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'Control cotton exports' – Sunil Jain, President of NITMA
Oct '08
Northern India Textile Mills Association (NITMA) has requested the government to control exports of cotton and instead encourage exports of value added products.

Speaking exclusively to fibre2fashion, Mr Sunil Jain, President NITMA said “We are the second largest producer of cotton in the world and also with the governments help we are also number two in exports. We are requesting the government that to rather than encouraging exports of cotton fiber, we should increase value of the product in country itself.”

Since 60-70 percent of export orders are booked in US dollars, depreciation of rupee against dollar was expected to bring likely gains. But they have been negated due to higher input costs of cotton and interest rates.

Though cotton production is increasing in the country, exports of cotton are growing at an even faster pace. According to a data released by the International Cotton Advisory Committee production of cotton has grown from 4.13 million metric tons (mmt) in the cotton season 2004-05 and is expected to touch 5.46 MMT in the new cotton season of 2008-09.

But at the same time exports of raw cotton have also galloped from just 0.136 mmt in 2004-05 and are expected to reach 1.58 mmt in 2008-09. It has become a matter of concern for the industry looking at the high growth in exports which is ultimately leading to rise in prices of the raw material.

Fibre2fashion News Desk - India

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