Cotton yarn prices in south India down despite improved buying

Mumbai market witnessed a further decline of ₹5-8 per kg in cotton yarn prices during the last week. “Some traders were quoting higher prices, but the improvement in buying will sustain only after the demand and production of garments increases,” a trader from Mumbai told Fibre2Fashion. 

Like the north Indian market, the south Indian cotton yarn market also witnessed a slightly better demand today. Demand, specifically from the domestic market, improved, but the prices of cotton yarn continued to remain under pressure. Cotton prices eased by ₹3-8 per kg in Mumbai. Traders were still anticipating improved buying from the downstream industry.

In Mumbai, 60 count carded cotton yarn of warp and weft varieties were traded at ₹1,640-1,680 and ₹1,530-1,580 per 5 kg (GST extra) respectively. 60 combed warp was priced at ₹355-360 per kg. 80 carded (weft) cotton yarn was sold at ₹1,500-1,520 per 4.5 kg. 44/46 count carded cotton yarn (warp) was priced at ₹295-300 per kg. 40/41 count carded cotton yarn (warp) was sold at ₹282-288 per kg and 40/41 count combed yarn (warp) was priced at ₹300-305 per kg, according to Fibre2Fashion’s market insight tool TexPro. 

In Tiruppur, demand from the local market was better than that from the export market, which caused buying to improve. However, prices continued to fall. Cotton yarn prices will increase only if buying continues to improve. 

Today, 30 count combed cotton yarn was traded at ₹290-295 per kg (GST extra), 34 count combed at ₹305-310 per kg and 40 count combed at ₹315-320 per kg in the Tiruppur market. Cotton yarn of 30 count carded was sold at ₹263-268 per kg, 34 count carded at ₹270-275 per kg and 40 count carded at ₹275-280 per kg, as per TexPro. 

In Gujarat, cotton was traded at ₹63,000-63,500 per candy of 356 kg. The prices were down by ₹3,000-3,500 per candy since last week. However, the prices were stable today because of stronger prices of futures. Cotton prices went down as some traders expect arrival of the natural fibre to increase. Cotton arrival estimates remained a point of dispute among the traders. 

Fibre2Fashion News Desk (KUL)