page_banner

news

Weak Demand For Cotton Yarn In Northern India, Cotton Prices Falling

The demand for cotton yarn in northern India remains weak, especially in the textile industry. In addition, the limited export orders pose a significant challenge to the textile industry. The price of Delhi cotton yarn has dropped by up to 7 rupees per kilogram, while the price of Ludiana cotton yarn has remained relatively stable. Traders have stated that this situation has led to spinning mills shutting down for two days a week. On the positive side, the recent surge in ICE cotton may stimulate demand for Indian cotton yarn exports.

The cotton yarn in the Delhi market has dropped by as much as 7 rupees per kilogram, and there is no sign of improvement in demand for the textile industry. A Delhi market businessman expressed his concern: “Insufficient demand in the textile industry is indeed a concern. Exporters are working hard to secure international buyer orders. However, the recent surge in ICE cotton has given Indian cotton an advantage. If Indian cotton continues to be cheaper than global peers, we may see a recovery in cotton yarn exports

The transaction price for 30 pieces of combed cotton yarn is INR 260-273 per kilogram (excluding consumption tax), INR 290-300 per kilogram for 40 pieces of combed cotton yarn, INR 238-245 per kilogram for 30 pieces of combed cotton yarn, and INR 268-275 per kilogram for 40 pieces of combed cotton yarn.

The cotton yarn prices in the Ludiana market remain stable. Due to the uncertainty of domestic and export clothing demand, the demand in the textile industry has decreased. Due to weak procurement, small textile companies have started taking extra vacations to reduce production. It is reported that due to the current market downturn, textile companies have suffered significant losses

The selling price of 30 pieces of combed cotton yarn is 270-280 rupees per kilogram (excluding consumption tax), the transaction price of 20 pieces and 25 pieces of combed cotton yarn is 260-265 rupees and 265-270 rupees per kilogram, and the price of 30 pieces of coarse combed cotton yarn is 250-260 rupees per kilogram. The cotton yarn price in this market has decreased by 5 rupees per kilogram.

Panipat recycled yarn market also showed a downward trend. According to insiders, it is difficult for export enterprises to obtain orders from international buyers, and domestic demand is not enough to support market sentiment.

Due to sluggish demand from textile companies, cotton prices in northern India have fallen. Although cotton shipments were limited during the season, buyers were scarce due to downstream industry pessimism. They have no stocking demand for the next 3-4 months. The arrival quantity of cotton is 5200 bags (170 kilograms per bag). The trading price of cotton in Punjab is 6000-6100 rupees per Moende (356kg), 5950-6050 rupees per Moende in Haryana, 6230-6330 rupees per Moende in Upper Rajasthan, and 58500-59500 rupees per Moende in Lower Rajasthan.


Post time: May-25-2023