North India cotton yarn market faces slow demand, prices hold steady

In Delhi, cotton yarn prices were stable due to average demand. There was no improvement in demand from the fabric and garment industry. A trader from the Delhi market told Fibre2Fashion, "Export orders are not very encouraging for spinning mills. They are more dependent on domestic buying. A US Fed rate cut may only be possible in September. The entire value chain is facing uncertainty regarding consumer buying.”

In this market, 30 count combed knitting yarn was traded at ₹264-266 (approximately $3.15-3.18) per kg (GST extra), 40 count combed at ₹284-291 (approximately $3.39-3.48) per kg, 30 count carded at ₹239-241 (approximately $2.86-2.88) per kg, and 40 count carded at ₹264-267 (approximately $3.15-3.19) per kg today.

Similarly, the Ludhiana market also experienced stable cotton yarn prices, with imported fabric being a major concern. According to trade sources, Tencel yarn is capturing the market share of cotton and polyester-cotton yarn, as the consumer industry shows curiosity for new garment varieties.

In Ludhiana, 30 count cotton combed yarn was sold at ₹265-275 (approximately $3.18-3.30) per kg (inclusive of GST); 20 and 25 count combed yarn were traded at ₹255-265 (approximately $3.06-3.18) per kg and ₹260-270 (approximately $3.12-3.24) per kg, respectively; and carded yarn of 30 count was noted at ₹245-250 (approximately $2.94-3.00) per kg today, according to trade sources.

Panipat, India’s home textile hub, also saw stability in recycled yarn prices. A recent reduction in raw material prices, like recycled polyester fibre and cotton comber, has eased the production costs for recycled yarn manufacturers. This reduction in fibre prices has allowed yarn manufacturers to increase their margins. Despite stable prices, traders are facing weak demand. Cotton comber and recycled polyester staple fibre prices remained stable after last week’s decrease.

In Panipat, 10s recycled PC yarn (Grey) was traded at ₹80-84 (approximately $0.96-1.01) per kg (GST paid). Other varieties and counts were noted at 10s recycled PC yarn (Black) at ₹53-56 (approximately $0.63-0.67) per kg, 20s recycled PC yarn (Grey) at ₹94-100 (approximately 1.13-1.20) per kg and 30s recycled PC yarn (Grey) at ₹130-135 (approximately $1.56-1.62) per kg. Cotton comber prices were noted at ₹97-99 (approximately $1.16-1.18) per kg and recycled polyester fibre (PET bottle fibre) at ₹75-79 (approximately $0.90-0.94) per kg today.

In north India, cotton prices increased by ₹25 per maund of 37.2 kg as ICE cotton opened higher on Monday. Traders noted that local cotton prices followed global and local cotton futures. Mill buying remained very limited due to quality concerns. North India cotton prices were slightly lower compared to other regions due to poor quality. However, prices improved today after a decline late last week, as ginners were quoting higher prices.

Today's arrivals reduced to 300 bales of 170 kg in north India, with Haryana being the only state recording the arrival of 300 bales. Arrivals in Rajasthan nearly reduced to zero, and Punjab’s arrivals have already ended. However, cotton is being traded in these states from stocks bought earlier in the current season. Cotton prices in Punjab ranged from ₹5,800 to ₹5,825 (approximately $69.27-69.57) per maund of 37.2 kg, while in Haryana, prices ranged from ₹5,700 to ₹5,725 (approximately $68.08-68.38). In upper Rajasthan, cotton was priced between ₹5,525 and ₹5,825 (approximately $65.99-69.57) per maund. Bikaner line cotton sold for ₹5,925 to ₹6,025 (approximately $70.77-71.96) per maund. In lower Rajasthan, cotton was priced at ₹54,000 to ₹57,000 (approximately $644.96-680.80) 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)