Ind-Pak ceasefire lifts sentiment, cotton yarn steady in south India

The Mumbai market witnessed stable cotton yarn prices. A trader from Mumbai told Fibre2Fashion, “Spinning mills are not willing to reduce their selling rates. Slower consumption in the loom sector, due to a labour shortage, continues to affect cotton yarn demand. However, lower production of cotton yarn is offsetting weak demand to some extent. Spinning mills are also facing a labour shortage, leading to reduced cotton yarn supply.”

In Mumbai, 60 carded yarn of warp and weft varieties were traded at ₹1,400-1,430 (approximately $16.41-16.76) and ₹1,340-1,390 per 5 kg (approximately $15.71-16.29) (excluding GST), respectively. Other prices include 60 combed warp at ₹319-323 (approximately $3.74-3.79) per kg, 80 carded weft at ₹1,400-1,460 (approximately $16.41-17.11) per 4.5 kg, 44/46 carded warp at ₹270-275 (approximately $3.16-3.22) per kg, 40/41 carded warp at ₹255-262 (approximately $2.99-3.07) per kg and 40/41 combed warp at ₹272-275 (approximately $3.19-3.22) per kg, according to trade sources.

The Tiruppur market showed optimism for higher lifting of cotton yarn, as buyers may now purchase without concerns about geopolitical tensions. However, cotton yarn prices remained steady. Trade sources said demand will depend on garment export orders. This is the time for bulk orders from the US and Europe. If export orders increase, cotton yarn consumption is also expected to rise.

In Tiruppur, knitting cotton yarn prices were noted as 30 count combed cotton yarn at ₹257-265 (approximately $3.01-3.11) per kg (excluding GST), 34 count combed cotton yarn at ₹266-273 (approximately $3.12-3.20) per kg, 40 count combed cotton yarn at ₹278-291 (approximately $3.26-3.41) per kg, 30 count carded cotton yarn at ₹237-242 (approximately $2.78-2.84) per kg, 34 count carded cotton yarn at ₹242-247 (approximately $2.84-2.89) per kg and 40 count carded cotton yarn at ₹250-255 (approximately $2.93-2.99) per kg.

In Gujarat, market dynamics remained stable. Sellers were largely absent, but buyers were actively looking to purchase cotton. Market prices were considerably lower than the base auction rates of the Cotton Corporation of India (CCI). Trade sources said that spinning mills are not building up stock as they are confident about availability from the CCI. Instead, they are trying to take advantage of cheaper cotton available in the open market. However, ginners and stockists are waiting for an opportunity to raise prices of the natural fibre.

Cotton arrivals were estimated at 5,000–6,000 bales of 170 kg in Gujarat and 40,000–43,000 bales across the country. The benchmark Shankar-6 cotton was quoted at ₹54,000–54,300 (approximately $632.91–636.43) per candy of 356 kg, while southern mills were bidding at ₹55,000–55,500 (approximately $644.63–650.49) per candy.

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)