CCI cuts cotton auction price as arrivals improve and textile buyers turn cautious

India’s Cotton Corporation cut auction prices by ₹1,600 per candy to about ₹67,000 as daily arrivals rose to roughly 30,000 bales. Softer global futures, weak yarn exports and larger new-crop supplies expected from early October could ease cotton input costs for textile and apparel makers.

— Source publishedFri, 18 Sept, 2026, 20:15 IST·First seen Fri, 18 Sept, 2026, 20:25 IST·Source The Hindu BusinessLine

What happened

Cotton Corporation of India · Indian cotton arrivals are improving, but cautious buyers and weak yarn exports are pressuring prices. CCI cut auction prices by

Key facts

  • Daily raw-cotton arrivals: about 30,000 bales of 170 kg each
  • ICE cotton futures fell to 83 cents per pound from 93 cents
  • CCI auction-price cut: ₹1,600 per candy
  • CCI auction price: around ₹67,000 per candy (356 kg)
  • New crop cotton: ₹66,000-67,000 per candy

What changed

Indian cotton arrivals are improving, but cautious buyers and weak yarn exports are pressuring prices. CCI cut auction prices by ₹1,600 per candy, while new-crop supplies are expected to rise from early October, affecting textile and apparel input costs.

Why this matters

Lower cotton prices could ease fabric costs and support apparel gross margins, though weak yarn exports signal cautious downstream demand.

What to watch

  • Daily cotton arrivals sustaining above roughly 30,000 bales and accelerating after new-crop arrivals begin in early October.
  • Further CCI auction-price reductions and the spread between domestic Indian cotton and international futures.
  • Yarn-price movements, mill operating rates, and fabric quotation revisions, which determine whether raw-cotton savings reach apparel sourcing.
  • Indian yarn and apparel export orders, especially demand from key overseas markets, as a signal of whether lower inputs translate into supply relief or demand weakness.
  • Monsoon and crop-condition updates, plus CCI procurement and reserve-stock policy changes.