Home / Knowledge / News / Textiles / 'Recent downtrend in global cotton prices a major threat'
'Recent downtrend in global cotton prices a major threat'
13
Aug '14
Mr. Rajkumar
Mr. Rajkumar
“The recent downfall in the prices of cotton at the global level is a major threat and to add fuel to the fire, the curtailment of import of cotton and yarn by Chinese has only added fuel to the situation”, said a top official of SIMA at a cotton conference which began yesterday in Coimbatore.

Mr Rajkumar, Chairman of SIMA was speaking on the opening day of the All India Cotton Conference being held in Coimbatore on August 12 and 13, 2014.

Mr Rajkumar said, “The cotton textile industry is often subject to troubles mainly due to volatility in cotton prices preventing it from achieving a sustained growth rate and the recent downfall in the prices of cotton at the global level too is a major threat. The curtailment of import of cotton and yarn by Chinese has only added fuel to the situation.

“A large number of textile mills fall under the category of SMEs, who do not have access to international cotton as they do not have the facility of opening LCs. Moreover, working capital and its cost also do not allow the SMEs to source required volume of cotton during season.

“Last week the Expert Committee of National Manufacturing Competitiveness Council (NMCC) uploaded the draft Textile Policy “Vision, Strategy and Action Plan for Indian Textile and Apparel Sector”, but to our dismay, the draft policy does not contain what the industry actually requires.

“Time and again, we have told the government to adopt the Sathyam Committee recommendations, which have not been adhered to, and the recommendations hold good even today. Confederation of Indian Textile Industry (CITI) will shortly come out with Vision Document addressing all the issues and will be submitting the same to the Central government.

“Following the introduction of Bt cotton technology, the higher value, quality mismatch and high moisture content are posing problems to the textile mills. The weight loss and admixture of comber noil and poor quality cotton affects the quality of the yarn and profitability.

“Right now, we are having shortage in short staple cotton and in extra long staple cotton, we require new Bt cotton technologies including weedicide, drought tolerant technology, high density planting, research, etc. CICR claims that our country has the potential to produce 1,000 lakh bales of cotton if the above issues are addressed. So, the government should come out with a Fibre Policy to promote cotton, improve productivity and bridge the gap in quality and quantity requirements.

“We have also been asking the government to relax the ‘Cabatoge’ Rule so that foreign flag vessels can be used for transport of cotton from Gujarat and Maharashtra to mills in Tamil Nadu to reduce the freight charges on cotton. It is all the more important as cotton output in Tamil Nadu is only 5 to 6 lakh bales as against the requirement of 120 lakh bales.

Must ReadView All

Courtesy: Walmart

Apparel/Garments | On 23rd Mar 2017

Walmart acquires ModCloth

Walmart has acquired the assets and operations of ModCloth, one of...

Textiles | On 23rd Mar 2017

SIMA advises mills to avoid panic buying of cotton

The Southern India Mills' Association (SIMA) is advising mills to...

Apparel/Garments | On 23rd Mar 2017

Tulip Retail, True Fit personalise in-store shopping

Tulip Retail, a mobile application platform built exclusively for...

Interviews View All

Abhishek Ganguly
Puma India

‘As a brand, Puma is always looking for new and innovative ways to inspire ...

Nuno Venda
ROQ

‘There has been an increase in demand for water based inks, rather than...

Saket Garg
Garg Corporation

The biggest challenge is lack of skilled workforce and competition from...

Marcel Alberts
Eurofibers

Coating at a fibre level is a practice not usually seen in the...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

news category


Related Categories:
March 2017

March 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search