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Rupee slide boosts India's yarn exports, local demand still weak

08 Dec '25

4 min read

Rupee slide boosts India's yarn exports, local demand still weak

Pic: AdobeStock

Insights

India's spinning mills raised cotton yarn prices by ₹*** per kg today as the rupee's drop below ** against the US dollar improved export competitiveness, especially with stronger demand from China. However, domestic markets in Delhi, Ludhiana and Panipat remain sluggish amid payment issues, weak garment production and rising Chinese fabric imports. Recycled yarn stayed stable.

Although domestic demand in Delhi remained very slow, spinning mills raised prices by &#****;* per kg due to stronger export inquiries from China and other destinations. Even with soft local demand, mills and stockists are attempting to push prices upward. A trader from the Delhi market told Fibre*Fashion, “Mills have increased prices as they received good demand from China last week. They expect this momentum to continue in the coming week as the falling rupee has provided a cushion to spinners.”

In Delhi, ** count combed knitting yarn was traded at &#****;***-*** (~$*.**-*.**) per kg (GST extra), ** counts combed at &#****;***-*** (~$*.**-*.**) per kg, ** count carded at &#****;***-*** (~$*.**-*.**) per kg, and ** count carded at &#****;***-*** (~$*.**-*.**) per kg today.