Overall, cotton yarn in south India has continued to exhibit a bearish tone. However, the Tiruppur market in south India remains optimistic about better demand in the coming weeks as normalcy is expected to return to Tamil Nadu following the completion of voting in the general elections. In contrast, the Mumbai market does not anticipate an improvement in demand in the near future.

The Mumbai market has noted a declining trend in cotton yarn prices. Weaving cotton yarn has slipped by ₹5-10 per kg, although mills have slashed prices by up to ₹5 per kg. A trader from Mumbai, speaking to Fibre2Fashion, reported, "There was poor uptake from the downstream industry. The garment industry was very slow in buying fabric. The slow demand and recent fall in the price of cotton have contributed to the fall in yarn prices. Mills have also tried to attract buyers by offering lower prices.”

In Mumbai, 60-carded yarn of warp and weft varieties were sold at ₹1,425-1,470 per 5 kg (approximately $17.10-$17.64) and ₹1,330-1,390 per 5 kg (approximately $15.96-$16.68) (excluding GST), respectively. Other prices include 60 combed warp at ₹332-337 (approximately $3.98-$4.04) per kg, 80-carded weft at ₹1,410-1,450 (approximately $16.92-$17.40) per 4.5 kg, 44/46-carded warp at ₹255-262 (approximately $3.06-$3.14) per kg, 40/41-carded warp at ₹260-265 (approximately $3.12-$3.18) per kg, 40/41 combed warp at ₹292-298 (approximately $3.50-$3.58) per kg, and 30/32-carded warp at ₹247-250 (approximately $2.96-$3.00) per kg, according to trade sources.

The Tiruppur market has witnessed a mixed trend in knitting and weaving yarn. Some counts, like 34 count combed yarn and 40 count carded yarn, have decreased by ₹2-3 per kg, but other varieties and counts have been traded steadily. A trade source noted that the market expected better uptake of cotton yarn by the downstream industry as trading and manufacturing activities improve. With voting for the general election concluded in Tamil Nadu, traders can make payments in cash.

In Tiruppur, knitting cotton yarn prices were noted on Thursday as: 30 count combed cotton yarn at ₹270-275 (approximately $3.23-3.29) per kg (excluding GST), 34 count combed cotton yarn at ₹277-282 (approximately $3.32-3.38) per kg, 40 count combed cotton yarn at ₹290-295 (approximately $3.47-3.53) per kg, 30 count carded cotton yarn at ₹244-249 (approximately $2.92-2.98) per kg, 34 count carded cotton yarn at ₹251-255 (approximately $3.01-3.06) per kg and 40 count carded cotton yarn at ₹257-262 (approximately $3.08-3.14) per kg, as per market sources.

In Gujarat, cotton prices gained ₹500 per candy of 356 kg due to improved market sentiments. ICE cotton prices recovered this week due to better demand and lower prices. Traders expect good demand from spinning mills as they do not have very large stocks and cotton availability will be limited in the coming months. Ginners are trying to keep their stock intact for the dry months. Cotton arrivals were recorded at 12,000-15,000 bales of 170 kg in Gujarat, with all-India arrivals estimated at 45,000-50,000 bales. In Gujarat, the benchmark Shankar-6 cotton was quoted between ₹58,500-59,000 (approximately $701.98-$707.98) per candy of 356 kg, while southern mills were looking to buy cotton at ₹59,000-59,500 (approximately $707.98-$713.98) per candy.

Disclaimer: The prices in this article are based on market sources and hence, readers are recommended to do their own research before making any decision. The publisher and their affiliates are not liable for any inaccuracies or actions taken based on this information.

Fibre2Fashion News Desk (KUL)