The decline in spun yarn exports has tapered quite sharply in August 2009 and has been showing signs of revival since June 2009. For the first time ever since the beginning of the Global slowdown, spun yarn exports in INR terms has posted positive growth, although smaller. During the month, export was up 3% in INR terms at Rs.590 crore. However, the INR depreciated against the US$ by almost 14% in the past 12-months. Thus, in terms of US$ value the decline was 9.9% and by 0.9% in terms of volume. About 45 million kgs of spun yarn was exported valued at US$124 million in August 2009 as against 46 million kgs and US$138 million last year. The overall unit price realization averaged US$2.73/kg as against US$3.00/kg last year, implying a 9% fall.
The fall in yarn exports was in line with the overall trend in India’s foreign trade. Trade shrank for the 11th straight month in August with both exports and imports tumbling, triggering worries among exporters and government whether the visible financial markets recovery will translate into recovery of the real economy as well.
ABOUT BRAZIL
Brazil, officially the Federative Republic of Brazil is a country in South America. Its current Constitution defines Brazil as a Federal Republic. The Federation is formed by the union of the Federal District, the 26 States, and the 5,564 Municipalities.
It is the fifth largest country by geographical area, occupying nearly half of South America, the fifth most populous country, and the fourth most populous democracy in the world. Brazil has a coastline of over 7,491 kilometers, bounded by the Atlantic Ocean on the east. It is bordered on the north by Venezuela, Guyana, Suriname and the French Guiana; on the northwest by Colombia; on the west by Bolivia and Peru; on the southwest by Argentina and Paraguay and on the south by Uruguay.
Brazil is the world's tenth largest economy at market exchange rates and the ninth largest by purchasing power parity. Economic reforms have given the country new international projection. It is a founding member of the United Nations and the Union of South American Nations. A predominantly Roman Catholic, Portuguese-speaking, and multiethnic society, Brazil is also home to a diversity of wildlife, natural environments, and extensive natural resources in a variety of protected habitats.
Crude oil prices recovered in the month of August 09 with Europe Brent price averaging US$72.67 per barrel, up 10% as compared to July numbers. WTI spot prices increased 8% to US$71.1 per barrel in August. In Asia, oil prices averaged US$71.6 per barrel, up 9%. However, compared to corresponding month of last year, prices are still down by 37%. Hauling in line with oil prices naphtha prices too increased 11% averaging US$644.07 per ton for August. Compared to a year ago, it was down by 36%.
Polyester Chain
Polyester prices further rose during the month pushed by rising input costs - PTA and MEG. 1.5D PSF in Pakistan was dearer by PakRs.10 per kg averaging Pak.Rs.115.75 per kg. In China, prices of 1.4D/38mm PSF averaged US$1.41 per kg, up 7%. PFY surged 8% in Chinese local market whereas prices declined in Malaysia and Indonesian market.
