India Cotton Consumption Sharply Reduced, Yarn Prices Continue To Fall

In recent weeks, yarn prices continued to drop in India. Cotton consumption in India is expected to decline by 15,% and cotton production will increase this year, so cotton and yarn prices may fall sharply.

When the price of cotton yarn continued to drop in India in the week, 30 knitted yarns fell by 8% in three months. In recent weeks, the prices of cotton and chemical fiber in India have continued to decline, and the profits of cotton mill have obviously shrunk.

Although India's business activities are slowly recovering, the demand for clothing in western countries is still very weak. However, many garment factories in India began to manufacture masks, hoping to export large quantities to the United States and Europe as soon as possible. At present, the government of India is worried about the shortage of domestic masks and temporarily prohibits the export of masks. Once the decree is cancelled, India will immediately start exporting a lot.

Affected by the epidemic, cotton consumption in India is expected to decline sharply this year. According to the US Department of agriculture forecast, cotton consumption in India is expected to drop by nearly 15% this year.

At present, domestic cotton prices in India are being raised by the purchasers of India Cotton Corp, leading to a decline in competitiveness of India's cotton yarn in the international market. As cotton production in India increased by 18% this year, and cotton growers and CCI will start selling inventory, India cotton prices are expected to fall sharply.