Home / Knowledge / News / Textiles / Chinese firms find Indian cotton yarn lucrative
Chinese firms find Indian cotton yarn lucrative
30
Jul '12
More and more Chinese enterprises are resorting to import of cotton yarn, especially from India in recent months.
 
Firstly, India has the advantage of the low cost of raw material. For example, the difference between the price of China’s cotton grade 328 and that of Indian cotton price of the same grade varies from about 3000 Yuan/ton to about 10,000 Yuan/ton. 
 
Under the cotton quota system, there is a limited scope for low-cost foreign cotton to enter China. Hence, domestic textile enterprises prefer to import cotton yarn as that would be cheaper than buying domestic cotton at high prices and turning them to yarn.
 
Secondly, China’s advantages in labour cost are gradually weakening. The cost of labour is relatively less in India compared to those in China.
 
So, cotton yarn imported from India has obvious advantage over Chinese domestic yarn in price. For example, the price difference between Chinese C21s and C21 yarn made in India is 1800 Yuan/ton.
 
Thirdly, the current exchange rate is also further helping the Indian cotton yarn become lucrative for Chinese textile enterprises.
 
Since 2010, the Renminbi has been appreciating against the US dollar. On the other hand, the Indian rupee has been gradually depreciating since about a year, which has increased the competitiveness of Indian goods, including cotton yarn.
 

Fibre2fashion News Desk - India


Must ReadView All

ITC, ICS tie up to help Moroccan textile value chain

Textiles | On 21st Apr 2018

ITC, ICS tie up to help Moroccan textile value chain

The International Trade Centre (ITC) has partnered with ICS, which...

Bangladesh garment manufacturers call for fair pricing

Apparel/Garments | On 21st Apr 2018

Bangladesh garment manufacturers call for fair pricing

Bangladesh garment manufacturers want a ‘commensurate adjustment’ by...

Pak ministry proposes extension to PM package for 2018-19

Textiles | On 21st Apr 2018

Pak ministry proposes extension to PM package for 2018-19

Pakistani textile ministry has reportedly proposed extending the...

Interviews View All

Top executives
Fashion houses, India

With technology, it has become easier to ensure IPR

Deepak Jain
Baggout

We are using Facebook and Instagram to promote ourselves

Rajiv Sirohi
Shara

‘Portugal is taking away a major share of the mill made sector.’

Liz Manning

<div><b>Liz Manning</b>, Business Development Manager at Catexel, has...

Harmeet Singh

New Delhi-based Jogindra Industries Private Limited provides an assortment ...

Riddhi Jain

Conceived in Europe and curated in New Delhi, NeceSera is a...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Lynda Kelly
Suominen Corporation

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

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Bani Batra

Bani Batra’s couture wedding collection is inspired by traditional Indian...

Amiben Shroff
Shrujan

From its modest beginning in the late 1960s, Shrujan has grown into a...

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

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

Leave your Comments


April 2018

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
69.9%
No
12.6%
Skip
17.5%

Total Votes: 103

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
63.1%
No
29.1%
Skip
7.8%

Total Votes: 103

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
87.4%
No
8.7%
Skip
3.9%

Total Votes: 103

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
82.5%
No
7.8%
Skip
9.7%

Total Votes: 103


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