Source: Textile Review
Cotton is dominating the textile scene around the world this summer. With severe drought in West Texas, the largest cotton-growing zone in the United States, the 2011 crop will be severely affected, leading to a supply squeeze. This may cause a tailspin for the international textiles sector.
Indian Cotton Merchants Demand Free Export
Cotton Association of India has urged the Indian Prime Minister to allow free cotton exports from India immediately.
On May 19th, Mr. Dhiren Sheth, President of Cotton Association of India (CAI), has sent a four-page letter to Dr. Manmohan Singh, Prime Minister of India, urging him to take immediate steps to allow free cotton exports from India under Open General License without any quantitative restrictions.
In his letter, Mr. Sheth has made it clear that the curbing of cotton exports since February end has resulted in the cotton price crash up to 30%. The plight of the farmers has been highlighted, mentioning that Indian cotton farmers are not realizing global prices. The letter has criticized the Indian export policy to be vacillating since last April, which has led to the erosion of confidence in Indian cotton in the international market.
Views presented here are that of the author.
Originally Published in Textile Review, July-2011
The author is associated with Nonwovens and Advanced Materials Laboratory of The Institute of Environmental and Human Health Texas Tech University in Lubbock, Texas USA.
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