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Polyester staple fibre price cut by Rs 3 per kg

RECORDER REPORT

KARACHI: The local makers of polyester staple fibre (PSF) have reduced the price of their products by Rs. 3 per kg from Rs. 59 to Rs. 56 per kg, textile industry sources revealed.

It is for the first time in the polyester fibre manufacturing history of the country that the price has been decreased in the middle of the month. Normally the increase or decrease in price of staple fibre is announced from the start of every month.

Textile industry sources have described the move as remarkable because the price of polyester staple fibre had never been reduced by Rs. 3 in one go. They attributed the major cut in price to the surplus cotton production in the country, which has reduced the consumption of the fibre.

They said that the major spinners in the country had either switched over to 100 percent cotton or had reduced the blending ratio of polyester in their products because at present cotton was cheaper than polyester and other synthetic fibre.

Sources further pointed out that the prices of raw materials ÑÊPTA and EG used in the manufacturing of the polyester fibre Ñ were also showing a declining trend globally due to the pressure on polyester products. PTA price has come down from 530 dollars per tonne to 460 dollars per tonne in spot market whereas ethylene glycol price has decreased from 620 dollars per tonne to 550 dollars per tonne.

Sources revealed that lately some of the large spinning groups had booked polyester fibre from South Korea at a cheaper price. In order to prevent them from importing PSF from abroad the polyester-makers are believed to have reduced the price in the middle of the month.

Iqbal Mangrani, Chairman, Pakistan Cloth Merchants Association, Sindh and Balochistan Zone has welcomed the reduction in polyester staple fibre and said that it would help to bring down price of polyester cotton blended yarn and fabrics which was major textile item for export and would also help to boost export of value-added items like bedsheeting, etc, in which polyester cotton fabric was consumed.