Last year there was a demand and supply mismatch of cotton in the international market which let to record high yarn prices. Then suddenly and an unexpectedly fall in the cotton price induced a fall of yarn prices. The spinner have lost nearly 50% of the stock value of cotton due to sudden fall in cotton price. The yarn price was hit by a hard 40% reduction, even then there is a low demand for the hosiery yarn in Tirupur. Many attribute this sluggish yarn demand to existing dyeing pollution problem. Many exporter as happy to have minimum orders just to retain the buyers till the reopening of the closed dyeing units.