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Curb informal cotton trade: Peru textile sector tells govt
Apr '12
The Textile Committee of Peruvian National Society of Industries (SNI) wants the Government to take action against the flourishing informal cotton trade in the country.

Henry Falcone, President of the SNI Textile Committee, asked the National Customs and Tax Administration (Sunat) to take urgent steps to curb informal trade of cotton, as it is illegal and is jeopardizing the entire textiles and apparel value chain.

Referring to the warning issued by the Peruvian Institute of Cotton (IPA) on the likelihood of collapse of the country's cotton sector owing to bad practices followed in marketing of cotton, he said it is a serious issue and the same has been told to Sunat.

Mr. Falcone said the SNI would support measures introduced by Sunat against informal trade in cotton sector. He added that the tax collecting agency should act immediately and not wait until October as the cotton season has already started.

Quoting figures of the National Agricultural Research Institute, he mentioned that about 90 percent of cotton production in Peru is undertaken by farmers on small plots using obsolete technologies.

He said the Government should help these small farmers by providing them technology support and training.

Fibre2fashion News Desk - India

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