Following a flattish H1 FY26, the impact of US tariff on Indian cotton spinners is expected to moderate cotton yarn realisation in H2, ICRA said.
Cotton spinners’ revenues are projected to drop by 4-6 per cent in FY26 and margin contraction is likely to be 50-100 bps.
Moderation in cotton prices is likely to offset the impact to an extent.
Material expansion in capacity creations is not expected in FY26.
Cotton spinners’ revenues are projected to drop by 4-6 per cent in FY26 and margin contraction is likely to be 50-100 bps.
Moderation in cotton prices is likely to offset the impact to an extent.
Material expansion in capacity creations is not expected in FY26.
