Cotton & Cotton Yarn

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Annual Review

Cotton Yarn Outlook

The demand for cotton yarn can be divided into three components – 1: Domestic demand 2: Derived demand & 3: Direct yarn exports. Domestic demand forms the largest segment of the cotton yarn demand. Some of the key points covered in this topic are as follow:

  • Cotton yarn production to observe healthy growth
  • Robust direct cotton yarn exports coupled with stable domestic apparel demand to drive cotton yarn demand
  • Direct yarn exports – A booster shot for the industry
  • Rupee depreciation to boost export competitiveness
  • China - The preferred nation for yarn exporters, however, cotton policies could play spoilsport
  • Domestic apparel industry to provide impetus to cotton yarn industry, whereas derived demand likely to remain subdued
  • Domestic cotton yarn prices to remain in line with cotton prices
  • Industry profitability to be driven by export realization 

Impact Analysis

  • Short term cotton yarn demand to be driven by rising exports to China

    The Indian Cotton Textile sector plays a significant role in the economy of India......

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  • Lower cotton acreage to pull down cotton production in 2012-13…

    The Indian Cotton Textile sector plays a significant role in the economy of India. The overall textile industry contributes approximately 4 per cent .....

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