Manmade yarn prices slip post-Diwali as demand slows

Manmade yarn demand in the India remained slow and sluggish in the post-Diwali period, with the overall industry sentiment staying weak across major hubs. Prices for polyester and viscose yarn slipped by Rs 1-2 per kg as manufacturers looked to offload inventory amid reduced buying. In contrast, polyester–cotton (PC) yarn prices remained stable due to steady demand from its downstream segments.

The main factor limiting both production and consumption was the prolonged absence of migrant workers, particularly those from Bihar, who extended their Diwali holidays. This shortage severely impacted industrial activity in key manufacturing centres like Ludhiana (a hub for worsted and PC yarn) and Surat (a major MMF weaving cluster). Traders expressed uncertainty about when production would normalize.

The Ludhiana market saw weak demand for both polyester and PC yarn, leading to the reported price easing for polyester. Viscose yarn prices remained steady in Mumbai market, though the overall trading activity was limited as the power loom and auto loom sectors had not fully resumed operations due to the worker shortage.

The Surat market also reported weak demand and price softening in the manmade fiber segment. Despite the slump, there are expectations of market and demand revival in coming weeks, supported by the onset of the wedding season, which typically boosts consumption across the textile value chain.