Home / Knowledge / News / Textiles / Cotton price declines due to lukewarm demand
Cotton price declines due to lukewarm demand
Jul '11
The spot rate for cotton at the Karachi Cotton Exchange (KCE) decreased by PKR 500 to close at PKR 6,200 per 37.324 kg on July 14. The sharp 7.46 percent decline has occurred due to the reduced demand and the accompanied increase in supply of stocks.

Being wary of the fluctuating price on a daily basis, spinning mills have temporarily put their cotton buying on hold, waiting for the price to decline further to PKR 5,500 levels. There are already reports of cotton price sliding to a low of PKR 5,800 in other parts of the country.

The downslide in prices is fuelled by the bumper cotton crop of 15.2 million bales expected this year, adequate enough to meet the demand. Secondly, yield is also going to increase this year in other cotton producing countries such as India, China and the United States, which are all expecting bumper harvest.

The weather conditions have so far been favourable in Pakistan and between 8,000 and 9,000 bales have already begun arriving daily in the market. This figure would rise as the new crop arrives.

In 2010, nearly 100,000 bales of cotton were packed everyday by 1,150 ginning mills operating in the country. The spinning mills are already holding stockpiles of 1.6 million bales from the last season when the prices touched the PKR 14,000 mark.

Due to the prevailing high prices during the previous season and the further rising trend, several fabric manufacturers had stocked expensive yarn. As a result, they are also unwilling to procure yarn without exhausting their existing stocks.

Fibre2fashion News Desk - India

Must ReadView All

Apparel/Garments | On 23rd Jun 2017

Alfredo Grassi to develop graphene-enhanced workwear

Alfredo Grassi, manufacturer of customised protective clothing,...

Courtesy: IMRG

Apparel/Garments | On 23rd Jun 2017

UK online retail sales up only 10.2 pc YoY in May 2017

UK online retail sales were up 10.2 per cent year-on-year (YoY) in...

Courtesy: Radicigroup

Textiles | On 23rd Jun 2017

Radici Chimica focuses on business continuity

Radici Chimica SpA, a strategic RadiciGroup company, is keen on...

Interviews View All

Shawn Honeycutt
Bolger & O'Hearn

‘The Indian market is interesting and rather persistent in seeking new...

Kaizad Hansotia

Competition is the best thing that can happen to a startup

Viral Desai
Zenitex Mill Pvt Ltd

Full of green energy

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Mohammad Hassan
Biax Fiberfilm

About one in every 20 patients picks up an infection while hospitalised....

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Igor Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Rupa Sood and Sharan Apparao

Nayaab, an exhibition meant to celebrate Indian weaves, is in its second...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies


news category

Related Categories:
June 2017

June 2017

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


Browse Our Archives


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