India's cotton yarn exports increases in FY 2023-24, pushed up by China and Vietnam.
Cotton yarn exports witnessed robust growth in the fiscal year 2023-24, both in terms of value and quantity, marking a significant rebound from the previous year. The increase was primarily due to higher demand from China and Vietnam, along with a general uptick in global textile trade.
Value and growth
As per Texprocil statistics, the total value of cotton yarn exports for fiscal year 2023-24 reached $3,777.57 million, which is 37.25 per cent increase from the S$2,752.41 million recorded in 2022-23. This remarkable growth underscores the competitiveness of Indian cotton yarn in the international market.
Export volume also saw a significant jump, with 1,214.71 million kg of cotton yarn exported in FY 2023-24, that makes up an impressive 83.18 per cent increase compared to 663.14 million kg in the previous year.
Key export destinations
Bangladesh retained its position as the top importer of Indian cotton yarn, with exports reaching $1,355.05 million in 2023-24 it accounted for 35.87 per cent of the total export value. However, the most striking growth was observed in exports to China, which skyrocketed by 233.62 per cent to reach $696.23 million. Vietnam also emerged as a major contributor, with exports increasing by 97.79 per cent to $166.06 million. The top 10 export partners contributed 81.21 per cent to the total export value in FY 2023-24, indicating a concentration of exports to a few key markets.
Table: Top 10 export destinations and growth
|
Rank |
Partner |
Value (mn $) |
Quantity (mn kg) |
Growth in % (Value) |
Growth in % (Quantity) |
|
FY 2022-23 |
FY 2023-24 |
FY 2022-23 |
FY 2023-24 |
FY 2023-24 |
|
|
1 |
World |
2,752.41 |
3,777.57 |
663.14 |
1,214.71 |
|
2 |
Bangladesh |
1,017.01 |
1,355.05 |
239.04 |
428.05 |
|
3 |
China |
208.69 |
696.23 |
67.86 |
256.34 |
|
4 |
Egypt |
171.87 |
203.42 |
43.27 |
67.34 |
|
5 |
Vietnam |
83.96 |
166.06 |
21.28 |
54.85 |
|
6 |
Portugal |
119.23 |
136.99 |
30.66 |
42.53 |
|
7 |
Turkey |
89.49 |
126.79 |
20.66 |
37.16 |
|
8 |
Sri Lanka |
97.1 |
96.81 |
19.85 |
24.56 |
|
9 |
South Korea |
82.06 |
84.04 |
19.91 |
26.16 |
|
10 |
Colombia |
48.06 |
68.99 |
13.15 |
25.73 |
|
Total |
2,020.60 |
3,067.85 |
502.92 |
1,008.13 |
Trends showcases positivity
The substantial increase in cotton yarn exports signifies a positive trend for the Indian textile industry. The growth in both value and volume indicates a rise in demand for Indian cotton yarn in the global market.
The impressive growth in exports to China suggests a diversification of export destinations, reducing dependence on traditional markets.
The overall positive performance of cotton yarn exports underscores the competitiveness of the Indian textile industry and its ability to cater to the evolving demands of the global market. The sector is expected to continue its growth trajectory in the coming years, contributing significantly to India's export earnings.
The outlook for India's cotton yarn exports remains optimistic, with expectations of continued growth in coming years. Growing global textile market, coupled with India's strong production capabilities and supportive government policies, provides a favorable environment for further expansion. However, challenges such as fluctuations in raw material prices and increasing competition from other textile-producing nations need to be addressed to sustain this growth momentum.