn prices were noted as 30 count combed cotton yarn at ₹266-274 (approximately $3.15-3.25) per kg (excluding GST), 34 count combed cotton yarn at ₹275-282 (approximately $3.26-3.34) per kg, 40 count combed cotton yarn at ₹290-296 (approximately $3.44-3.51) per kg, 30 count carded cotton yarn at ₹242-249 (approximately $2.87-2.95) per kg, 34 count carded cotton yarn at ₹247-251 (approximately $2.94-2.98) per kg and 40 count carded cotton yarn at ₹252-257 (approximately $2.99-3.05) per kg.

In Gujarat, cotton prices increased by ₹1,000 per candy (356 kg) over the past few days due to a significant rise in seed cotton (kapas) prices, which have gone up by ₹400-₹500 per quintal in local mandis. Traders indicated that although the arrival of seed cotton remains limited, ginners are eager to maintain production, driving up demand and prices. Spinning mills in Gujarat also increased their cotton purchases, supporting higher prices. However, yarn and fabric demand has been slow, leading to a price disparity for ginners and spinners. Traders anticipate that cotton prices will stabilise as arrivals increase in the coming weeks.

The benchmark Shankar-6 cotton was priced between ₹55,000-₹55,500 (approximately $651.89-$657.82) per candy of 356 kg, while southern mills were looking to buy at ₹55,500-₹56,000 (approximately $657.82-$663.74) per candy. Seed cotton (kapas) traded at around ₹7,800-₹8,000 (approximately $92.45-$94.82) per quintal.

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)