Home / Knowledge / News / Textiles / 'Recent downtrend in global cotton prices a major threat'
'Recent downtrend in global cotton prices a major threat'
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

Apparel/Garments | On 26th Oct 2016

SGS develops 4C chemical management model for apparel

SGS, a leading inspection, auditing, certification, testing, and...

Textiles | On 26th Oct 2016

Platinum Equity acquires International Textile Group

International Textile Group (ITG) has been acquired by Platinum...

Textiles | On 26th Oct 2016

Whitehouse & URI Business Centre start RI textile network

Senator Sheldon Whitehouse and the University of Rhode Island...

Interviews View All

Rajiv Sirohi

‘Portugal is taking away a major share of the mill made sector.’

Awen Delaval

'Natural fibres are appreciated for traditional authenticity'

Victor Chao

‘In future, clothing boundary lines will become increasingly blurred.’

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Marcel Alberts

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...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Robert Brunner

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Judy Frater
Somaiya Kala Vidya

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

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies

October 2016

October 2016

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


Browse Our Archives


Advanced Search