Cotton yarn gains in north India, mills hike rate on good demand




North India’s cotton yarn market recorded upward trend today. Cotton yarn prices gained in Ludhiana as domestic demand also picked up. According to traders, most spinning mills in north India have increased their sale prices by ₹2-7 per kg to improve their recovery as they are confident for better demand. However, recycled yarn remained stable in Panipat.

Delhi market witnessed price rise of ₹5 per kg in most counts and varieties of yarn. According to market sources, most of the mills increased yarn prices as they were confident of better buying. Last week, export demand had picked up, now domestic demand was also improving. A trader from Delhi told Fibre2Fashion, “Cotton yarn prices may sustain as fundamentals are strong. Yarn prices are quite lower than cost of production at current cotton prices. Domestic and export demand are also picking up.” 30 count combed yarn was traded at ₹370-375 per kg (GST extra), 40 count combed at ₹405-410 per kg, 30 count carded at ₹320-325 per kg and 40 count carded at ₹360-365 per kg, according to Fibre2Fashion’s market insight tool TexPro.

North India’s cotton yarn market recorded upward trend today. Cotton yarn prices gained in Ludhiana as domestic demand also picked up. According to traders, most spinning mills in north India have increased their sale prices by ₹2-7 per kg to improve their recovery as they are confident for better demand. However, recycled yarn remained stable in Panipat.

Cotton yarn prices increased by ₹5 per kg in Ludhiana market due to stronger demand and hike in mills’ rate. The mills have increased yarn prices between ₹2-7 per kg with the beginning of August. A trader from Ludhiana said, “Spinning mills had closed sale of yarn in the last days of previous months. They told traders that cotton yarn was not available at previous rates. The mills opened sale today at revised higher prices.” According to market sources, mills are facing disparity of 10-15 per cent in producing yarn at current cotton prices. Mills also took cues of better buying from weaving and garment industries. In Ludhiana, 30 count cotton combed yarn was sold at ₹375-380 per kg (GST inclusive), according to TexPro. 20 and 25 count combed yarn were traded at ₹365-370 per kg and ₹370-375 per kg respectively. Carded yarn of 30 count was quoted at ₹335-340 per kg.

Recycled yarn of various counts and varieties were traded steady because demand remained weak in Panipat. Recycled yarn is mainly used in furnishing products like curtain, pillow cover, bed sheets, quilt, sofa cover, etc. Traders said that there was slightly better buying of 10 count recycled yarn from Uttar Pradesh. This variety is widely used for bed sheets, quilt cover, etc. Traders feel that home textiles market is yet to pick up. However, cotton comber and PET bottle fibre gained due to better buying from spinning mills. The raw material is being blended by the mills for cost cutting. Comber gained ₹2 per kg while PET bottle fibre or recycled fibre appreciated by ₹5 per kg. In Panipat market, 10s recycled yarn (white) was traded at ₹90-95 per kg (excluding GST), 10s recycled yarn (coloured – high quality) at ₹110-115 per kg, 10s recycled yarn (coloured – low quality) at ₹80-85 per kg and 20s recycled high quality PC yarn (coloured) at ₹125-130 per kg. 10s optical yarn was traded at ₹100-110 per kg in the market. Comber prices further increased by ₹2 to ₹122-127 per kg. The price of recycled polyester fibre (PET bottle fibre) also rose to ₹89 per kg from previous rate of ₹85 per kg.

In north India, cotton prices maintained at previous rates as demand remained intact. According to traders, cotton prices had witnessed upward trend during last week. Current buying of mills has supported market, so the higher prices sustained in the beginning of this week. Cotton was traded at ₹8,800-9,300 per maund of 37.2 kg in Punjab, ₹8,400-8,800 per maund in Haryana and ₹8,900-9,300 per maund in upper Rajasthan. It was sold at ₹84,000-86,000 per candy of 356 kg in lower Rajasthan.

Fibre2Fashion News Desk (KUL)





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