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Release of cotton reserves impacts Chinese yarn market
Jan '13
The release of cotton from the state reserves has started to impact the prices of cotton yarn in the domestic market.
Prices of cotton yarn in major producing provinces have declined due to a fall in demand in view of the release of cotton from state reserves.
The mainstream price of C32S cotton yarn is currently around 26,000 yuan/ton, while the price of higher end cotton yarn is in the range of 26,500-27,500 yuan/ton.
Polyester/cotton yarn market is also showing weak trend due to weak price of cotton coupled with the flat price of polyester staple fibre in recent time.
At present, the mainstream price of T63/C35 32S polyester/cotton yarn is about 20,000 yuan/ton in main yarn producing provinces, while the price of higher end yarn is in the range of 20,500-21,000 yuan/ton.
Meanwhile, the viscose staple fibre market continues to rally, which has resulted in a significant rise in price of rayon yarn. Currently, the mainstream price of R30S rayon yarn is in the range of 18,500-19,000 yuan/ton in major producing provinces, while the price of higher quality rayon yarn is about 19,500 yuan/ton.

Fibre2fashion News Desk - China

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