FAISALABAD, Oct 3: The prices of all the counts of cotton and polyester yarn have declined by Rs3 to Rs5 per pound in the last seven days in the cotton yarn market here.

Market sources told Dawn on Wednesday that after the September 11 incident in the US, dealers had not been procuring cotton and polyester yarn. Exporters have also stopped buying grey-cloth and garments.

According to them, exporters were the major buyers who now claim that the foreign buyers have refused to lift the previous consignments. This situation has put the yarn market into unprecedented crisis.

Some exporters claim that Pakistani exporters have sustained a loss of US $14 billion approximately because of abrupt cancellations of orders by foreign buyers, specially from the US and European countries.

The local yarn market is one of the leading market in Asia.