Rising cotton prices squeeze yarn margins in south India
South India’s cotton yarn market remains sluggish amid rising production costs and weak demand from the garment industry.
Despite a 3–4 per cent rise in cotton prices, yarn rates in Tiruppur and Mumbai stayed stable, straining mill margins.
Traders cite tariff uncertainty linked to Trump’s policies as a key dampener.
In Gujarat, cotton prices rose due to limited stock and CCI’s upward auction revisions.