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South India cotton yarn steady, demand to pick up after Pongal

13 Jan '26
4 min read
South India cotton yarn steady, demand to pick up after Pongal
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Insights

  • South Indian cotton yarn markets stayed steady ahead of Pongal as weak demand offset higher mill selling rates. Rising cotton prices in Gujarat are lifting spinning costs, likely pushing yarn higher after the festival. Domestic summer demand looks firm, while export sentiment remains uncertain due to the threat of steep US tariffs weighing on overseas orders.

The Tiruppur market is likely to see higher prices after Pongal, as expensive cotton is pushing up production costs for spinning mills. Trading remained limited ahead of the festival, with workers set to take around a week off for Pongal, keeping activity subdued in the near term. A trader in Tiruppur told Fibre*Fashion, “After Pongal, cotton yarn demand will pick up as summer garment production is likely to increase. Spinning mills are also facing higher production costs, and expensive cotton will push up yarn prices after the festival.”

In Tiruppur, knitting cotton yarn prices were noted as: ** count combed cotton yarn at &#****;***-*** (~$*.**-*.**) per kg (excluding GST), ** count combed cotton yarn at &#****;***-*** (~$*.**-*.**) per kg, ** count combed cotton yarn at &#****;***-*** (~$*.**-*.**) per kg, ** count carded cotton yarn at &#****;***-*** (~$*.**-*.**) per kg, ** count carded cotton yarn at &#****;***-*** (~$*.**-*.**) per kg and ** count carded cotton yarn at &#****;***-*** (~$*.**-*.**) per kg.

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