Total production of yarn including cotton and blended yarns in the country increased to 2,339.3 million kg during the seven months (April-October) of the current fiscal as against 2,198.2 million kg, up by 6.41% over previous year, thanks to steady increase in cotton yarn production.
Total production has been rising steadily in the past few years. This upward trend has continued during the current fiscal 2007-08 also. Production of cotton yarn went up 6.45% at 1,721.6 million kg (1,617.4 million kg) during the review period while the rise in blended and non-cotton yarn production was up 6.35% at 617.7 million kg (580.8 million kg) over previous year. Cotton yarn production marginally outpaced the increase in the total yarn production, according to figures available from the Office of Textile Commissioner.
During the review period, yarn stock was increased to 166.7 million kg in September 2007 from 130.1 million kg in April 2007. This means a rise of 36.6 million kg whereas the increase in yarn production was only 18 million kg. The demand for yarn from weavers has somewhat slackened and yarn prices during the review period have shown a fall mainly because of domestic market has an excessive supply since the yarn originally meant for exports is being increasingly offloaded into the domestic market due to difficulties in exports.