Home / Knowledge / News / Textiles / Raw cotton prices on downward spiral
Raw cotton prices on downward spiral
16
Jul '11
Raw cotton and in particular Shankar-6 prices – the most exportable cotton variety from India have plunged in the last three fortnights.

Shankar-6 prices which stood at Rs 45,500 per candy (1 candy = 356 kg) on June 1 have plummeted to Rs 33,750 per candy on July 15, down a massive 25.82 percent.

Infact they started falling beginning from April. After having touched a peak of Rs 63,000 per candy, cotton prices started moving southwards.

In the last 10 days alone, Shankar-6 prices have dropped by more than 11 percent.

The main reason for the same is the slowdown in demand for the white gold. Spinners across India are carrying high inventory levels of yarn, produced from cotton, bought at peak prices.

Since cotton prices have fallen, this has also resulted in a fall in yarn prices, at which, spinners can ill afford to sell, considering the high production cost of the yarn lying in their godown.

Closure of over 1,000 dyeing and printing units in Tirupur on orders from the Madras High Court too has resulted in low off take of yarn by powerloom factories.

Yesterday, the 600 member strong - South India Spinners Association (SISPA) have halted yarn production, to reduce yarn inventories, initially for a 10-day period.

This is the second mass closure in 60 days. Earlier on May 23, spinners across India had pulled down shutters for a day. In addition, production was also cut for the next 7 days, to reduce yarn inventory levels.

The way, cotton prices had more than doubled in the current cotton season, when compared with the previous season, coupled with slowdown in demand, a correction in the prices was inevitable.

Click here to view and download Shankar-6 cotton price trends.

Fibre2fashion News Desk - India


Must ReadView All

Textiles | On 25th Sep 2017

SVP Group to build $300 mn spinning plant in Sohar

ShriVallabh Pittie Industries (SVP) Group, a diversified yarn...

Apparel/Garments | On 25th Sep 2017

Vietnam textile sector to gain if EU FTA gets ratified

Experts feel the Vietnam-European Union (EU) free trade agreement...

Courtesy: Business Wire

Textiles | On 25th Sep 2017

Invista to use ADN technology at joint project in France

Invista, a leading producer of chemical intermediates, polymers, and...

Interviews View All

C Kamatchisundaram
Voltas

ITME is an occasion not only to receive new leads but also to work on...

Kaizad Hansotia
GetNatty

Competition is the best thing that can happen to a startup

Dinaz Madhukar
DLF Emporio and DLF Promenade

‘Each event and promotion is planned out keeping in mind the business of...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Silke Brand-Kirsch
Schlegel und Partner

Silke Brand-Kirsch, executive partner of Schlegel und Partner, a leading...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Sidharth Sinha
Sidharth Sinha

<b>Sidharth Sinha</b> has contributed to the successful rebirth and...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

September 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
74.5%
No
12.8%
Skip
12.8%

Total Votes: 47

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
61.7%
No
25.5%
Skip
12.8%

Total Votes: 47

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.2%
No
6.4%
Skip
6.4%

Total Votes: 47

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
70.2%
No
10.6%
Skip
19.1%

Total Votes: 47


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search