Indicating a fall in raw material prices and continued overcapacity, a survey shows drop in prices of global polyester staple from their October levels.
Apart from China, Asian market showed much weakness in prices.
In 1.4/1.5 Denier, average US cents per pound price is 48.00-52.00 US cents per pound in December, which declined from October highs of 51.00-58.00 US cents per pound.
Market is facing big challenges from Taiwan and South Korea due to their overcapacity. Though, decrease in production for both regions has been observed, these shutdowns have not affected prices.
With domestic prices receding to 10,250 yuan per ton, prices have also been affected by overcapacity within China. Lower prices could not capture market share from cotton throughout the region.
Prices dropped in India after continued expansion of cotton market share in the country.
Local prices 1.4 Denier SD are at 64.24 US cents per pound, which were 69.16 in October.
However, the US and European market prices have not been affected. Prices in Europe remain static apart from seasonal highs in terms of euro. Prices in US witnessed a slight decline from 83.00 ?89.00 to 78.00 - 84.00 US cents per pound.
