India's viscose, polyester yarn slide amid crude oil drop, weak dollar

In Surat, polyester spun and specialised yarns fell by ₹1 per kg following a sharp decline in crude oil prices. Falling crude oil generally makes polyester fibre cheaper. However, Indian producers have not yet lowered polyester fibre prices. Buyers have become cautious about making new deals, anticipating a further drop in polyester yarn prices. A trader from the Surat market told Fibre2Fashion, “Domestic virgin polyester producers will not be able to maintain prices. They will have to reduce prices following the steep rise seen in the second half of last month. Polyester yarn demand has also slowed due to market fluctuations.”

In Surat market, 30 count polyester spun yarn was traded at ₹147-149 (~$1.72-1.74) per kg (GST extra); 40 count poly spun yarn at ₹164-166 (~$1.91-1.94) per kg; 50/48 fully drawn yarn (FDY) at ₹122-123 (~$1.43-1.44) per kg; 75/72 FDY at ₹113-114 (~$1.32-1.33) per kg; 75 bright yarn at ₹112-113 (~$1.21-1.32) per kg.

In the Ludhiana market, polyester-cotton yarn did not follow a similar trend. Its prices remained stable, supported by rising cotton prices. However, virgin polyester yarn and recycled polyester fibre eased by ₹1–2 per kg due to the crude oil impact. According to a trader from Ludhiana, cheaper crude oil has dampened market sentiment, and the consumer industry has refrained from aggressive buying.

In Ludhiana, 30 count PC combed yarn (48/52) traded at ₹202-210 (~$2.36-2.45) per kg (GST inclusive); 30 count PC carded yarn (65/35) at ₹190-200 (~$2.22-2.33) per kg; 20 recycled polyester yarn at ₹122-127 (~$1.42-1.48) per kg; 30 count virgin polyester spun at ₹160-169 (~$1.87-1.97) per kg (GST inclusive); recycled polyester fibre (PET bottle fibre) at ₹79-81 (~$0.93-0.95) per kg and virgin polyester fibre at ₹103.50 (~$1.21) per kg.

In Surat and Mumbai, viscose yarn prices also weakened. Imports of viscose yarn rose due to lower freight charges, a weaker US dollar, and cheaper crude oil. Prices declined by ₹2 per kg in both markets. Trade sources from Mumbai stated that the changed dynamics have reduced the landed price of viscose yarn. Demand for regular varieties remained below average, while speciality viscose yarn saw better demand from downstream industries. Surat also experienced weak sentiment in viscose yarn.

In Mumbai, imported 30 count viscose vortex yarn was priced at ₹207-213 (~$2.42-2.49) per kg; and local 30 count ring-spun viscose yarn at ₹209-216 (~$2.44-2.52) per kg in this market. In Surat, 30 viscose compact yarn (local) was sold at ₹218-219 (~$2.54-2.45) per kg (GST extra) and 30 viscose vortex yarn at ₹206-208 (~$2.40-2.5e) per kg.

In north India, cotton prices steadied on Wednesday after a jump in the previous session, where prices rose by ₹20–40 per maund of 37.2 kg. Sales from Cotton Corporation of India (CCI) stock in late July lifted market sentiment. Trade sources noted that spinning mills are likely to continue cotton purchases over the next 2–3 months, as arrivals have dwindled to negligible levels. Private ginners and stockists have very limited cotton stocks and are attempting to sell at higher prices.

North India’s cotton arrivals have dropped to negligible levels, with total regional arrivals amounting to just over 200 bales. Stocked cotton is currently being traded in the region. Cotton prices in Punjab ranged from ₹5,750-5,760 (~$67.11–67.22) per maund of 37.2 kg; in Haryana, ₹5,590–5,660 (~$65.24–66.06); in upper Rajasthan, ₹5,750–5,900 (~$67.11–68.86). In lower Rajasthan, prices stood at ₹54,100–₹55,800 (~$631.39–651.23) per candy of 356 kg.

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)