Mumbai’s cotton yarn prices fall amid South India’s diverging market trends

The cotton yarn market in South India is witnessing mixed trends, reflecting regional variations. In Mumbai, prices have declined due to weak demand and tight payment conditions, pressuring sellers and manufacturers. However, Tirupur’s market remains stable, with traders optimistic about potential price hikes next month as cotton prices rise and payment conditions improve.

Meanwhile, Gujarat's cotton prices have rised, driven by strong demand from spinners and higher rates at Cotton Corporation of India (CCI) auctions. This upward movement is expected to impact yarn markets across India, benefiting the spinning industry and boosting production.

These contrasting trends highlight how regional factors, including raw material costs and financial liquidity, shape market dynamics. While Mumbai struggles with demand issues, Gujarat and Tiruppur show resilience. Experts remain hopeful for stabilization, anticipating a better supply-demand balance in the coming months.