Around 100 textile spinning mills producing blended yarn including polyester cotton using synthetic material pulled shutters on their units across the state on Saturday. The decision was taken after the Indian Textpreneurs' Federation (ITF), synthetic spinners' group decided to keep their units shut during the weekend due to steep fall in yarn prices.

Industry experts say that stoppage of production over the weekends would lead to a 25 per cent-30 percent fall in production output, which is expected to reverse the constant fall in yarn prices. About 100 mills, which are a part of ITF, have a total installed capacity of nearly 19 lakh spindles and produce about 5.5 lakh kg of yarn per day. Prices of 56's count polyester cotton yarn, which was ruling at Rs190 per kg, is now being quoted at around Rs158 per kg.

Out of the total installed capacity of around two crore spindles in Tamil Nadu, about 40 lakh spindles produce blended yarns such as polyester cotton, which are utilized by fabric markets in Ichalkaranji, Malegaon, Bhiwandi and Bhilwara. Over 200 spinning mills in the state produce around 40,000 tonnes of blended yarn per month, which accounts for about 20 per cent of the total yarn output in the state.