Rising Prices Of India And Pakistan Cotton Yarn, Prompting Domestic Downstream Enterprises To Actively Replenishment

In recent weeks, India cotton yarn prices continued to rise, and domestic and export quotas rose at the same time.

During the week, 30 Combed Yarns in India rose 1 rupees / kg, and 40 Combed Yarns rose 1-2 rupees / kg. After two consecutive weeks of rising, cotton yarn has gradually established an upward trend, which may prompt domestic downstream enterprises to actively replenishment.

Meanwhile, cotton prices in India were sluggish and fell by 0.25% a week. Last year's excessive supply continued to put pressure on the market, but this year's excessive rainfall has had a negative impact on the output and quality of new cotton. Cotton prices have declined in Gujarat and Maharashtra because of the decline in cotton quality.

At present, the India dollar export price of cotton yarn has also started to rise, and 30 combed yarns have risen 20 cents in the past three weeks, reaching 2.65 US dollars / kg, or 8.2%.

Pakistan: China's booming demand for cotton yarn prices

In the past week, the price of cotton yarn in Pakistan has been decreasing along with cotton prices, and export prices have been driven by the strong demand in China.

Due to insufficient demand from downstream weaving mills, the price of yarn in Pakistan has dropped recently, and the main yarn market has dropped significantly. Buyers are reluctant to increase purchases at current prices. Meanwhile, domestic cotton prices continued to decline, prompting the cotton mill to reduce quotations. The 30 combed yarn decreased by 2.4% a week.

On the contrary, the export price of Pakistan yarn has been driven by the demand of China and Europe. Large purchases by foreign buyers before Christmas led to a price increase of 1-2%. Chinese buyers could accept higher prices because of the further rise in domestic yarn prices.

Affected by the lack of funds from large domestic mills, the price of cotton in Pakistan continued to decline. The spot price index in Karachi fell by 100 rupees / Maud in one week, and the price of BCI cotton and organic cotton also declined. In the future, China's entry into Xinjiang's new cotton will support China and the international market.