Home / Knowledge / News / Textiles / 'CCI policy set to derail Make in India campaign'
'CCI policy set to derail Make in India campaign'
14
Apr '15
Chairman of the Cotton Textiles Export Promotion Council (TEXPROCIL) RK Dalmia has warned that the Cotton Corporation of India’s (CCI) reluctance to release cotton into the market could derail the ‘Make in India’ campaign.
 
“At a time when the industry is  working towards realising the Prime Minister’s goal of ‘Make in India’, we cannot succeed if our raw material prices are higher than the international prices and  artificial price rise is created by restricting supplies of available cotton with CCI,” he said  in a statement.
 
Dalmia also urged the government to instruct the CCI to start releasing at least 50,000 bales per day by e-auction directly to the actual users even as a media report said that the CCI was contemplating a global tender to invite buyers.
 
Dalmia said the cotton textiles industry was going through a crisis due to non-availability of adequate quantity of cotton on account of the CCI’s “Stop-Go” policy despite holding high level of stocks.
 
Dalmia pointed out that the CCI has procured 86 lakh bales of cotton under the minimum support price (MSP) during the current season to protect the interest of farmers. Out of this, CCI has offloaded only 3 lakh bales of cotton so far and is presently releasing between only 3,000 to 5,000 bales per day as against a stock of around 83 lakh bales. This has only resulted in steep rise in prices besides creating shortage of good quality cotton for the textiles sector which in turn is adversely affecting the exports of  yarn, fabrics and made ups.
 
The TEXPROCIL chairman said that if the CCI releases at least 50,000 bales per day for a period of 100 days through e-auction directly to the actual users, it would stabilise prices both in the domestic and international markets besides ensuring availability of cotton to cotton textile exporters. The CCI would still be left with about 30 lakh bales of carry over stock after 100 days, he said.
 
Dalmia stressed that in a cotton surplus country like India, the domestic cotton prices should remain lower than the international prices at all times. The CCI should follow a clear and transparent purchase and sale policy and not make adhoc decisions. As per its charter, CCI’s role is not only to procure cotton from farmers but also to ensure price stabilisation. 
 
The CCI had earlier come under fire from the Confederation of Indian Textile Industry (CITI) and the Southern India Mills Association (SIMA) for not releasing cotton into the market. (SH)
 

Fibre2fashion News Desk - India


Must ReadView All

Union Minister for finance Arun Jaitley chairing the 25th GST Council meeting, flanked by minister of state for finance Shiv Pratap Shukla (right) and finance secretary Dr Hasmukh Adhia. Courtesy: PIB

Textiles | On 20th Jan 2018

GST rate on velvet fabric reduced to 5%

The 25th Goods and Services Tax (GST) Council meeting, held under the ...

RIL petrochemicals’ revenue grows 47.6% in Q3 FY18

Textiles | On 20th Jan 2018

RIL petrochemicals’ revenue grows 47.6% in Q3 FY18

The revenue from the petrochemicals segment at Reliance Industries...

Courtesy: Cotton USA

Textiles | On 20th Jan 2018

US cotton bodies pledge to support CCI activities

Ten US cotton organisations have pledged industry contributions in...

Interviews View All

Top executives
Textile industry, India

Such fairs are a must for industry to showcase new innovations

Binoy Ravjani
Hero's Fashion

‘One of the recent trends in hand block printing is the indigo process,...

Nitin Bhatia
Trend Arrest

Setting up a brand for online selling is easy, but running the brand is not

Abhishek Pachauri

Reckon Industries adapts latest systems for manufacturing from designing...

Sandip Bhojani, Manthan Patel

Krypthm Tradelink LLP is a Surat-based manufacturer of westernwear....

Harmeet Singh

New Delhi-based Jogindra Industries Private Limited provides an assortment ...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Marcel Alberts
Eurofibers

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

Anisha Chaudhari
Threads & Shirts

Threads & Shirts is a freshly-tailored concept providing men/women a...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Wendell Rodricks
Wendell Rodricks

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

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

January 2018

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

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
69.1%
No
13.4%
Skip
17.5%

Total Votes: 97

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
63.9%
No
28.9%
Skip
7.2%

Total Votes: 97

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.6%
No
9.3%
Skip
3.1%

Total Votes: 97

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
82.5%
No
8.2%
Skip
9.3%

Total Votes: 97


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search