In the past week, Indian cotton yarn prices stopped rising, blended yarn prices even fell, cotton and chemical fiber prices rose, and yarn mill profits were compressed again.
Indian yarn mill profits have recovered in the past two months due to rebound in cotton yarn prices and falling cotton prices. However, as domestic cotton prices have stabilized and rebounded, prices have increased in recent weeks. S-6 prices have increased by 1% within a week, and CCI acquisitions have played a certain role.
At the same time, Indian cotton yarn export prices also support domestic cotton prices, and cotton yarn exports are expected to recover in 2020. China’s import demand is expected to increase after the Spring Festival, and the first phase of the Sino-US economic and trade agreement is about to be signed. By then, India’s cotton yarn export demand is expected to recover.
