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CAI (Karnataka / Tamil Nadu) Analysis: Cotton Fibre Market Trends, Prices & Forecast

TexPro provides pricing information for CAI (Karnataka / Tamil Nadu), covering subproducts such as 34 mm, It offers historical pricing data for up to the last five years. It also provides an accurate price forecast for the next “9/12” months, updated twice a month. The data is collected from our verified primary and secondary data sources.

CAI (Karnataka / Tamil Nadu), 34 mm, Domestic - India (01 Jun 2024 - 30 May 2025)

Overall Trend

  • The prices of Cotton Fibre (CAI 34 mm) have been in a decreasing trend from June 2024 to May 2025 in Asia (Domestic India).

Price Trend

  • The prices of Cotton Fibre (CAI 34 mm) have decreased by 8.48% from June 2024 to May 2025 in Asia (Domestic India).
  • The average month-on-month percentage change has been -0.75% during the same period.
  • The highest percentage increase of 4.96% was reported in September 2024, and the highest percentage decrease of -8.28% was reported in January 2025 for Asia (Domestic India).
  • The average price for Asia (Domestic India) in 2024 was 2.92 USD/kg, which has decreased by 10.83% to 2.60 USD/kg in 2025, declining at a CAGR of -10.83% from 2024 to 2025.

Price Range

  • The average price from June 2024 to May 2025 for Asia (Domestic India) was 2.78 USD/kg, indicating that the prices have fluctuated around this average. The range between average and minimum price is 0.22 USD/kg and that of between maximum and average price is 0.27 USD/kg, indicating a higher range above average price. The minimum price reported was 2.56 USD/kg and the maximum price was 3.05 USD/kg, showing a price range of 0.49 USD/kg.
  • The maximum and minimum prices reported for Asia (Domestic India) were 3.05 USD/kg and 2.56 USD/kg, respectively, indicating a price range of 0.49 USD/kg.

Volatility

  • The standard deviation in Asia (Domestic India) prices was 0.17 USD/kg, indicating a Low Volatility in prices.
  • The prices for Asia (Domestic India) traded at a moving average premium of 3.75% and at a moving average discount of -6.58% from the moving average price during the same period.

In summary, the Cotton Fibre (CAI 34 mm) market in Asia (Domestic India) has experienced a notable decline in prices over the past year, reflecting broader trends in the textile industry. The decreasing prices may be attributed to various factors including changes in supply-demand dynamics, global market conditions, and shifts in consumer preferences. The low volatility suggests a relatively stable market, although the average discount indicates that prices have been trading below the moving average, which could signal potential opportunities for buyers in the coming months.

Trend Report

The average price of CAI (Karnataka / Tamil Nadu) has increased by 0.60% in the month of May 2025 as compared to April 2025. The price of CAI (Karnataka / Tamil Nadu) has been below its last six months average price by -2.06%. The price of CAI (Karnataka / Tamil Nadu) has reduced by a CAGR of -0.79% in last one year. The price of CAI (Karnataka / Tamil Nadu) in the month of May 2025 has decreased by -6.56% as compared to the same month last year.

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CAI (Karnataka / Tamil Nadu) – Product Overview & Market Relevance

The Cotton Association of India (CAI) benchmark for cotton sourced from the southern Indian states of Karnataka and Tamil Nadu is a crucial indicator of regional activity in Southern India for cotton. This variety is typically of the 34 mm length and is reputed for its fine quality, strength and spinnability.

The climate is suitable for producing cotton in South India and thus the region is a major part of the Indian textile industry. This cotton is reputed for being high-quality and is thus preferred by a considerable number of textile manufacturers. The CAI pricing framework is useful for local buyers, mills, and traders as it provides clarity regarding domestic cotton production and pricing.

Government policies, weather conditions, labor issues, and interstate competition are some of the factors that affect the cotton market in these states. Many cotton growers and suppliers under these regions have also aligned with programs like Better Cotton Initiative (BCI), to be equipped to deal with the Indian and global cotton market.

TexPro comprehensively analyses pricing trends, provides historical costs, and forecasts the price of CAI 34 mm cotton. By analyzing year-on-year performance and the current market situation, the tool helps businesses to improve their sourcing strategies regarding the material.

With price volatility remaining historically low, both manufacturers and retailers have been partial to 34 mm cotton produced in these states. This consistency in pricing along with the material’s softness and durability makes it a popular choice among Indian textile manufacturers.