+917718880355

news

Vietnam crowding out India from China yarn market, a threat?

YarnsandFibers News Bureau 2016-05-26 16:02:00 – Mumbai

Spun yarn exports in April 2016 jumped 12 per cent in volume terms and were up 1.7 per cent in value terms. Spun yarn (all kinds) shipments were at 112.2 million kg worth US$299 million or INR1,971 crore, implying per unit realisation of US$2.66 per kg.

In April 2016, 82 countries imported spun yarn from India, with China accounting for 27.5 per cent of the total value with imports declining 7.1 per cent in terms of volume YoY and plunging 17 per cent in value YoY. Bangladesh, the second largest importer of spun yarns, accounted for around 19.2 per cent of all spun yarn exported from India. Export to Bangladesh rose 49.5 per cent in volumes and 33.2 per cent higher in value. Egypt was the third largest importer of spun yarns, which saw volume rising 10.7 per cent while value declined 4.6 per cent. These three top importers together accounted for around 52 per cent of all spun yarns exported from India in April.

India's share in China’s yarn market has dropped from 32.6% to 22.9% in the meantime whereas Pakistan's share plunged from 27.3% to 19.6%. This structural shift means that Indian and Pakistani spinners cannot rely any more on the Chinese yarn market, although they could keep a large share for specific products.

The other reason for lower import from neighbours accentuates China's heavy investment into Vietnam to benefit from lower labor costs and the development of the domestic textile and apparel production in this country. As a result, Vietnam has become the leading origin of the China's yarn import market, with its share surging from 17.9% to 29.9% in a single year.

Thus, the future appears bleak for Indian yarns, in line with surging exports of Vietnamese yarns to China, reflecting a relocation of the Chinese industry.

For Pakistan, it has suffered from a sharp fall of domestic cotton and yarn production in the current season, being forced to import large quantities from India. As a result, export to Pakistan rose 72.4 per cent in volumes and 34.3 per cent higher in value.

The FIBRE AND YARN EXPORTS - INDIA report is based on data collated from 27 major ports (Air, Sea & ICDs) in India, namely Ahmedabad Air, Ahmedabad ICD, Ankleshwar, Bombay Air, Calcutta Sea, Cochin Sea, Delhi Air, Delhi TKD ICD, Hyderabad ICD, JNPT, Kattupalli, Krishnapatanam, Ludhiana ICD, Madras Air, Madras Sea, Mandideep, Marripalam ICD, Mundra, Nagpur, Petrapole Road, Pipavab , Pithampur ICD, Tondiarpet ICD ,Tuticorin ICD ,Tuticorin Sea and Vizag Sea. All spun yarns covered in this report are of Cotton, Viscose, Polyester, Polyester/Cotton and Polyester/Viscose; and filament yarns of polyester, nylon, polypropylene and viscose.

Courtesy: YnFx – Fibre and yarn Exports - India

0 0 vote
Article Rating
0 Comments
Inline Feedbacks
View all comments

Market Intelligence

Ask for free sample Report


why us?
21 yrs

experience

Fortune 500

Customer Base

100%

dedicated team

55+

Countries Served Worldwide


newsletter

Register below to receive our newsletters with latest industry trends and news!

WeCreativez WhatsApp Support
Our support team is here to answer your questions via WhatsApp. Ask us anything!
? Hello