India's polyester & viscose yarn steady; Surat witnesses slow demand

04 Dec '24

4 min read

India's polyester & viscose yarn steady; Surat witnesses slow demand

Pic: Adobe Stock

Insights

India's man-made yarn market is stable, particularly in polyester and viscose segments, despite variable regional demand and worker shortages impacting production.
Prices for polyester and PC yarns remain stable in markets like Ludhiana and Surat.
Meanwhile, north India's cotton prices have declined due to weak demand and global market influences, although prices stabilised mid-week.

India's man-made yarn market has seen stability in the polyester, polyester-cotton, and viscose segments. However, demand has varied across these yarns in different regional markets. In north India, Ludhiana's market experienced average demand for polyester and PC yarn prices. In Surat, the viscose yarn trade has faced slow demand due to a shortage of workers, which has slowed manufacturing activities in the fabric industry. Mumbai's viscose yarn and Surat's polyester yarn markets have also observed average demand. Polyester yarn may continue to see limited demand as the winter season will end in a few weeks.

Ludhiana's market saw stability in polyester-cotton and polyester yarn prices. Recycled polyester yarn was traded at previous levels. The market witnessed average demand for PC and polyester yarn. Ashok Singal, a trader from Ludhiana market, told Fibre2Fashion, “Winter demand will ease in a few weeks. But extreme winter in the coming weeks may boost retail sales of winter garments. It may help retailers to clear their stocks and improve cash flow in the upstream value chain.”

In Ludhiana, 30 count PC combed yarn (48/52) traded at ₹209-219 (approximately $2.47-2.58) per kg (GST inclusive); 30 count PC carded yarn (65/35) at ₹196-206 (approximately $2.31-2.43) per kg; 20 recycled polyester at ₹114-123 (approximately $1.35-1.45) per kg; 30 count polyester spun at ₹158-165 (approximately $1.86-1.95) per kg (GST inclusive); recycled polyester fibre (PET bottle fibre) at ₹78-81 (approximately $0.92-0.96) per kg, and virgin polyester fibre at ₹100.50 (approximately $1.18) per kg.

Surat's polyester yarn market also noted steadiness in prices. The market may continue to see slow demand as the focus shifts to cotton garments in the summer. According to market sources, the market has received good demand during the wedding season. However, the seasonal demand has ended at the yarn level, with polyester garment demand slowing down in the summer season.

In Surat, 30 count polyester spun yarn was traded at ₹147-148 (approximately $1.73-1.75) per kg (GST extra); 40 count poly spun yarn at ₹160-161 (approximately $1.89-1.90) per kg; 50/48 fully drawn yarn (FDY) at ₹115-116 (approximately $1.36-1.37) per kg; 75/72 FDY at ₹105-106 (approximately $1.24-1.25) per kg; and 75 bright yarn at ₹105-106 (approximately $1.24-1.25) per kg.

Viscose yarn prices were steady in Mumbai and Surat amid weak demand. Trade sources mentioned that the market is experiencing weak demand from the weaving industry due to a shortage of factory workers. Slow production activities have restricted the purchase of viscose yarn for fabric manufacturing.

In Mumbai, imported 30 count viscose vortex yarn was priced at ₹193-199 (approximately $2.28-2.35) per kg; and local 30 count ring-spun viscose yarn at ₹198-203 (approximately $2.34-2.40) per kg. In Surat, 30 viscose compact yarn (local) was sold at ₹209-211 (approximately $2.47-2.49) per kg (GST extra) and 30 viscose vortex yarn at ₹202-203 (approximately $2.38-2.40) per kg.

In north India, cotton prices fell by ₹50-60 per maund of 37.2 kg in the last week. However, the prices were steady on Wednesday. Consistent weakness in ICE cotton and slow buying from spinning mills contributed to the losses in domestic cotton prices. Traders said that spinning mills are facing slow demand from the fabric industry, and the disparity between yarn and fabric is a discouraging factor for Indian exporters.

North India's cotton arrivals increased to 17,700 bales of 170 kg, comprising 700 bales in Punjab, 4,500 bales in Haryana, 5,500 bales in upper Rajasthan, and 7,000 bales in lower Rajasthan. Cotton prices in Punjab ranged from ₹5,600 to ₹5,610 (approximately $66.09-66.21) per maund of 37.2 kg, while in Haryana, prices ranged from ₹5,590 to ₹5,600 (approximately $65.97-66.09). In upper Rajasthan, cotton was priced between ₹5,580- ₹5,600 (approximately $65.86-66.09) per maund. In lower Rajasthan, it was priced at ₹53,000 to ₹54,000 (approximately $625.52-637.32) per candy of 356 kg, while seed cotton was priced at ₹7,000-7,400 (approximately $82.62-88.52) per quintal of 100 kg.