Indian cotton yarn exports rise, China makes a comeback

India's cotton yarn exports are booming, with May 2024 showing a 13.92 per cent increase year-over-year and a 4.22 per cent increase from April. Bangladesh remains the top importer, but China is making a comeback, reclaiming the second-place position.

China's cotton yarn imports from India saw a significant increase of 53.27 per cent compared to April, despite still being down 53.69 per cent year-on-year. This shift positions China with an 8 per cent share of the Indian cotton yarn export market, up from 5 per cent in the previous month.

Portugal and Vietnam follow closely behind China, holding steady shares of 6 per cent and 5 per cent respectively. Exports to most other destinations remained stable or increased compared to May 2024.

Colombia takes the prize for the biggest year-on-year increase, with imports surging by 119.51 per cent. When looking at month-on-month changes, China again takes the lead with a 27.66 per cent jump.

Among the four major Indian cotton yarn types, exports to China decreased year-over-year for all varieties. However, all types except combed single yarn 30-47s saw a rise in exports compared to April. Carded single yarn 8-25s dominated shipments to China, accounting for nearly 60 per cent of the total volume.

In conclusion, the Indian cotton yarn industry is experiencing a positive trend, with exports increasing both year-on-year and month-on-month. Bangladesh remains the key market, but China's re-emergence as a major importer is a noteworthy development. The industry is also seeing a diversification of export destinations, with Colombia showing impressive growth.