YARN EXPORT RECOVERS IN JUNE, BUT STILL DOWN

In June, basic textiles comprising fibres, spun and filament yarns shipment surged 28-39% YoY, both in terms of US$ and INR worth US$504 million or INR3,770 crore, accounting for about 2.3% of total merchandise exported from India during the month.

- Mr. Nitin Madkaikar

The sharp rebound was mainly due to the lifting of nationwide lockdown and exporters rushing to fulfil their past commitments after some restrictions were lifted in May. The surge is also attributed to a low base of June 2019, wherein exports had suffered due to certain global trend and trade war between US and China.

On a cumulative basis, exports were still down 30-36% in Q1 2020-21, compared with Q1 of 2019-20. The first two months were under restrict lockdown and production suffered as a result. Globally, most markets were under restrictions, hence orders were either cancelled or postponed.

Spun Yarn

Spun yarns shipment totaled 121 million kg worth US$303 million or INR2,268 crore. They were 49% higher than June 2019 in terms of volume and 23% up in terms of US$. Bangladesh was the largest market for spun yarns in June with value up 147%, followed by China (195%) and Turkey (36%). These three markets accounted for more than 55% to total yarn shipment during the month.