Cotton fiber and yarn prices are further increasing in India and Pakistan, with the rise of the renminbi boosting Chinese demand at the same time. Viscose fiber prices have bottomed in China, and viscose spun prices no more falling as a result whereas prices were still declining in the last week in Pakistan.
Cotton fiber prices have continued sharply rising in the past week in India, therefore triggering a slight increase of cotton yarn prices.
The rebound of material costs in India but also on the international market has resulted in higher export prices.
Cotton yarn import prices have therefore risen at Chinese borders, at least in dollar terms.
On the domestic market in Pakistan, cotton yarn prices have been raised, following a rebound of Chinese demand triggered by the fall of the domestic currency and the rise of the renminbi.
Strong seasonal demand is supporting prices but a limit could rapidly be found, especially after large inventories will have been accumulated at downward textile and apparel plants.
Viscose fiber prices have bottomed out in the meantime in China, meaning that viscose prices should also stabilize in Pakistan where VSF prices have however continued declining in the past week.
Spun yarn prices could stop falling in the coming period.
On the polyester fiber and spun yarn markets, prices are frozen by the stability of staple fiber and filament markets in China.
The current rebound of crude oil prices should limit any fall of material costs at fiber plants, therefore supporting fiber and spun yarn prices.
Source: Emergingtextiles
