ICE cotton touches three-month high on weaker US dollar
25 Apr '25 (Source: www.fibre2fashion.com)
(Fibre2Fashion News Desk (KUL): ICE cotton futures edged higher yesterday, supported by a weaker US dollar. A falling dollar makes US cotton purchases more affordable for overseas buyers. Despite lacklustre US cotton export sales during the latest reported week, the weaker dollar bolstered futures, which touched a three-month high on Thursday.
Insights
ICE cotton futures touched a three-month high as a weaker US dollar made cotton more affordable for overseas buyers.
The July 2025 contract settled at 69.17 cents per pound, up 0.14 cent, with a 235-point gain over three sessions.
Despite a 49 per cent weekly drop in US export sales, analysts said dollar weakness and prior technical strength continued to support the market.
The ICE cotton July 2025 contract settled at 69.17 cents per pound (0.453 kg), up 0.14 cent from the previous day. The contract has gained 235 points over the last three sessions. The December contract settled at 70.37 cents, up 0.40 cent on the day, with a cumulative gain of 207 points over the same period. Other contracts posted gains of up to 38 points or losses of up to 21 points.
Total trading volume stood at 47,440 contracts, compared to 73,307 contracts cleared the previous day, indicating continued active market participation. ICE data showed no change in deliverable No. 2 cotton stocks as of April 23, which remained at 14,478 bales.
According to the USDA weekly export sales report for the week ending April 17, net sales for the current marketing year totalled 104,000 bales—down 49 per cent from the previous week and 22 per cent below the average of the prior four weeks. Net sales to mainland China fell by 5,300 tons, indicating a decline in demand from a key buyer.
Market support stemmed from a weaker US dollar, which made cotton more attractive to foreign buyers holding other currencies. According to market analysts, despite the disappointing export report, the market is holding firm due to dollar weakness and earlier technical strength.
Currently, ICE cotton for July 2025 is trading at 69.67 cents per pound (up 0.40 cent), cash cotton was traded at 67.42 cents (up 0.14 cent), the May 2025 contract at 67.30 cents (down 1.45 cent), the October 2025 contract at 70.71 cents (up 0.32 cent).
The December 2025 contract at 70.68 cents (up 0.31 cents) and the March 2026 contract at 71.71 cents per pound (up 0.29 cent). A few contracts remained unchanged from the previous close, with no trades reported today. (Source: www.fibre2fashion.com)
Cotton yarn prices remain stable in north India despite weak demand
24 Apr '25 (Source: www.fibre2fashion.com)
INSIGHTS
Cotton yarn demand in north India remains sluggish in Delhi and Ludhiana markets, with no positive signals from domestic or export sectors.
Rising cotton prices have not supported demand, and concerns over Bangladesh's yarn import ban and uncertain US export orders persist.
Cotton yarn prices stayed stable, but market sentiment remains negative, with traders reluctant to stock raw materials.
https://www.fibre2fashion.com/news/yarn-news/cotton-yarn-prices-remain-stable-in-north-india-despite-weak-demand (Source: www.fibre2fashion.com)
PK: Firm trend on cotton market
Recorder Report
25 April 2025 (Source: Business Recorder)
LAHORE: The local cotton market on Thursday remained steady and the trading volume remained low.
Cotton Analyst Naseem Usman told Business Recorder that the current cotton prices in Sindh and Punjab is in between Rs 15,500 and Rs 17,500 per maund, depending on quality and payment.
900 bales of Rahim Yar Khan were sold at Rs 16,150 per maund (mill to mill).
The Spot Rate remained unchanged at Rs 16,900 per maund. Polyester fiber was traded at Rs 346 per kilogram. (Source: Business Recorder)
U.S. EXPORT SALES FOR WEEK ENDING 4/17/2025
April 25, 2025 (Source: USDA-FAS)
Cotton: Net sales of Upland totaling 104,000 RB for 2024/2025 were down 49 percent from the previous week and 22 percent from the prior 4-week average.
Increases primarily for Vietnam (34,400 RB, including 2,000 RB switched from China, 1,800 RB switched from Hong Kong, 100 RB switched from South Korea, and decreases of 300 RB), India (22,500 RB), Pakistan (16,500 RB), Turkey (15,400 RB), and Bangladesh (6,700 RB, including decreases of 200 RB), were offset by reductions for China (5,300 RB), Hong Kong (1,900 RB), South Korea (200 RB), and Mexico (100 RB).
Net sales of 38,000 RB for 2025/2026 were primarily for Indonesia (13,200 RB), Peru (9,700 RB), Honduras (9,300 RB), Vietnam (4,200 RB), and Nicaragua (1,500 RB). Exports of 292,200 RB were down 11 percent from the previous week and 22 percent from the prior 4-week average.
The destinations were primarily to Vietnam (92,200 RB), Pakistan (59,300 RB), Turkey (55,200 RB), Bangladesh (23,900 RB), and Peru (11,700 RB). Net sales of Pima totaling 5,800 RB for 2024/2025 were up noticeably from the previous week, but down 31 percent from the prior 4-week average.
Increases primarily for Pakistan (1,300 RB), India (1,300 RB), Peru (700 RB), Turkey (700 RB), and Vietnam (600 RB), were offset by reductions for Hong Kong (300 RB). Exports of 14,400 RB were up noticeably from the previous week and up 41 percent from the prior 4-week average. The destinations were primarily to India (7,400 RB), Peru (2,800 RB), Vietnam (1,900 RB), Bangladesh (900 RB), and Turkey (300 RB).
Optional Origin Sales: For 2024/2025, the current outstanding balance of 8,800 RB, all Pakistan.
Exports for Own Account: For 2024/2025, new exports for own account totaling 200 RB were to Vietnam. Decreases of 5,200 RB were for China. The current exports for own account outstanding balance of 13,300 RB were to China (11,100 RB) and Vietnam (2,200 RB). (Source: USDA-FAS)
India reimposes MIP on 4 synthetic knitted fabric codes
24 Apr '25 (Source: www.fibre2fashion.com)
(Fibre2Fashion News Desk (KUL): India has reimposed a minimum import price (MIP) on four HSN codes under Chapter 60, which covers synthetic knitted fabrics. The MIP initially ended on March 31 this year. The Directorate General of Foreign Trade (DGFT), under the Ministry of Commerce and Industry, issued a notification on April 23 in this regard.
As a result, there was a 22-day period without the MIP, during which industry experts anticipate a significant increase in imports of the product.
Insights
India has reimposed a minimum import price (MIP) of $3.5/kg on four HSN codes covering synthetic knitted fabrics, effective until March 31, 2026.
The move follows a 22-day gap in April that likely led to a surge in imports.
While nine other codes are now subject to a fixed ₹115/kg basic duty, over three dozen codes remain unrestricted, prompting concerns of diversion to avoid MIP and customs duties.
According to the notification, DGFT has reimposed an MIP of $3.5 per kg on HSN codes 60019200, 60053600, 60053790, and 60053900 for synthetic knitted fabric. These codes cover products made from man-made or synthetic fibres (unbleached or bleached). Synthetic knitted fabrics attract a 20 per cent duty on their value. Following the imposition of the MIP, the duty will be based on the determined minimum import value or the actual import value (whichever is higher).
The MIP was initially imposed on March 16, 2024, and extended over time, ending on March 31, 2025. Industry sources stated that the latest notification caused a 22-day blackout period when the MIP was not effective, creating a strong possibility of significant imports of synthetic knitted fabrics during that time.
The import of synthetic knitted fabrics under ITC (HS) codes 60019200, 60053600, 60053790, and 60053900 is ‘restricted’ until March 31, 2026, according to the notification. However, imports are ‘free’ if the CIF value is $3.5 per kilogram or higher.
Additionally, inputs imported by Advance Authorization holders, Export Oriented Units (EOUs), and units in Special Economic Zones (SEZs) will be exempt from the MIP condition.
It is worth noting that the MIP on synthetic knitted fabric under nine other codes (60041000, 60049000, 60062200, 60063100, 60063200, 60063300, 60063400, 60064200, and 60069000) ended on March 31, 2025.
However, the government had imposed a fixed basic customs duty of ₹115 per kg in the Union Budget for FY 2025-26.
This means that imports of synthetic knitted yarn under these codes will attract a duty of either 20 per cent or ₹115 per kg (whichever is higher). This change came into effect immediately following the government’s announcement on February 1, 2025.
However, more than three dozen codes for synthetic knitted fabrics remain unrestricted. Industry stakeholders are concerned that imports may be diverted under non-MIP and non-BCD codes. There are 55 codes under Chapter 60, of which 45 are active, according to industry sources.
(Source: www.fibre2fashion.com)
Soybeans Rally into Thursday’s Close, with Bean Oil Support
Austin Schroeder – Barchart
Thu Apr 24, (Source: Barchart.com)
Soybeans posted strength into the Thursday close, as contracts were up 8 to 13 cents. CmdtyView’s national front month Cash Bean price was up 15 1/4 cents at $10.06 ¾.
Soymeal futures were down $1.20 to $2.10/ton, as Soy Oil futures were up 103 to 174 points on the session. Price limits are set to be widened by a nickel on May 1 to 75 cents, according to a released from the CBOT on Thursday.
As a part of trade negotiations, Japan is considering buying more US soybeans to offset some demand lost to China. For reference, annual Japan soybean imports are 3-3.5 MMT, with historical US shipments to Japan between 2.1 to 2.6 MMT.
This morning’s Export Sales report tallied old crop soybean sales in the week that ended on April 17 at 277,012 MT, on the lower side of the expected 200,000 to 600,000 MT.
That was back down from last week by 50.1% but still up 31.3% from the same week a year ago.
Mexico was the top buyer of 87,800 MT, with 65,800 MT sold to the Netherlands. Sales for 2025/26 were at a net reduction of just 120 MT.
Meal sales came in at 176,178 MT in that week, near the low end of expectations of 150,000 to 400,000 MT. Bean oil bookings were at 12,380 MT, vs. estimate of 5,000 to 35,000 MT.
May 25 Soybeans closed at $10.53, up 12 3/4 cents, Nearby Cash was $10.06 3/4, up 15 1/4 cents, Jul 25 Soybeans closed at $10.62, up 11 3/4 cents, Nov 25 Soybeans closed at $10.35 1/2, up 8 cents, New Crop Cash was $9.74 1/4, up 8 3/4 cents. (Source: Barchart.com)
CHINA: Cotton and Products Annual
April 25, 2025 (Source: USDA-FAS)
Attaché Reports (GAIN)
Report Highlights:
Posts forecasts MY 25/26 cotton production at 6.35 million metric tons (MMT) on stable planted area and a return to normal weather conditions.
Imports are forecast at 1.55 MMT and domestic consumption at 8.15 MMT. Post revised up its estimate for MY 24/25 cotton production to 6.81 MMT.
MY 24/25 imports are revised down to 1.40 MMT, as a glut of domestic cotton and high MY 23/24 imports are reducing demand for imported cotton.
Beijing’s imposition of 140 percent tariffs on U.S. cotton will all but stop further imports from the United States.--- Read the full report (Source: USDA-FAS)
Uzbekistan declares win against Turkish cotton investors
Toby Fisher
24 April 2025 (Source: https://globalarbitrationreview.com)
Uzbekistan says it has defeated a US$700 million ICSID claim brought by Turkish investors in the cotton textile industry who accused the state of pushing their local manufacturing plants into bankruptcy.
https://globalarbitrationreview.com/article/uzbekistan-declares-win-against-turkish-cotton-investors
(Source: https://globalarbitrationreview.com)
Australia's economic growth slows in March due to global trade shifts
24 Apr '25 (Source: www.fibre2fashion.com)
(Fibre2Fashion News Desk (SG): Australia's six-month annualised growth rate in the Westpac–Melbourne Institute Leading Index slowed to 0.6 per cent in March, down from 0.9 per cent in February. The index reflects the expected pace of economic activity relative to the trend three to nine months ahead.
The index continues to indicate growth above the trend, but the recent softening signifies a significant shift.
The Index is only beginning to reflect the effects of the trade policy disruptions that intensified following US President Donald Trump's 'reciprocal' tariff announcement on April 2.
Insights
Australia's six-month annualised growth rate in the Westpac-Melbourne Institute Leading Index slowed to 0.6 per cent in March, down from 0.9 per cent in February, reflecting trade policy disruptions and market sentiment.
While the Australian economy faces manageable tariff shocks, growth is expected to slow to 1.9 per cent in 2025.
Financial market developments have contributed to the slowdown.
The situation is uncertain and there are other factors at play but some further softening in the growth pulse looks likely in the months ahead, Melbourne Institute of Applied Economic and Social Research and Westpac said in a joint press release.
“At this stage, the tariff shock to the Australian economy should still be relatively small and manageable. Westpac expects growth to track a slower recovery, lifting to 1.9 per cent in 2025 revised down from a previously forecast 2.2 per cent. However, risks are to the downside. The Leading Index will continue to be an important early gauge of how momentum is shifting,” said Matt Hassan, head of Australian macro forecasting at Westpac Economics.
The component detail shows the slowdown to date has been centred on financial market and sentiment developments. The Leading Index growth rate has lifted from negative 0.24 per cent in September last year to 0.63 per cent currently.
Four of the eight components have driven the 0.87 percentage points (ppt) improvement: commodity prices (measured in Australian dollar terms) adding 0.42 ppts; a widening yield spread adding a further 0.34 ppts; improving US industrial production adding a further 0.15 ppts and improving consumer expectations for jobs adding another 0.12 ppts.
The commodity price component's improvement has primarily been driven by a decline in the Australian dollar, which depreciated by 6.5 cents (¢) against the US dollar between September and late March. Notably, despite a further dip of 3.5¢ at one point, the Australian dollar has since recovered and is now slightly above its March-end level. However, these gains have been partially offset by a correction in equity markets and a slowdown in the recovery of consumer sentiment.
The S&P/ASX200 has reduced the headline growth rate by 0.18 percentage points since September, while the Westpac-Melbourne Institute Consumer Expectations Index has contributed an additional 0.1 ppt decline.
Meanwhile, both drags are at risk of intensifying in the months ahead. Share markets plunged after the US tariff announcement on April 2 and are still down on March levels despite a solid rally later in the week following the announcement of a 90-day pause on tariff increases above 10 per cent for countries other than China.
Similarly, the April update on consumer sentiment showed sharply weaker reads over the course of the survey week that suggest the May survey, which will be run before the next Reserve Bank of Australia (RBA) meeting, is coming from a considerably weaker starting point, added the release.
(Source: www.fibre2fashion.com)
24 Apr '25
(Fibre2Fashion News Desk (DS): Vietnamese Prime Minister Pham Minh Chinh has called for thorough preparation for tax negotiations with the United States, stressing on the need for a swift, flexible approach that protects domestic interests and restructures export dynamics.
He chaired a meeting recently with various ministries and agencies to assess the current situation and discuss solutions.
Insights
Vietnamese Prime Minister Pham Minh Chinh has called for thorough preparation for tax negotiations with the US, stressing on the need for a swift, flexible approach that protects domestic interests and restructures export dynamics.
The country has ordered enterprises to purchase gas, Boeing aircraft and transport planes from the US to help balance trade, he said at a government meeting.
The country has ordered enterprises to purchase gas, Boeing aircraft and transport planes from the United states to help balance trade, he said. He called for making future negotiations with the United States flexible, creative and assertive, drawing on previous experience to navigate this crucial period effectively, domestic media outlets reported. Regarding technical matters related to the US tariffs, he asked the ministry of finance to lead the analysis, while other ministries and agencies should prepare solutions for non-tariff issues.
“We must diversify markets, products, and supply chains, focus on improving product quality and reducing costs for greater competitiveness, and explore high-tech products as well as green development in line with global trends and the circular economy. This is also a chance to restructure businesses. Along with active negotiations, we must proactively restructure Vietnam’s export drivers and business models,” he added. (Source: www.fibre2fashion.com)