Cotton, Viscose Ring, Viscose-Polyester, Acrylic, Etc. Yarn Prices on the International Market Statistical Report 8 July 2008 Spun yarn prices further rose on the international market in the last weeks, although less significantly than fiber prices. Cotton spinners are confronted with strong difficulties in India. Effective transaction prices are not in line with surging costs, as reflected by our exclusive series of price tables. Blended yarn prices clearly rose, being boosted by a rebound in polyester prices. Viscose yarn prices less significantly decreased. Cotton yarn prices slightly rose on the international market in the past weeks. Price offers were significantly raised, due to the surge in cotton prices in both India and Pakistan. Effective transaction prices which we below publish are showing some strong resistance from end-user buyers, for example in European or Brazilian textile and clothing companies. In India especially, the rise in raw material costs is resulting in major difficulties for a large number of textile companies as cotton is by far the most used fiber in the country. The ban in cotton exports requested by the textile industry will probably not be implemented by the government, as it could be against the long-term liberalisation in Indian economic regulations. Rupee's Decline is Helping On the other hand, import tariffs will be cut on cotton fibers, allowing domestic spinners to buy foreign cotton at lower prices. Not all cotton yarn exporters raised their prices in the past months. Spinners which are part of diversified groups got the financial support to absorb the surge in their production costs. The current fall in the rupee against the US dollar is also offering some opportunity to overcome the rise in cotton prices. In addition to higher cotton prices, Indian yarn exporters are however confronted with the general increase in production costs, especially energy prices. Fine count yarn prices were raised by 10 to 25 cents per kilo, as reflected by our table below, being released for the first time. Viscose yarn prices stopped dramatically falling in the past weeks, in line with a possible stabilization in viscose fiber prices on the global market. Yarn prices from China were down 15 cents per kilo (30s knitting for Italy). Prices of Polyester-Cotton and Polyester-Viscose yarns were up in the last month, reflecting a rebound in polyester staple fiber prices.