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Indian cotton export position in a limbo
Jun '11
On June 2nd highly anticipated high level ministerial meeting in India to decide on the cotton export limit for this year has been postponed.

In speaking to this source at 7.45 AM US-CST, a reliable source in the Ministry of Textiles, Government of India informed that the Group of Ministers involving the ministries of finance, agriculture, commerce and textiles which was supposed to take place on Thursday, June 2nd to decide on the export quota limit for the 2010-11 cotton did not take place. The date of this meeting is not known at the time of reporting.

The cotton farmers and traders were expecting that due to the pressure from the Minister of Agriculture, the current limit will be enhanced by at least 1.5 million bales (170 kg each). In speaking to this scribe from India at 8 AM US-CST June 2nd, Mr. Dhiren Sheth, President of Mumbai based Cotton Association of India briefed that his association pleads for unrestricted cotton exports from India.

The spinning industry lobby, Confederation of Indian Textile Industry has been demanding for no additional cotton export until the arrival of new crop.

Until the next meeting, the export limit from India remains at 5.5 million bales (170 kg each).

Seshadri Ramkumar, Texas Tech University, USA

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