Industrial Cluster: The Price Of Cotton And Cotton Yarn Rises In India

As cotton prices soared to record highs, cotton yarn prices in India have recently risen by more than 20%. In the past three months, the price of high quality 40 yarn and 60 yarn has increased from 330 rupees / kg to 405 rupees / kg and 415 rupees / kg to 500 rupees / kg respectively.

After the lifting of the epidemic restrictions, India's domestic clothing demand has shown a growing trend, and yarn prices have kept pace with the rise of cotton prices. According to the Federation of Indian textile industries, cotton prices have risen by 80% since October last year, but the price of 40 yarns has only increased by 58% in the same period. Although the price of the popular cotton blend, which is popular in southern India, has risen by 126% again, the price of 80 yarns has only increased by 38%, the agency said.

According to Indian industry agencies, despite the rise in cotton prices, but textile mill orders to 45 days. With the increase of yarn demand, advance orders are also increasing. Therefore, the spinning mill is in a favorable position at present. Due to the strong domestic demand for natural fibers, spinning mills now hope to supplement cotton demand in the next two to three months. At present, the daily market volume of new cotton in India is nearly 150000 bales, and the quality has also improved. The spinning mills have sufficient cotton stocks.

According to the Federation of textile industries of India, spinning mills still have some profits even at the current cotton prices due to strong demand from the clothing industry due to open tourism and market restrictions. However, due to strong domestic demand and fast payment cycle, India's cotton exports slowed down. At present, most spinning enterprises are catering to the domestic market. In terms of exports, Vietnam and China are the largest buyers of Indian cotton yarn, followed by the European Union and Turkey.

(source: China Textile News)