Coimbatore, June 18 (KNN) The Southern India Mills’ Association (SIMA) has said that in the recent weeks cotton and yarn prices have gone down. 

“In Tiruppur yarn is selling at Rs 20 to Rs 25 a kg discount,” SIMA chairman Ravi Sam and its deputy chairman S.K. Sundararaman told the media.

But the offtake is low and the mills are able to sell just 50 per cent of the yarn produced. 

This has reduced production in mills and capacity utilisation has dropped.

With the Union Government permitting duty free imports till September 30 cotton prices started declining. 

However the mills have sought extension of the exemption till December 31.  (KNN Bureau)