2 January 2015
Cotton and polyester prices heavily fell in China and Pakistan in December whereas remaining firm in India. Our monthly report delivers a comparative view of the average cotton and polyester prices in China, India and Pakistan, including the latest and historical trends of cotton/polyester price difference. Our charts cover the last 1-year, 2-year and 5-year period over a monthly basis. Full historical data over a 7-year period are available for download.
Cotton and polyester prices have continued significantly declining in China and Pakistan in December, while clearly resisting in India.
Average benchmark cotton price fell 6.4% in China, when the KCA cotton price indicator was losing 4.1% in Pakistan.
By contrast, India's benchmark Shankar 6 price has gained 1% in December.
Similarly, 1.4D polyester staple fibers dropped 5% in local currency terms in China whereas they plunged by 8% in Pakistan.
In India, polyester prices have not followed the same downward trend, even rising 1.1% from the previous month.
Whatever the fall of cotton prices, the sharp decline of polyester prices in China and Pakistan has kept the price gap at rather the same level in both countries.
This is not supposed pushing up cotton use, which has been depressed by the excessively high prices in China.
Clothing buyers could continue favoring cheaper products, made of polyester-cotton yarns with a majority of polyester fibers inside.
In India, the need for protecting domestic farmers is maintaining cotton prices at relatively high levels. Polyester prices are artificially supported by trade protectionism and an excessively concentrated market.
More data are available in our Price Database (daily and historical series):