South India’s cotton yarn prices stable before Budget 2023-24

Mumbai market witnessed a steady demand, thus cotton yarn was sold at previous levels. Buyers were cautious before the budget announcement. “Cotton yarn demand was already weak, and buyers stayed away again due to the impending budget. The government’s proposals influence market sentiments and prices take direction from the policy document,” a trader from Mumbai told Fibre2Fashion. 

Cotton yarn prices remained steady in south India today because of average to slow demand from the weaving industry. Cotton yarn prices were stable in Mumbai and Tiruppur as buyers stayed away in anticipation of the Union Budget 2023-24 which will be presented tomorrow, February 1. Buyers in the region are cautious before the budget announcement.

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, 80 carded (weft) cotton yarn was sold at ₹1,470-1,490 per 4.5 kg and 44/46 count carded cotton yarn (warp) was priced at ₹275-280 per kg. 40/41 count carded cotton yarn (warp) was sold at ₹262-268 per kg and 40/41 count combed yarn (warp) was priced at ₹290-293 per kg, according to Fibre2Fashion’s market insight tool TexPro. 

Demand for cotton yarn was muted in the Tiruppur market. Buyers from the weaving segment were not interested in new deals. According to the traders, the demand from the downstream industry is likely to remain weak till mid-March when temperatures rise, which in turn will drive the demand for cotton yarn clothing. 

In Tiruppur, 30 count combed cotton yarn was traded at ₹280-285 per kg (GST extra), 34 count combed at ₹298-302 per kg and 40 count combed at ₹310-315 per kg. 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 prices have been steady at ₹61,800-62,400 per candy of 356 kg since the end of last week. Farmers are still reluctant to sell their crop. Demand from the spinning industry was limited due to price disparity. According to the traders, there was not much movement in cotton prices in Gujarat mandis. 

Fibre2Fashion News Desk (KUL)