Cotton yarn prices in North India remained stable despite sluggish demand from the weaving industry. However, there was optimism in the market due to talks of cotton yarn export orders from China. Trade sources reported that numerous spinning mills have received orders to supply cotton yarn to Chinese buyers. These export orders were redirected following a recent increase in ICE cotton prices.
The cotton yarn prices in the Ludhiana market remained stable. However, there was limited purchasing from the weaving industry due to stagnant domestic and export apparel demand. A trader from the Ludhiana market told, “There were speculations that many spinning mills have received significant export orders for cotton yarn from Chinese buyers. The recent increase in ICE cotton prices led Chinese importers to divert some orders to Indian exporters, potentially providing support to the domestic cotton yarn market.”
According to market report, prices for 30 count cotton combed yarn ranged from Rs. 277-287 per kg (inclusive of GST); and 20 and 25 count combed yarn were traded at Rs. 267-277 per kg and Rs. 270-280 per kg, respectively. The price of 30 count carded yarn was noted at Rs. 255-265 per kg. Overall, cotton yarn prices remained stable in the market.
Cotton yarn prices in the Delhi market also remained steady. However, there was weak demand from the weaving industry, and efforts were made by mills and stockists to boost market sentiment. Demand from the domestic cotton yarn consumer industry did not show improvement. A trader from the Delhi market told, “Spinning mills are trying to enhance market sentiment, but demand is yet to see any significant improvement.”
Prices for various counts of cotton yarn were reported as follows in Delhi, according to a report: 30 count combed yarn traded at Rs. 270-280 per kg (excluding GST), 40 count combed yarn at Rs. 300-305 per kg, 30 count carded yarn at Rs. 248-255 per kg, and 40 count carded yarn at Rs. 280-285 per kg.
The recycled yarn market in Panipat experienced weak sentiment. According to trade sources, the home furnishing sector is facing a dual challenge. Export demand has reduced to just 50 per cent after a significant rise in 2020, and the industry is also grappling with a shortage of raw materials. The increased cost of production, resulting from the raw material shortage, could not be passed on to retailers due to poor demand.
In the Panipat market, 10s recycled PC yarn (grey) traded at Rs. 85-90 per kg (excluding GST), 10s recycled PC yarn (black) traded at Rs. 55-60 per kg, 20s recycled PC yarn (grey) at Rs. 95-100 per kg, and 30s recycled PC yarn (grey) at Rs. 150-155 per kg. Comber prices were noted at Rs. 140-145 per kg, while recycled polyester fibre (PET bottle fibre) was priced at Rs. 72-75 per kg. The demand for 10s recycled PC yarn (black) was weak, leading to a reduction in prices by Rs. 2-3 per kg. Similarly, recycled polyester yarn saw a decrease of Rs. 3 per kg.
Following a recent gain, north Indian cotton prices turned bearish, decreasing by Rs. 20-25 per maund (37.2 kg) today. However, ICE cotton experienced an upward trend during the Asian trading session. Trade sources reported limited cotton stocks with ginners, and spinners showed a slow interest in purchasing the natural fibre. Poor demand from the downstream industry suggests that prices are likely to remain rangebound. The arrival of cotton was noted at 5,000 bales (170 kg each). In Punjab, cotton was traded at Rs. 6,200-6,300 per maund, in Haryana at Rs. 6,150-6,250 per maund, and in upper Rajasthan at Rs. 6,375-6,475 per maund. In lower Rajasthan, it was sold at Rs. 59,500-61,500 per candy (356 kg).
