Home / Knowledge / News / Textiles / Liquidity remains low in Brazilian cotton market
Liquidity remains low in Brazilian cotton market
Nov '12
Center for Advanced Studies on Applied Economics (CEPEA) reported that due to the holiday of the All Soul’s Day in Brazil on November 2, and the low liquidity in previous weeks, most players continued refrained from closing new trades in the Brazilian cotton market in late October. Despite low liquidity, supply was capped in the period because producers prefer to trade only in the off-season period. Producers continued firm regarding asking prices and were focused on the accomplishment of contracts.

Several processing companies have inventories until the year end and, therefore, were unwilling to close prompt-delivery trades, giving preference to trades for delivery after January 2013. 
In October, the CEPEA/ESALQ Index for cotton type 41-4 (delivered in São Paulo city, payment in 8 days) decreased 0.73% and closed at 1.5673 real or 0.7720 dollar per pound on Oct. 31.
The monthly average of the index compared to international prices may explain why sellers were refrained. While the Index dropped 6%, in Reais and in dollar, averaging 0.7592 dollar per pound (for immediate payment), the index for Cotlook A averaged 0.8196 dollar per pound, for a decrease of 2.6%, and the first contract at ICE Futures averaged 0.7253 dollar per pound, dropping 1%. 

Center for Advanced Studies on Applied Economics (CEPEA)

Must ReadView All

Textiles | On 20th Oct 2016

Indian polyester market demand grows 14% in Q2 FY17: RIL

The Indian polyester market witnessed a demand growth of 14 per cent...

Fashion | On 20th Oct 2016

Replay to explore new markets in 2017

Replay, the iconic Germany based denim brand, is planning to get into ...

Textiles | On 20th Oct 2016

Pakistan proposes Rs200 bn for textile sector revival

A bailout package of Rs 200 billion has been proposed by the Pakistan ...

Interviews View All

Saket Garg
Garg Corporation

The biggest challenge is lack of skilled workforce and competition from...

Nuno Venda

‘There has been an increase in demand for water based inks, rather than...

Siddharth Biyani
Mangalam Industries Pvt Ltd

‘The manufacturing sector is improving day-by-day, becoming better in...

Steve Cole
Xerium Technologies

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

Eric Scholler

The Indian market has huge potential in technical textiles, and by far,...

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer Prathyusha Garimella is known for blending...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

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

October 2016

October 2016

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


Browse Our Archives


Advanced Search