Soaring cotton prices cause the Indian spinning industry to worry

The spinning industry in India stated that they are paying close attention to the sharp increase in cotton prices. The government announced prematurely that the approval of Indian cotton companies to export cotton has caused the price of cotton to spiral upward.

K. Thirunavukkarasu, president of the South India Mills Association, said: “At the beginning of the year, the price was between 36,000 and 38,000 rupees/candy and it has now risen to 48,000 rupees/candy.”

He worried about the recurrence of the 2011 situation, he said, most of the small spinning companies do not have enough funds to maintain a huge inventory.

"If prices continue to rise, many companies will be forced to close, resulting in tens of thousands of people unemployed."

He said that the yarn market was weak and fabric support was not strong enough. He called on the authorities to take immediate measures to protect the yarn industry.