Vietnam has become a yarn supplier to India. While India’s yarn exports showed a downward trend this year, its imports from Vietnam have jumped.The far-eastern country was earlier one of the major markets for Indian cotton yarn. The scarcity of cotton along with a comparatively higher price in India has resulted in a shift in its trade dynamics with Vietnam.

Cotton prices in India are still ruling higher than those in the international market.India’s yarn exports to Vietnam dropped to $6.485 million in July 2022 from $18.084 million in February 2022. Monthly exports were at $17.130 million in March 2022, $12.715 million in April 2022, $10.435 million in May 2022 and $9.828 million in June 2022.India’s yarn exports to Vietnam had registered growth during the preceding years. Exports increased in 2020 to $169.087 million from $131.540 million in 2019. They further rose to $220.579 million in 2021.

On the other hand, India’s imports of yarn from Vietnam increased drastically to $24.875 million in July 2022 from $4.521 million in March 2022. India had imported yarn worth $6.612 million in April 2022, $7.733 million in May 2022 and $7.714 million in June 2022. Annually, imports recovered to $60.155 million from $37.530 million in 2020.