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Related Keywords: crude oil price, filament yarn prices, impact of crude oil, Polyester prices, polyester yarn price, Spun yarn price, textile prices

Until now the immediate impact of the fall in crude oil prices was mostly on the upstream products of the textile value chains. The very first oil derivative to react was naphtha and further down in the chain each layer had or do have a lag to absorb and pass on the cost reduction since their raw material inventory was built at the earlier high prices. The effect began quickly in the immediate downstream segment and percolating slowly at the end of the value chain, ceteris paribus.

Related Keywords: acrylic prices, naphtha prices, Nylon prices, oil prices, Polyester prices

Crude oil prices have retreated US$50-53 per barrel or US$360-390 a ton since its peak of June 2014. More than that, the first two weeks of December has already seen them falling more than US$11 a barrel, the fastest drop in a shortest period not heard in recent years. International benchmarks have touched new five-year lows on 12 December after the world's energy watchdog forecast even lower prices on weaker demand and larger supplies next year.

Related Keywords: ethylene prices, paraxylene prices, polyester fiber prices, polyester filament yarn prices, polyester price in china, polyester price in india, polyester price pakistan, Polyester prices

The free fall in crude oil prices continued in the week of 5 December with both benchmarks hitting their recent lows. US crude oil closed at its lowest since July 2009 while Brent fell below US$70 a barrel in the week for the first time since 2010. The markets were grappling with oversupply resulting from the US shale gas boom and the recent decision by the OPEC not to cut output. US shale is highly scalable and most estimates peg the breakeven price in key regions of this unconventional supply at US$65 per barrel.

Related Keywords: apparel export, China yarn import, cotton yarn export, export earnings, garment export, polyester yarn export, Spun yarn export, textile exports

A weaker rupee and steady demand from China and US had helped the textiles exports in the past year. From April, demand for raw material like yarn from China has fallen dramatically and inventory levels have risen. Further, falling cotton ribre prices have been asserting pressure on yarn pricing and cutting unit value realisation, although rupee continues to remain weak.

Spun Yarn Exports Plunge

Related Keywords: benzene prices, caprolactam price, nylon chip price, nylon filament price, Nylon prices, Nylon yarn price, polyamide chip price

Increasing supplies of crude oil from North American shale formations continued to weigh heavily on prices this year, creating a glut in world markets and decreasing demand for oil from the Organization of the Petroleum Exporting Countries. OPEC forecast that its market share would be 5 percent lower by 2018 as shale supplies continued to increase faster than demand. However, OPEC Secretary-General Abdullah al-Badri believes that the 12-member cartel, which pumps a third of the world's oil, prices would recover next year.

Related Keywords: cotton price in china, cotton price in india, cotton price in Pakistan, cotton yarn, cotton yarn price in china, cotton yarn price in India, Cotton yarn price in Pakistan, price spread

Cotton yarn making has become more profitable now than considered, three months ago. And this has been facilitated by the rapid fall in cotton fibre prices over the same period. The margins have improved in all the three major cotton yarn producing economies of China, India and Pakistan. On an average, cotton prices have declined by between 15-25 per cent between June and end-September while cotton yarn prices have bucked 5-9 per cent in the comparable period.

Related Keywords: crude oil price, paraxylene price, polyester fibre price, polyester filament price, Polyester prices, polyester spun yarn price, purified terephthalic acid price

Crude oil prices have lost US$14.23 since their recent peak of US$106.62 per barrel as of 20 June 2014. And this had a decelerating impact on naphtha and its derivatives. Naphtha prices have crashed from US$982 a ton to US$849 a ton over the same period. The polyester industry has trying to adjust to this massive change. As of last week of September, Brent crude for November delivery settled at US$97 a barrel while US November crude settled at US$93.54 a barrel. Both crude benchmarks remained on pace for a third straight monthly loss.

Related Keywords: business confidence index, Indian textile companies, textile business in india, textile business prospects

Textile firms are looking forward to a major improvement in businesses in October to December 2014 quarter as prospects are brighter than preceding months and also being a festive season. The YarnsandFibers survey on Indian textile business confidence held in late September reveals that the Business Confidence Index (a measure of future prospect), for the quarter October to December stands at 76 as against the Current Business Status Index at 30.0 for the quarter July to September 2014. Index above 50 indicates business expansion while below 50 implies contraction of business.

Related Keywords: crude oil prices, ethylene price, MEG price, mono ethylene glycol, naphtha price, paraxylene price, polyester chip, polyester fiber, polyester filament, Polyester prices, polyester spun, polyester yarn, PTA price, Purified terephthalic acid

In the week ended 5 September, crude oil prices climbed more than US$2 early in the week as the markets bounced off several month lows hit in the previous week. Also prospects for peace in CIS and a strong US data raised demand expectations. Weaker US$ and expectations of a decline in US crude stocks also supported prices. However, the oil complex settled lower on the week after a ceasefire agreement in Ukraine helped minimize risk premium, while concerns remain over the impact of Russian sanctions on European demand.

Related Keywords: Acrylonitrile price in Asia, Acrylonitrile price in Europe, Acrylonitrile price in USA, chemical grade propylene, Propylene price in Asia, Propylene price in Europe, Propylene price in USA

In the week ending 29 August, acrylonitrile prices were seen hitting more than two-year high in Asian and European markets amid continued tightening of regional and global supply. Prices have been on the rise for the last 16 weeks on active demand in a short supplied market.