Cotton Yarn Prices Soften in North India

05-Jun-2026 12:16 PM

Ludhiana. Cotton yarn prices in North India have softened due to weak export demand and limited domestic consumption. A decline in prices was recorded in Ludhiana and Delhi.

Similarly, prices of recycled cotton and CC yarn in Panipat weakened due to the duty-free import of raw cotton and reduced buying interest from purchasers. However, raw cotton prices remained largely stable, and the removal of import duties did not have a significant impact on the market.

According to trade analysts, demand for Indian cotton yarn in major importing nations like China, Bangladesh, and Vietnam is likely to remain subdued, as energy crises in those regions are affecting textile industry operations. Meanwhile, in the domestic market, yarn demand has weakened due to seasonal factors.

India is a leading producer of raw cotton and cotton yarn. The government has exempted raw cotton imports from customs duty for the period from June 1 to October 31, 2026. This move is expected to lead to some reduction in production costs for cotton yarn, fabrics, and garments. Cotton yarn prices could recover if global demand strengthens.