India exported 101.8 million kg of spun yarns worth US$283 million or INR1,881 crore in June 2016 at an average realisation of US$2.78 per kg. This was significantly lower compared to same month a year ago. Export volume was down 12% YoY and value declined 17% in US$ terms. The drop also reflects the lean season for global textile industry in this part of the year.
Anil Rajvanshi, Chairman of Synthetic and Rayon Textiles Export Promotion Council had a meet with the Union Textiles Minister Santosh Kumar Gangwar over the rising ingress of foreign yarn. In a letter later submitted to the Ministry, Rajvanshi said that the Indian “manmade fibre industry is passing through a tough phase as the substantially high excise duty provides edge to Chinese producers to dump polyester fibres in India.”
According to him the domestically produced synthetic yarn is losing market share to cheaper imported yarn from China, Vietnam and Bangladesh.
Texhong Textile Group Ltd, Hongkong listed yarn manufacturer engaged in the production and distribution of quality yarn, grey fabrics and garment fabrics, especially of high value-added core-spun yarn and fashion cotton textiles has posted a plunge in profits for the first half of this year.
The plunge in profit was mainly due to weak yarn sales prices in the mainland China market and the depreciation of the yuan against the US dollar, the company noted in its interim results filed with the Hong Kong Stock Exchange yesterday.
Südwolle Group, a German-based producer of spun wool yarns plans to open its first U.S. distribution facility in Mount Airy. It is projected to open this month. The 94-year-old family owned company, based in Nuremberg, makes pure wool and wool-blend worsted spun yarns for weaving, and circular and flat knitting. It also has operations in Australia, China, Italy, Poland and Romania.
