INDIA: Textile Industry Demands Ban on Cotton Exports
In the wake of constant rally in the prices of raw cotton, the textile industry has demanded an immediate ban on cotton exports as well as removal of 10 per cent Customs duty and 4 per cent additional Customs duty on the imports of the commodity for the current year. "Due to non-availability of cotton at an…
Egytex News Desk
Egytex
The Confederation of Indian Textile Industry (CITI), in a letter to Prime Minister Manmohan Singh, has alleged that the international players are siphoning off huge amount of raw cotton from the market to increase its prices. "In the present situation, traders are not interested to sell cotton to our mills because they anticipate continued increase in prices because of depleting availability," said the CITI letter.
However, the ministry feels the traders should buy cotton at an early stage to compete with international players because it is not under the Essential Commodities Act. "We need to talk to other ministries as well before coming to any conclusion on cotton prices. We will also take the industry's suggestions to take a middle path where the interests of the cotton farmers as well as spinning mills are protected," said JN Singh, joint secretary, Ministry of Textiles.
Source: Business-Standard.com
From the Egytex news archive, first published on 21 June 2008. Figures and names are as reported at the time.
