The prices of 100 per cent cotton knit yarn in Bangladesh have shown a steady upward trend throughout March 2025, driven by increased demand from the country’s ready-made garment (RMG) sector. According to the latest data, both combed and carded yarn types have seen price hikes across various yarn counts, reflecting mounting pressure on the supply chain and ongoing economic challenges within the apparel industry.
Industry insiders note that the escalating prices are partially attributed to preparations ahead of Eid-ul-Fitr and Eid-ul-Azha, when expenses traditionally rise due to heightened production and workforce bonuses. As the RMG sector scrambles to meet tight deadlines and rising order volumes, spinners have increased yarn prices to balance production costs and tight margins.
According to the latest price chart, 100 per cent cotton combed yarn reached up to US $ 4.55/kg for GOTS-certified 40/1 counts, while carded yarn peaked at US $ 4.25/kg. Even recycled yarn prices climbed to US $ 3.35/kg for finer counts.
While the price trend points to strong buyer confidence, concerns are mounting within the sector regarding long-term sustainability. Many manufacturers are bracing for further cost increases. The necessity to offer holiday bonuses, increase overtime, and manage peak-season production is expected to strain already thin profit margins.
Additionally, the industry continues to battle inconsistent gas and electricity supplies, which remain critical bottlenecks. Analysts suggest that if Bangladesh can ensure uninterrupted energy support to its industrial zones, especially within the textile and garment clusters, annual garment exports could soar from US $ 42 billion to US $ 60 billion within the next five years.
