In the past week, despite market expectations for a rapid correction in Indian cotton yarn prices, Indian cotton yarn prices have continued to rise, with a cumulative increase of 5-6% in the past four weeks and a cumulative increase of 15% in the past three months. -17%.
After a large number of textile mills replenished their stocks, the current demand for cotton yarn in India has begun to decline. The second wave of the epidemic in the European Union is expected to make India’s clothing exports lower than expected.
As Indian cotton prices have risen higher than the international market average price, Indian cotton and cotton yarn exports may slow down. In the past week, as the amount of new cotton on the market increased, Indian cotton prices began to fall slightly, but CCI’s large-scale acquisitions will limit the price decline.
It is reported that the newly introduced laws in India will privatize the purchase of cotton in major areas, triggering large-scale protests by cotton farmers. Therefore, the government will take measures to suppress and maintain the stability of cotton prices. .
After the price of cotton yarn rose sharply and the increase exceeded that of cotton, the profits of Indian yarn mills began to recover in the past two months, and organic cotton yarn continued to rise due to the decline in supply.
