India’s domestic cotton price remains stuck despite erratic movements, while global cotton prices rose to near three-month highs. Players and traders in the textile industry say they have never seen the market swing so wildly.
Rajkot-based cotton, yarn and cotton waste trader Anand Popati said prices on an hourly basis fell on Monday as fundamentals changed. “We are witnessing short-term volatility where prices rise quickly and then reverse sharply,” said an industry insider who did not want to be identified. Benchmark export prices for Shankar-6 fell to ₹ 55,150 per 356 kg sweet on Tuesday. Prices are at their lowest since January 18, when it ruled at this level before touching ₹ 56,050 on January 25.
Open interest raise
March cotton contracts traded at 84.34 US cents a pound (₹55,450/com) on New York’s Inter Continental Exchange (ICE). Over the past two sessions, China’s Zhengzhou March contract prices rose to 16,050 yuan (66,875 yuan/caramel), from 15,855 yuan (66,425 yuan) at the weekend.
