North India's cotton yarn prices may rise further next month

Cotton yarn prices remained unchanged in both the Delhi and Ludhiana markets. Market experts predict weak sentiment over the next two weeks, though rising cotton prices may push yarn prices higher in the new fiscal year which begins on April 1. Cotton prices have increased by around 2 per cent in the past two weeks.

The Ludhiana market saw a ₹1 per kg increase for various counts and varieties of cotton yarn. However, trade remained limited immediately after Holi. A trader from Ludhiana told Fibre2Fashion, “Spinning mills are trying to raise their selling prices, but weak demand is not supporting the increase. However, stronger cotton prices may push yarn prices higher next month when payment flow and demand improve.” The market is unlikely to see a significant rise in demand in the next two weeks.

In Ludhiana, 30 count cotton combed yarn was sold at ₹260-270 (approximately $3.00-3.11) per kg (inclusive of GST); 20 and 25 count combed yarn were traded at ₹250-260 (approximately $2.88-3.00) per kg and ₹255-265 (approximately $2.94-3.05) per kg, respectively; and carded yarn of 30 count was noted at 240-245 (approximately $2.77-2.82) per kg today, according to trade sources.

The Delhi market did not witness any increase in cotton yarn prices today. Limited buying interest and thin trade were observed as buyers remained cautious about fresh deals. Market sources reported that sentiment remained weak due to payment constraints and slow demand. However, better demand is expected in April when the new fiscal year begins.

In this market, 30 count combed knitting yarn was traded at ₹259-260 (approximately $2.98-3.00) per kg (GST extra), 40 count combed at ₹284-285 (approximately $3.27-3.28) per kg, 30 count carded at ₹233-235 (approximately $2.68-2.71) per kg, and 40 count carded at ₹258-260 (approximately $2.97-3.00) per kg today.

Recycled yarn and raw material prices remained stable in Panipat, India’s home textile hub. The market saw thin trade as buyers and sellers were still largely absent. Market sources suggest that summer demand may improve in the coming month, but the overall market trend may remain bearish in the final days of the current fiscal year. The demand for bedsheets, which typically rises seasonally, is expected to gain momentum, particularly from North Indian states. Raw material prices also remained steady.

In Panipat, 10s recycled PC yarn (Grey) was traded at ₹75-78 (approximately $0.86-0.90) per kg (GST paid). Other varieties and counts were noted at 10s recycled PC yarn (Black) at ₹52-55 (approximately $0.60-0.63) per kg, 20s recycled PC yarn (Grey) at ₹95-99 (approximately 1.09-1.14) per kg and 30s recycled PC yarn (Grey) at ₹128-134 (approximately $1.47-1.54) per kg. Cotton comber prices were noted at ₹103-106 (approximately $1.19-1.22) per kg. Prices of recycled polyester fibre (PET bottle fibre) were noted at ₹79-83 (approximately $0.91-0.96) per kg today.

In North India, cotton prices continued their upward trend, supported by limited arrivals and consistent buying by ginning mills. Seed cotton (kapas) prices also increased due to rising seed costs. Cotton prices rose by ₹10-20 per maund (37.2 kg) at the start of the week. Traders noted that increasing cotton seed prices and lower arrivals have pushed cotton prices higher. Buying activity from ginning mills has driven seed cotton prices further up, while rising cotton futures have also supported spot prices in North India. Cotton arrivals were slightly higher today, though availability remains limited due to a smaller crop size.

North India’s cotton arrival was 7,300 bales of 170 kg, comprising 300 bales in Punjab, 2,500 bales in Haryana, 3,000 bales in upper Rajasthan and 1,500 bales in lower Rajasthan. Cotton prices in Punjab ranged from ₹5,600 to ₹5,610 (approximately $64.53-64.64) per maund of 37.2 kg, while in Haryana, prices ranged from ₹5,570 to ₹5,590 (approximately $64.18-64.41). In upper Rajasthan, cotton was priced between ₹5,600- ₹5,620 (approximately $64.53-64.76) per maund. In lower Rajasthan, it was priced at ₹53,200 to ₹54,200 (approximately $618.03-624.55) per candy of 356 kg. Seed cotton was priced as ₹7,100-7,400 (approximately $81.81-82.27) per quintal of 100 kg. Cotton prices have jumped around 2 per cent in the last two weeks.

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)