Amidst the coronavirus pandemic, garment makers in Bangladesh are now facing a new challenge subsequent to the rise in international cotton prices, which is having a ripple effect on local yarn.
According to media reports, which cited suppliers and knitwear manufacturers, compared to what was US $ 2.60 to US $ 2.80 per kilogramme 2 months ago, the widely consumed 30-carded yarn is now selling for US $ 3.60 to US $ 3.75/kilogramme even as international cotton prices, between July last year and January this year, went up nearly 28.60 per cent.
.It may be mentioned here that in international markets, cotton prices have gone up principally due to increased imports by China (the largest consumer worldwide), on account of a recovery trending amongst businesses there to add to which both Pakistan and China — despite themselves being the major producers — have, reportedly, increased their import targets due to lower production in Pakistan and high prices prevailing in China.
According to the Managing Director of the Plummy Fashions Limited, Md. Fazlul Hoque, yarn prices have increased by more than 40 per cent in a span of couple of months, who maintained this while interacting with the media.