Cotton yarn prices steady due to weak demand in South India

Mumbai market witnessed a steady trend in cotton yarn prices. Buyers were not interested which pulled down market sentiments. “Demand slowed down because of the sluggish trend in the downstream industry. Spinners were facing pressure to clear their stocks. Loom owners are least interested in production. But they were trying to sell their stocks,” Bharat Shah, a trader from Mumbai told Fibre2Fashion. Another trader said that buyers were cautious due to the upcoming Union budget. 

Cotton yarn prices remained steady in south India today due to sluggish demand. Stronger buying of cotton yarn could not sustain in the market. Spinners are again feeling the pressure to clear their stock. However, traders were optimistic about demand picking up after Pongal. Buyers are likely to make a comeback after clarity on the Union budget 2023-24.

In Mumbai, 60 count carded cotton yarn of warp and weft varieties were traded at ₹1,540-1,570 and ₹1,440-1,490 per 5 kg (GST extra) respectively. 60 combed warp was priced at ₹345-350 per kg, and 80 carded (weft) cotton yarn was sold at ₹1,470-1,490 per 4.5 kg. 44/46 count carded cotton yarn (warp) was priced at ₹285-290 per kg. 40/41 count carded cotton yarn (warp) was sold at ₹272-278 per kg and 40/41 count combed yarn (warp) was priced at ₹292-295 per kg, according to Fibre2Fashion’s market insight tool TexPro. 

Buyers remained absent from the Tiruppur market as well. Traders said that the weaving industry remained silent as looms are currently not working due to the Pongal festival. The current sluggish trend can be attributed to the festival. Today, 30 count combed cotton yarn was traded at ₹285-290 per kg (GST extra), 34 count combed at ₹300-305 per kg and 40 count combed at ₹310-315 per kg in the Tiruppur market. Cotton yarn of 30 count carded was sold at ₹255-260 per kg, 34 count carded at ₹265-270 per kg and 40 count carded at ₹270-275 per kg, as per TexPro. 

In Gujarat, cotton was priced down by ₹500-700 to ₹62,000-62,500 per candy of 356 kg. According to the traders, weak ICE cotton caused the downfall in cotton prices. Ginners were uncomfortable with present prices of seed cotton (narma) which was traded at ₹1,775-1,825 per 20 kg. 

Fibre2Fashion News Desk (KUL)