Cotton yarn exporters hit by world glut

November 1998
Colourage;Nov98, Vol. 45 Issue 11, p61
Trade Publication
The world is facing a glut in cotton yarn as stocks are piling up due to the growing demand-supply imbalance. While the demand for cotton yarn has slumped in view of the slowdown in the global economic growth, the financial crisis in southeast Asia and recession in Japan, huge additional spinning capacity has been created on hopes that the recovery seen in mid-1997 might continue. However, these hopes have now been belied. Thus, the prospects for any early significant revival of cotton yarn exports from India remain dim, despite some policy changes announced by the Union textiles ministry in this regard.


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