A trader from the Ludhiana market told Fibre2Fashion, “There was a sense of caution among buyers as they did not want to place orders without considering cash flow projection. Although cotton yarn prices had noticed upward trend in last week due to stronger cotton, demand from downstream industry was still limited.” In Ludhiana, 30 count cotton combed yarn was sold at ₹256-266 per kg (GST inclusive); 20 and 25 count combed yarn were traded at ₹246-256 per kg and ₹2451-261 per kg respectively; and carded yarn of 30 count was noted at 236-242 per kg.

A trader from Delhi market told F2F, “Buyers were busy in compiling status of their suppliers and vendors whether they were registered as micro and small enterprise as per the act. Buyers and sellers were more busy to understand the provisions of the new payment rule.” There was average demand but over all trade was limited. In this market, 30 count combed yarn was traded at ₹255-260 per kg (GST extra), 40 count combed at ₹280-285 per kg, 30 count carded at ₹238-243 per kg, and 40 count carded at ₹263-268 per kg, according to Fibre2Fashion's market insight tool TexPro.

In Panipat, recycled yarn was traded at previous prices amid slow demand. Traders said that Panipat market was also facing same caution due to the payment rule. Buyers were worried for the new provision and they were silent on new orders as they will not be able to make payment within this fiscal. Recycled yarn was traded at previous levels. 10s recycled PC yarn (Grey) was traded at ₹76-80 per kg (GST paid). Other varieties and counts were noted at 10s recycled PC yarn (Black) at ₹51-54 per kg, 20s recycled PC yarn (Grey) at ₹88-93 per kg and 30s recycled PC yarn (Grey) at ₹133-142 per kg. Cotton comber prices were noted to ₹112-114 per kg. Recycled polyester fibre (PET bottle fibre) was noted at ₹73-76 per kg, as per TexPro.

In north India, cotton prices steadied amid slow demand from spinning mills. Traders were divided on the impact of payment rule as few felt that cotton trade will not see much impact as ginning mills sell their production through financiers (arhatiya) for immediate payment who are not registered as micro and small enterprises. However, few other traders said that large portion of ginning mills sell their production directly to spinning mills. These mills were silent for fresh buying. Today’s arrival was noted at 15,500 bales of 170 kg. State-wise arrivals were noted as: Punjab 1,500 bales, Haryana 4,500 bales, upper Rajasthan 5,000, and lower Rajasthan 4,500 bales. Cotton was priced in Punjab at ₹5,500-5,650 and in Haryana at ₹5,450-5,550, upper Rajasthan at ₹5,350-5,550 per maund of 37.2 kg. Bikaner line cotton was sold at ₹5,575-5,675 per maund. In lower Rajasthan, cotton was priced at ₹52,200-54,200 per candy of 356 kg.

Fibre2Fashion News Desk (KUL)