In the past week, Pakistan’s cotton yarn prices fell along with cotton prices, while export prices rose due to strong demand from China.
Due to insufficient demand from downstream weaving mills, domestic yarn prices in Pakistan have fallen recently, and transactions in major yarn markets have dropped significantly. Buyers are unwilling to increase purchases at the current price. At the same time, the continued decline in domestic cotton prices has also prompted cotton mills to lower their quotations. 30-count carded yarn fell 2.4% for the week.
In contrast, export prices rose on the back of demand from China and Europe. Large-scale purchases by foreign buyers before Christmas led to price increases of 1-2%, and Chinese buyers were able to accept higher prices due to further increases in domestic yarn prices.
Affected by the lack of funds for large-scale domestic yarn mills to purchase, the price of cotton in Pakistan continues to fall. The Karachi spot price index fell by 100 rupees/maund in a single week. BCI cotton and organic Cotton prices also fell. In the future, China’s rotation into Xinjiang’s new cotton will support both China and the international market.
