Cotton yarn stable in Tiruppur & Mumbai; bearish tone may persist

The Tiruppur market saw stable cotton yarn prices despite sluggish demand from the weaving industry, with little hope for improvement in the near future. A trader from Tiruppur told Fibre2Fashion, "To ensure operational cash flow, spinning mills have to sell yarn even at lower prices. The industry is receiving negative signals from the global market." 

Prices in the Tiruppur market were noted as 30 count combed cotton yarn at ₹260-265 per kg (excluding GST), 34 count combed cotton yarn at ₹268-273 per kg, 40 count combed cotton yarn at ₹280-285 per kg, 30 count carded cotton yarn at ₹238-243 per kg, 34 count carded cotton yarn at ₹241-246 per kg and 40 count carded cotton yarn at ₹250-255 per kg, according to Fibre2Fashion's market insight tool TexPro. 

The Mumbai market has also observed stable cotton yarn prices despite sluggish demand, with no immediate prospects for market improvement. A trader from Mumbai told Fibre2Fashion, "Power looms are operating at reduced capacity due to weak fabric demand from the consumer industry. Power loom owners are hesitant to accumulate more fabric stock, as they see no immediate uptick in demand from the apparel industry." 

In Mumbai, 60 carded yarn of warp and weft varieties were sold at ₹1,420-1,440 and ₹1,300-1,350 per 5 kg (excluding GST), respectively. Other prices include 60 combed warp at ₹322-328 per kg, 80 carded weft at ₹1,400-1,440 per 4.5 kg, 44/46 carded warp at ₹250-255 per kg, 40/41 carded warp at ₹236-242 per kg and 40/41 combed warp at ₹262-266 per kg, as per TexPro. 

In Gujarat, cotton prices continued to decline as spinning mills exercised caution in buying amid increasing arrival. Traders noted a bearish trend in cotton demand. In the Gujarat market, new season Shankar-6 cotton was quoted between ₹58,100 and ₹58,300 per candy of 356 kg, while new cotton was priced at around ₹59,500 per candy. Gujarat reported an arrival of approximately 18,000 bales of 170 kg each, with all India arrivals estimated at 69,000 to 70,000 bales. 

ALCHEMPro News Desk (KUL)