Cotton yarn prices in South India remained largely stable this week as improved export enquiries helped balance weak domestic demand from the textile and garment sectors. Traders said buying activity from local weaving and knitting units continued to remain subdued, limiting major price movements across key yarn markets in Tamil Nadu and other southern manufacturing hubs.
Industry participants noted that export orders from countries such as Bangladesh, China, Turkey and several Southeast Asian markets provided support to spinning mills, preventing a sharper decline in yarn prices. However, cautious purchasing by domestic fabric producers and concerns over slow retail demand continued to weigh on overall market sentiment.
In Tiruppur and Coimbatore, spinning mills reported stable quotations for most cotton yarn counts, while inventories remained manageable due to controlled production levels. Market sources said mills are closely monitoring cotton prices and export demand trends before making significant pricing adjustments.
Meanwhile, cotton prices in India have shown limited volatility in recent weeks, offering some stability to yarn manufacturers. Traders added that easing arrivals of the new cotton crop and steady procurement by mills have helped maintain balanced supply conditions in the domestic market.
Exporters said global buyers are gradually increasing enquiries for Indian yarn as supply chain diversification and competitive pricing continue to support India’s textile exports. However, they cautioned that demand recovery in major apparel-consuming markets remains uneven amid inflationary pressures and slower economic growth in several regions.
Industry observers expect South India’s cotton yarn market to remain range-bound in the near term unless there is a stronger revival in domestic textile demand or a significant increase in export orders.
