Textile Market Feature

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. 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.

Global fiber production reached a record-breaking 124 million tonnes in 2023, a robust recovery in the textile industry after the disruptions caused by the pandemic. As per Textile Exchange's ‘Materials Market Report’, this indicates a growing demand for textiles worldwide. The report highlights the dominant role of Asia in global fiber production, with China and India leading the pack. China lead the pack with 52 per cent share and India follows at 18.3 per cent. The US, Pakistan and Brazil are the other top fiber producers.

India's polyester industry heavily relies on two crucial raw materials: Monoethylene Glycol (MEG) and Purified Terephthalic Acid (PTA). While domestic production attempts to keep pace with growing demand, a considerable gap necessitates substantial imports, influencing prices and impacting the industry's overall dynamics. India's polyester requirements driven by growing textile and packaging industries, has led to a steady rise in demand for MEG and PTA. While precise domestic consumption figures for are challenging to obtain, industry estimates

India's burgeoning polyester industry finds itself at a crossroads. While domestic production of vital raw materials like Monoethylene Glycol (MEG) is steadily increasing, the country still remains heavily reliant on imports. This dependence has created a complex scenario where affordable imports are essential for downstream industries, but simultaneously pose a threat to the profitability of domestic MEG producers. The recent initiation of an anti-dumping investigation into MEG imports from Kuwait, Saudi Arabia, and Singapore highlights this delicate balancing act.

India’s Kasturi Cotton brand and initiative was launched with the ambitious objective of revolutionizing the country’s cotton industry and re-establishing it as a premier source of high-quality cotton in the global market.

The Indian cotton spinning sector, a critical link in the textile value chain, is currently grappling with a complex set of challenges due to fluctuating prices, evolving demand patterns, and global economic uncertainties.

In the midst of Plastic Free July, a global campaign to end plastic waste, the fashion industry stepped up to address the growing problem of microplastic pollution stemming from synthetic fabrics.

As Bangladesh's garment manufacturers increasingly turn to India for cheaper yarn, boosting growth of their ready-made garment (RMG) industry, Bangladesh's domestic yarn manufacturers are concerned about their own survival.

The global textile industry is witnessing a significant shift towards polyester, with its market share steadily increasing, while cotton faces challenges in maintaining its position.

India’s nylon sector is facing internal conflict as the spinning and weaving industries present opposite demands to the government.

The Chinese fiber market has been witnessing contrasting trends since the start of 2024.

The 62nd Dornbirn Global Fibers Congress (GFC) concluded on September 13th, leaving a lasting impression on the global textile industry.

The United States Department of Agriculture (USDA) released its September 2024 World Agricultural Supply and Demand Estimates (WASDE) report, offering a revised outlook on the global cotton market for the 2024-25 marketing year.

In a significant step towards a more sustainable textile industry, Lycra Company introduced its groundbreaking bio-based spandex at Yarn Expo Shanghai, held from August 27-29, 2024.

The Indian textile, apparel, and fashion retail sector is on the path to recovery, albeit cautiously, says a new report by Avendus Spark.

The Indian textile industry, is facing a formidable challenge: the escalating cost of fibers. This price rise is casting a shadow over the industry's competitiveness on the global market, raising concerns among manufacturers and exporters. Cotton: The price of cotton, a staple fiber for Indian textiles, has been on a roller coaster ride. As of date, cotton prices have increased almost 25 per cent compared to the same period last year. This price volatility is creating uncertainty for textile manufacturers, making it difficult to plan production and manage costs.

The US ban on cotton from China's Xinjiang region, implemented over concerns of forced labor, has sent ripples through the global cotton yarn trade, impacting China's exports and imports while opening opportunities for other supplier countries, most notably India. China, once a major importer of cotton from the United States, has seen a dramatic decline in imports from the US following the ban. The gap left by the US has been filled by other countries, with Brazil, India, and Australia emerging as key suppliers.

The Chinese polyester industry witnessed a surge in exports in July, reaching 1.047 million tons, marking a 197,000-ton increase year-on-year. However, this figure also represents a 67,000-ton decrease compared to June. The overall export performance for polyester products in 2024 has been favorable, with total exports from January to July reaching 7.185 million tons, an 802,000-ton increase year-on-year. Despite this positive trend, the market continues to exhibit disparities across different product categories.

The Indian government's decision to once again defer the implementation of the Quality Control Order (QCO) on cotton has sent ripples through the textile industry. This move, which pushes back the effective date to August 2025 highlights the complexities surrounding QCO implementation and its diverse impact on different segments of the industry. The QCO, designed to improve the quality of Indian cotton exports, mandates that ginning units meet stringent quality standards for moisture, trash, and other factors. To comply with these standards, ginning units must invest in modern machinery, a significant financial burden for many, especially small and medium-sized enterprises (MSMEs).

The Chinese synthetic fiber market is undergoing a alteration, with notable changes in the dynamics of polyester, nylon, and spandex. Since the beginning of the year, the price of polyester and nylon has fluctuated due to a complex interplay of supply and demand, seasonal variations, and cost changes. Meanwhile, spandex, a fiber known for its elasticity and used in various applications from sportswear to medical textiles, has been in a state of decline, with prices consistently falling. This divergence in price trends reflects deeper shifts within the Chinese market and has implications for the global consumption of various fibers, including in India.