In the past week, cotton prices in India have begun to stabilize. Spinners continue to lower cotton yarn quotations, profits continue to decline, and poor exports continue to put pressure on production and sales.
That week, the spot price of S-6 in India increased by 1.4%, making it difficult for spinners to increase yarn prices. Cotton yarn prices in India continue to fall due to weak domestic and international demand. Tamil Nadu 100% cotton yarn fell by 1.8%, with a cumulative decline of 4.4% in the past four weeks. The price of polyester and cotton yarn fell, while the price of polyester and viscose yarn increased.
High costs have put great pressure on Indian cotton mills. Large-scale purchases in the early stage supported the rise in domestic cotton prices, while international cotton prices have fallen sharply. Although the strengthening of the rupee exchange rate has reduced the cost of imported foreign cotton for cotton mills, the proportion of low-priced foreign cotton in cotton mills’ purchases is still very small.
