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India clarifies position on export subsidies on cotton
28
Apr '16
The government has clarified that India is not a major user of the export subsidies and as per India's notifications to the WTO, India has not given any export subsidy for cotton between the year 2006-07 and 2009-10.

“The Nairobi Ministerial Decision on elimination of export subsidies on cotton will in fact be good for Indian exports as it will create a level playing field for our farmers, who were not entitled for it but other developed countries were providing the same as scheduled, as per the rules,” the Textile Ministry said in an official statement.

The Nairobi Ministerial Decision on Cotton and Export Competition resulted in a commitment by developed countries to immediately eliminate their export subsidies on the date of adoption of the decision; i.e December 19, 2015 and Developing countries by January 01, 2017, it said.

Thus India's push has helped in elimination of cotton export subsidies by developed countries. This will help Indian cotton growers in competing with other growers as well as prevent dumping of subsidized cotton in India.

“Government of India is committed to the welfare of cotton farmers and has been taking every step to protect the cotton farmers which includes procurement of cotton through Cotton Corporation of India at Minimum Support Prices,” it said. (SH)

Fibre2Fashion News Desk – India


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