As cotton prices are rising on the world markets, yarn makers in Bangladesh, India Pakistan and China are confronted with very different market situations. China and India have a clear advantage in local currency terms but is losing its competitiveness on the international market, according to our statistical analysis in both domestic currency and US$ terms. After declining to a relatively low level in last fall, cotton prices began recovering in the past months in leading textile producing countries. The price recovery started in January in China and in India while cotton lint prices really rebounded in India and in Pakistan. The current rise in cotton prices is due to different factors depending on countries. In China and India, state-controlled agencies purchased large quantities of cotton from the last crop in order to support revenues of domestic farmers.
In Bangladesh and in Pakistan by contrast, a lack of supply is pushing up prices to higher levels. According to EPB statistics, overall exports mainly all the major export items including knitwear, woven garments, home textile and textile fabrics have experienced sharp to moderate fall during July-January period of this fiscal year. Knitwear, the mainstay of export earnings, sustained 6.85 percent decline earning $4.1 billion. While woven garments earned $3.8 billion with a 6.99 percent fall. According to CPD statistics, our overall exports drop because of the late impacts of the global financial crisis on apparels especially in the US markets, largest export destination of Bangladesh. In 2009, total US imports decrease about 12% where Bangladesh loses 1.60% exports of 10 items that export to US most. On the other hand, China export growth increases on those items about 26.30%. This situation have come into effect due non-response of low priced item before recession. Cotton and Yarn Market Update: Average Last Four Months Cotton Price ($/lb), Average Staple: 1.1/8’’
| Cotton Fiber > | CIS Uzbek | US Memphis | India Sankar 6 | Pakistan |
| Grade > | GM Quality | SM Quality | Gujarat Quality | 1467 Quality |
| Dec’09 | 83.10 | 86.00 | 77.50 | 75.50 |
| Jan’10 | 84.25 | 86.50 | 78.50 | 76.00 |
| Feb’10 | 90.75 | 92.25 | 82.00 | 80.25 |
| Mar’10 | 92.50 | 94.00 | 83.25 | 81.00 |
Sources: Dhaka Cotton, Green fibers, Zed cot, Prime Fibers etc.
Last Four Months Average Cotton Yarn Price (Carded: $/kg)
| Cotton Yarn | Bangladesh | India | Pakistan | China |
| Count | 30/1 Card | 30/1 Card | 30/1 Card | 32/1 Card |
| Dec’09 | 3.20 | 2.95 | 2.85 | 3.35 |
| Jan’10 | 3.15 | 2.85 | 2.75 | 3.25 |
| Feb’10 | 3.10 | 2.95 | 2.90 | 3.25 |
| Mar’10 | 3.45 | 3.10 | 2.90 | 3.50 |
Last Four Months Average Cotton Yarn Price (Combed: $/kg)
| Cotton Yarn | Bangladesh | India | Pakistan | China |
| Count | 30/1 Card | 30/1 Card | 30/1 Card | 32/1 Card |
| Dec’09 | 3.50 | 3.25 | 3.05 | 3.70 |
| Jan’10 | 3.45 | 3.15 | 2.95 | 3.75 |
| Feb’10 | 3.45 | 3.25 | 3.05 | 3.55 |
| Mar’10 | 3.80 | 3.40 | 3.10 | 3.90 |
Last Four Months Average PC (65P+35C) Yarn Price ($/kg)
| Cotton Yarn | Bangladesh | India |
| Count | 30/1 Card | 30/1 Card |
| Dec’09 | 2.75 | 2.50 |
| Jan’10 | 2.80 | 2.30 |
| Feb’10 | 3.10 | 2.60 |
| Mar’10 | 3.25 | 2.85 |
Last Four Months Average CVC (60C+40P) Yarn Price ($/kg)
| Cotton Yarn | Bangladesh | India |
| Count | 30/1 Card | 30/1 Card |
| Dec’09 | 2.80 | 2.55 |
| Jan’10 | 2.85 | 2.60 |
| Feb’10 | 3.10 | 2.80 |
| Mar’10 | 3.30 | 3.00 |
(H) Last Four Months Average Mélange (15% Grey) Yarn Price ($/kg)
| Cotton Yarn | Bangladesh | India |
| Count | 30/1 Card | 30/1 Card |
| Dec’09 | 3.30 | 3.05 |
| Jan’10 | 3.45 | 3.15 |
| Feb’10 | 3.40 | 3.15 |
| Mar’10 | 3.50 | 3.20 |
Sources: Cotlook, Emerging Textile, Fareast Fashions, AKH knitting and Dyeing, Jan Yarn Trading.
(G) Knit Finished Fabric Price (US$/kg)
| Types of Fabrics |
Blend of Fabrics |
GSM |
Price in US $/kg |
Single Jersey | 100% Cotton | 140 - 150 | 1.80 |
160 - 170 | 2.85 | ||
180 - 190 | 1.92 | ||
Single Jersey | 95% Cotton+ 5% Lycra | 180 - 190 | 2.20 |
200 - 210 | 2.35 | ||
210 - 230 | 2.20 | ||
Single/Double Lacost | 100% Cotton | 180 - 200 | 2.10 |
200 - 220 | 2.15 | ||
220 - 240 | 2.20 | ||
1 x 1 Rib | 100% Cotton | 180 - 190 | 1.90 |
190 - 210 | 2.00 | ||
210 - 230 | 2.05 | ||
1 x 1 Rib/2 x 2 Rib | 95% Cotton+ 5% Lycra | 180 - 190 | 2.20 |
200 - 210 | 2.30 | ||
210 - 230 | 2.35 | ||
Interlock | 100% Cotton | 190 - 200 | 2.20 |
200 - 210 | 2.35 | ||
210 - 230 | 2.20 | ||
French Terry | 100% Cotton | 220 - 230 | 2.70 |
230 - 240 | 2.80 | ||
- Woven Finished Fabric Price (US$/Yd)
Type of Fabrics | Construction, Width in inch | GSM | Price in US $/yd |
| 1. Plain Fabrics: | |||
| 100% Cotton Sheeting | 60 x 60/16 x 16, 58/59 | 185 | 1.80 |
| 100% Cotton Light Canvas | 96 x 58/16 x 16, 58/59 | 235 | 2.15 |
| 100% Cotton Poplin | 133 x72/40 x 40, 58/59 | 128 | 2.00 |
| 2. Twill: | |||
| 100% Cotton Twill | 108 x56/16 x 12, 58/59 | 300 | 2.35 |
| 100% Cotton 2/1 Twill | 100 x64/24 x 24, 58/59 | 167 | 1.90 |
| 3. Oxford: | |||
| 100% Cotton Oxford | 100 x50/40 x 20/2, 58/59 | 185 | 2.30 |
| 4. Dobbies: | |||
| 100% Cotton Rib Stop | 112 x 58/20 x 20, 58/59 | 208 | 2.15 |
| 5. TC & CVC Blend: | |||
| TC(65% Poly + 35% Cot) Shirting | 110 x 76/45 x 45, 58/59 | 104 | 1.65 |
| CVC(60% Cot +40% poly) Check | 126 x 76/45 x 45, 58/59 | 109 | 2.10 |
Source: Mahin Fabrics, Mitali Textile, Asian Textiles, Unifill Textiles, S M Textiles and Far East fabrics (Buying House).
