Modal Analysis India: Viscose Value Chain Market Trends, Prices & Forecast

Modal, 1.4D, FOB - India (01 May 2024 - 30 Apr 2025)

Overall Trend

• The prices of Modal (1.4D) have been in a decreasing trend from May 2024 to April 2025 in Asia (FOB India). This trend reflects broader market dynamics, including fluctuations in demand and supply chain challenges that have impacted pricing structures.

Price Trend

• The prices of Modal (1.4D) have decreased by -0.38% from May 2024 to April 2025 in Asia (FOB India). This decline is indicative of a market correction following previous price hikes, influenced by changing consumer preferences and production costs.
• The average month-on-month percentage change has been -0.03% for Asia (FOB India) during the same period, suggesting a gradual stabilization in prices after a period of volatility.
• The highest percentage increase of 1.18% was reported in February 2025, signaling a temporary uptick in demand, while the highest percentage decrease of -1.54% was observed in January 2025, likely due to seasonal variations in consumption patterns.
• The average price for Asia (FOB India) in 2024 was 2.62 USD/kg, which has decreased by -1.34% to 2.585 USD/kg in 2025, reflecting a CAGR of -1.34% from 2024 to 2025.

Price Range

• The average price from May 2024 to April 2025 for Asia (FOB India) was 2.608 USD/kg, indicating that the prices have fluctuated around this average. The range between average and minimum price is 0.058 USD/kg and that between maximum and average price is 0.042 USD/kg, indicating a tighter range around the mean price. The minimum and maximum prices reported were 2.55 USD/kg and 2.65 USD/kg, respectively, showing a price range of 0.10 USD/kg.
• This relatively narrow price range suggests limited volatility in the market, which can be attributed to stable supply conditions and consistent demand for Modal fibers.

Volatility

• The standard deviation in Asia (FOB India) prices was 0.028 USD/kg, indicating low volatility in the market. This stability is crucial for manufacturers and retailers as it allows for more predictable pricing strategies.
• The prices for Asia (FOB India) traded at a moving average premium of 0.59% and at a moving average discount of -1.31% from the moving average price during the same period. This suggests that while prices have generally remained stable, there are occasional fluctuations that can be leveraged for strategic pricing decisions.

In conclusion, the Modal market in Asia (FOB India) has experienced a slight decline in prices over the past year, with low volatility and a narrow price range. This trend reflects broader market conditions and presents opportunities for stakeholders to optimize their sourcing and procurement strategies.