South India's cotton yarn prices steady despite slow demand

Despite the slow demand from power loom owners, the Mumbai market did not witness any movement in cotton yarn prices. A trader from Mumbai informed Fibre2Fashion, "There was very slow demand from fabric manufacturers. The seasonal demand for fabric for school uniforms was also absent. It is likely that such buying will pick up after the general election. The demand for cotton yarn from the export segment was also negligible."

In Mumbai, 60-carded yarn of warp and weft varieties were sold at ₹1,490-1,520 (approximately $17.89-$18.25) and ₹1,390-1,450 per 5 kg (approximately $16.69-$17.41) (excluding GST), respectively. Other prices include 60 combed warp at ₹337-342 (approximately $4.05-$4.11) per kg, 80-carded weft at ₹1,480-1,520 (approximately $17.77-$18.25) per 4.5 kg, 44/46-carded warp at ₹265-272 (approximately $3.18-$3.27) per kg, 40/41-carded warp at ₹265-270 (approximately $3.18-$3.24) per kg, 40/41 combed warp at ₹296-302 (approximately $3.55-$3.63) per kg, and 30/32-carded warp at ₹252-257 (approximately $3.03-$3.09) per kg, according to Fibre2Fashion's market insight tool TexPro.

The Tiruppur market also saw stability in cotton yarn prices. The consumer industry preferred to adopt a hand-to-mouth approach at least until the general election. A trader from the Tiruppur market told F2F, "In addition to the general election, weaker cotton and slow garment export demand were negative factors for yarn trade. Buyers were postponing their purchases as they anticipated a decrease in prices following the fall in cotton prices." It is noteworthy that Indian cotton prices have shown a declining trend following a steep drop in global cotton prices. However, Indian cotton did not experience a comparable decrease in prices.

In Tiruppur, cotton yarn prices were noted as: 30 count combed cotton yarn at ₹275-282 (approximately $3.30-3.38) per kg (excluding GST), 34 count combed cotton yarn at ₹280-288 (approximately $3.36-3.45) per kg, 40 count combed cotton yarn at ₹293-303 (approximately $3.51-3.63) per kg, 30 count carded cotton yarn at ₹245-253 (approximately $2.94-303) per kg, 34 count carded cotton yarn at ₹254-260 (approximately $3.05-3.12) per kg and 40 count carded cotton yarn at ₹260-268 (approximately $3.12-3.21) per kg, as per TexPro.

In Gujarat, cotton prices dropped following a steep fall in ICE cotton prices. Local cotton prices decreased by ₹500-600 per candy of 356 kg in the last couple of days. The fall in local cotton prices was not as significant as the decrease seen in ICE cotton, which is reaching a several months' low due to various factors. Market sources mentioned that buyers are also adopting a cautious approach as they await stability in the natural fibre. Cotton arrivals were recorded at 16,000-17,000 bales of 170 kg in Gujarat, with all-India arrivals estimated at 52,000-55,000 bales. In Gujarat, the benchmark Shankar-6 cotton was quoted between ₹59,800-60,200 (approximately $716.90-$721.69) per candy of 356 kg, while southern mills were looking to buy cotton at ₹60,500-61,000 (approximately $725.29-$731.28) per candy.

Disclaimer: The prices in this article are for guidance only. 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)