Cotton Yarn Prices and Polyester-Cotton Yarn Prices in Faisalabad

Cotton Yarn Prices in Pakistan Statistical Report

Cotton Yarn prices were slightly up in the past days in Pakistan with stronger demand ahead of Eid holidays. Buyers are however waiting for lower prices before placing large orders as cotton prices are expected further decreasing, our Pakistan Correspondent reports.

Domestic yarn prices fell modestly in Pakistan during the month of September. Overall market was slow.

Spinners reduced their asking prices, followed by a decline in polyester prices on September 28th by Rs 2 per kg and on 12th October by another Rs 2 per kg.

Imported polyester is available at US$1.30 per kg C&F Karachi with landed cost at Rs. 88 per kg.

Cotton prices on the domestic market are also continuously falling. On October 20, official spot rate of The Karachi Cotton Association (KCA) was Rs 2,375 per maund of 37.39 kilos, or 47.64 cents per pound.

Lower cotton crop

Official cotton crop estimate has been reduced to 12.4 million bales of 170 kg for the current season, which is lower than expected.

Production was earlier estimated above 13 million bales and the lack of cotton may lead to a rise in cotton and yarn prices in future.

In addition, the Pakistan Cotton Ginners Association (PCGA) last week released its biweekly report that shows a 3 percent decline in cotton arrivals at ginneries by mid-October, compared with the same date last year.

Weavers were last week buying ahead of Eid in order to avoid transportation problems during holidays.

Inquiries for 20s and 30s carded were very active and the market was moving slightly upward.

Customers are however reluctant in placing large orders, as expecting a decline in prices.

No demand for fine combed yarns

Finer count market is unchanged. Very few deals were reported for 40s, 60s and 80s combed cotton yarn.

Polyester cotton yarn market is also dull. Only few deals for the 30s yarn were reported during the last week.

Yarn Industry Requests

Spinning industry in Pakistan is under crisis mainly due to the increase in financial and and energy costs, it said.

The industry is striving very hard to get special incentives from the Government in shape of lower financial cost and reduction in various levies.

The government in return has formed a committee of textile tycoons to formulate the recommendations.

The committee is meeting various stakeholders to finalize their proposals that are likely to be submitted in December this year.

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