South Indian cotton yarn market sluggish but prices remain steady

The Mumbai market witnessed stability in cotton yarn prices, although demand weakened further due to poor consumption in the downstream industry. Prices did not soften as cotton prices are unlikely to fall significantly. A trader from Mumbai told Fibre2Fashion, “Cotton yarn consumption has slowed as looms were forced to cut production due to labour shortages. Export demand for cotton yarn was also weak. However, slower production has supported fabric prices, which may remain firm until mid-June.”

In Mumbai, 60 carded yarn of warp and weft varieties were traded at ₹1,420-1,445 (approximately $16.81-$17.10) and ₹1,360-1,400 per 5 kg (approximately $16.10-$16.57) (excluding GST), respectively. Other prices include 60 combed warp at ₹322-326 (approximately $3.81-$3.86) per kg, 80 carded weft at ₹1,400-1,460 (approximately $16.57-$17.28) per 4.5 kg, 44/46 carded warp at ₹270-275 (approximately $3.20-$3.26) per kg, 40/41 carded warp at ₹255-262 (approximately $3.02-$3.10) per kg and 40/41 combed warp at ₹272-275 (approximately $3.22-3.26) per kg, according to trade sources.

Cotton yarn prices also remained stable in the Tiruppur market. Most spinning mills rolled over their selling rates for May 2025, although one leading group increased its mill rate by ₹3 per kg. While mills intended to raise prices, the market provided limited support. Sources said demand was sufficient to maintain current prices, though mills are struggling to pass on recent cotton price increases. Still, one major spinner has raised its prices, leveraging a broad rate list and strong customer base.

In Tiruppur, knitting cotton yarn prices were noted as 30 count combed cotton yarn at ₹257-265 (approximately $3.04-3.14) per kg (excluding GST), 34 count combed cotton yarn at ₹266-273 (approximately $3.15-3.23) per kg, 40 count combed cotton yarn at ₹278-291 (approximately $3.29-3.44) per kg, 30 count carded cotton yarn at ₹237-242 (approximately $2.81-2.86) per kg, 34 count carded cotton yarn at ₹242-247 (approximately $2.86-2.92) per kg and 40 count carded cotton yarn at ₹250-255 (approximately $2.96-3.02) per kg.

In Gujarat, cotton prices remained steady amid thin trading. Trade sources noted a price increase last week. Buyers are looking to purchase yarn but are unable to find stock; however, they are also unwilling to pay higher open market prices. One trader said that the auction price of the Cotton Corporation of India (CCI) is quite high, while spinning mills are reluctant to buy from private suppliers. Private ginners and stockists hold very limited stock, having made few purchases during the peak arrival season.

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 ₹54,000–54,500 (approximately $639.18–$645.10) per candy of 356 kg, while southern mills were bidding at ₹55,000–55,200 (approximately $651.01–$653.38) 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)