In May 2016, spun yarn exports declined by 4.6 per cent in volume terms and 12.1 per cent in value terms. Total shipments were at 101.5 million kg worth $276.5 million or Rs 1,830 crores, implying per unit realisation of $2.72 per kg which was up US cents 6 from previous month and down US cents 24 as compared to May 2015. In rupee term, the FOB values per kg of yarn export were Rs 180 per kg. Fiber wise the FOB realization for cotton yarn was Rs 179 per kg, viscose yarn Rs 203 per kg, polyester yarn Rs 146 per kg, PC yarn Rs 177 per kg and PV yarn Rs 178 per kg.

Meanwhile, over the past two years, FOB realisation averaged Rs 189 per kg in 2014-15 and Rs 181 a kg for 2015-16. The first two months of 2016-17, they averaged Rs 178 a kg. While there is marginal reduction in rupee realization over the observed period, the same in dollar terms has fallen from $3.16 a kg in 2014-15 to $2.79 a kg in 2015-16 and further to $2.69 a kg during April-May 2016-17. This implies that FOB realisation has fallen 6 per cent in rupee terms and a whopping 15 per cent in dollar terms. A large part of this fall has come from currency depreciation. In April 2014 the rupee was pegged at Rs 59.8 per dollar and the same stood at Rs 66.8 in May 2016, a depreciation of close to 12 per cent between the two points. The other fall has come from falling raw material cost.