Mixed trend in polyester & viscose yarn in India, demand still weak

12 Jun '24

4 min read

Mixed trend in polyester & viscose yarn in India, demand still weak

Pic: Adobe Stock

Insights

India's polyester yarn prices rose by ₹2-3 per kg in Ludhiana but remained stable in Surat, which saw a previous rise.
Increased polyester fibre costs spurred demand, while viscose yarn remained steady in Surat and Mumbai.
Ludhiana's PC prices were unchanged.
North India's cotton prices recovered, following ICE trends, with limited buying by spinning mills.

India’s polyester yarn traded up by ₹2-3 per kg in Punjab’s Ludhiana market. However, prices remained stable in Gujarat’s Surat, the largest polyester-based textile hub in the country. Surat had seen a rise in polyester yarn prices during the last week. Regular increases in polyester fibre by domestic manufacturers encouraged demand from the textile value chain.

A similar trend was noticed in viscose yarn last week, but it traded steadily in Surat and Mumbai today. Polyester-cotton prices were also unchanged in Ludhiana, a prominent market for blended yarn. Opinions varied regarding the demand in the garment industry. Some traders felt that the garment industry’s fabric buying was slow due to sluggish retail demand and poor export orders, while others said demand was gradually picking up from consumer industries.

Ludhiana market continued to see a further rise in polyester yarn prices by ₹2-3 per kg over the last week. A trader from Ludhiana market told Fibre2Fashion, “Polyester staple fibre is set to see a further rise of ₹1 per kg. Earlier, they had increased prices by ₹2 per kg. Spinning mills and stockists are trying to benefit from the short-term trend. Demand from the garment industry is still weak. The market can turn around only when export and local garment demand picks up.”

In Ludhiana, 30 count PC combed yarn (48/52) traded at ₹212-222 (approximately $2.54-2.66) per kg (GST inclusive); 30 count PC carded yarn (65/35) at ₹199-209 (approximately $2.39-2.51) per kg; 20 recycled polyester fibre yarn at ₹110-120 (approximately $1.32-1.44) per kg; 30 count polyester spun yarn at ₹161-170 (approximately $1.93-2.03) per kg (GST inclusive); and recycled polyester fibre (PET bottle fibre) at ₹76-79 (approximately $0.91-0.95) per kg, as per market sources.

The Surat market noticed stability in polyester and viscose yarn prices after an increase last week. According to market sources, some traders felt that demand from the garment industry is increasing gradually. However, other traders said that export orders are still very poor. Local garment demand is not expected to pick up until mid-July. The yarn market is facing uncertainty regarding demand from fabric and garment industries.

In Surat, 30 count polyester spun yarn was traded at ₹147-148 (approximately $1.76-1.77) per kg (GST extra); 40 count poly spun yarn at ₹167-168 (approximately $2.00-2.01) per kg; 50/48 fully drawn yarn (FDY) at ₹122-123 (approximately $1.47-1.48) per kg; 75/72 FDY at ₹112-113 (approximately $1.34-1.36) per kg; 75 bright yarn at ₹112-113 (approximately $1.34-1.36) per kg; and 30 viscose compact yarn (local) at ₹205-206 (approximately $2.46-2.47) per kg (GST extra).

The Mumbai market also noticed stability in viscose yarn amid weak demand. Imported viscose vortex yarn and locally manufactured ring-spun yarn traded steadily. Imported 30 count viscose vortex yarn was priced at ₹189-194 (approximately $2.27-2.33) per kg, and local 30 count ring-spun viscose yarn at ₹194-200 (approximately $2.33-2.40) per kg.

North India cotton prices recovered today after easing on Tuesday. Prices were higher by ₹25 per maund of 37.2 kg. The market followed the trend of ICE cotton, which gained after easing in the previous session. Traders said spinning mills are buying cotton in limited quantities. Cotton prices are following the trend of ICE cotton, but fluctuations are minor in the local market. The Indian textile industry will depend on cotton stocks in the next couple of months.

Today's arrivals decreased to 700 bales of 170 kg in north India. State-wise arrivals were as follows: 600 bales in Haryana, 50 bales in upper Rajasthan, and 50 bales in lower Rajasthan. There was no sizeable arrival in Punjab’s mandis. Cotton prices in Punjab ranged from ₹5,725 to ₹5,750 (approximately $68.52-68.82) per maund of 37.2 kg, while in Haryana, prices ranged from ₹5,625 to ₹5,725 (approximately $67.32-68.52). In upper Rajasthan, cotton was priced between ₹5,450-5,750 (approximately $65.23-68.82) per maund. Bikaner line cotton sold for ₹5,750 to ₹5,850 (approximately $68.82-70.02) per maund. In lower Rajasthan, cotton was priced at ₹53,500 to ₹56,700 (approximately $640.32-678.62) per candy of 356 kg.