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India permits cotton exports with riders
Mar '12
Today morning the Commerce Secretary – Rahul Khullar announced that the government has withdrawn the ban on cotton exports which was imposed on March 5.

However, the government will only permit exports of cotton whose contracts have been registered with the Director General of Foreign Trade (DGFT) before March 4.

Also, all those cotton export contracts which have been registered till March 4 will be revalidated and scrutinised to ensure fictitious export transactions do not take place.

This move by the government will help exporters ship out around 2.6 million bales (1 bale = 170 kg) of cotton.

Additionally, new registrations for cotton exports will be not be accepted.

In normal circumstances, the government allows 30 days from the date of registration of contracts.

But additional time will be given to those registration certificates that were valid as on March 5, when the ban was imposed.

Around 9.4 million cotton bales have been exported in the current season.

Click here to view DGFT notification.

Fibre2fashion News Desk - India

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