Yarn Price Movements In Asian Markets Reflected Fibre Costs in Week 2

MUMBAI (Commoditiescontrol) – Most spun yarn prices in Asian markets of China, India and Pakistan reflected recent changes in fibre pricing, in the week ended 16 December. Yet some are still to react to the rise, like polyester yarn prices in India have not yet factored in PSF price rise effective from December. Cotton yarn offers stayed flat, with healthy sales while viscose yarn offers held unchanged in steady sales. Polyester yarn prices remained stable to up amid moderate sales.

In China, cotton yarn prices saw minor increases given rising cost pressure from new cotton although sales were tempered. In India, cotton yarn prices remained stable, reflecting a similar stability of cotton prices. In Pakistan, sales of cotton yarns were limited by a recent increase of price offers, as weavers were unable to pass this rise in their material costs on to their customers.

Spun polyester yarn offers in China moved up in line with rising PSF values despite lusterless demand. Producers were considering taking a break in advance in view of fast price rises of raw materials which is forcing yarn makers to follow up amid lack of orders. In India, spun polyester prices have not yet reacted to the rise in PSF prices since early December. On export markets, prices were stable as exports declined in November along with falling unit value realisation. In Pakistan, polyester yarn remained unchanged following PSF markets.

Viscose spun yarn markets trended up in China, in line with the general trend in viscose market. In Pakistan, both viscose fibre and yarn prices rolled over as export markets were relatively slow. In India, viscose yarn markets were strongly supported by export orders. In November, exports recorded 50% YoY increase, but from a low base.

In China, PV and PC yarn prices have begun inching up on sharper increase of PSF prices recently. In Pakistan, PC and PV yarns started rising in the week, however less significantly than PSF and VSF prices. Relatively larger sales of blended yarns were reported from the Faisalabad yarn market. In India, PV yarn prices inched up on PSF support while PC yarn prices rolled over on sluggish cotton markets.

Compiled from various authentic sources

(By Commoditiescontrol Bureau; +91-22-40015522)