According to a report by Bangladesh’s “Daily Star” on July 3, with the decline in cotton prices in the international market and the decline in yarn prices in Bangladesh’s local market, Bangladesh’s garment export competitiveness is expected to increase, and garment export orders are expected to increase.
On June 28, the price of cotton per pound in the futures market ranged from 92 cents to 1.09 US dollars. Last month it was $1.31 to $1.32.
On July 2, the price of commonly used woolen yarn was US$4.45 to US$4.6 per kilogram. In February-March this year, the price was US$5.25 to US$5.3.
When cotton and yarn prices rise, costs for garment processing plants rise, and orders from international retailers slow down. There are predictions that the decline in cotton prices in the international market may not last. Most local textile companies in Bangladesh bought enough cotton to last until October this year when cotton prices were high. Therefore, the effect of falling cotton prices will not be felt until the end of this year.
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