Govt rules out imposing ban on cotton exports
The governement today ruled out imposing a ban on cotton exports, although the textile industry has been seeking such a measure to cool prices.
By PTI |
NEW DELHI: The governement today ruled out imposing a ban on cotton exports, although the textile industry has been seeking such a measure to cool prices.
"The government has no proposal to ban cotton exports or put any restriction on quantity of its exports," Textiles Ministry Joint Secretary J N Singh said.
On July 8, the government scrapped import duty on cotton and withdrew export incentives to calm soaring cotton prices and boost domestic supply.
Textile industry has been demanding a ban on cotton exports and claimed that cotton prices have gone up by around 42 per cent in the domestic market over the last one year.
The import duty on cotton stood at 14 per cent, constituing 10 per cent basic customs duty and 4 per cent special countervailing duty. Export incentive in the form of duty drwback was available for cotton exports at the rate of 1 per cent of the frieght-on-board.
Textile industries like South India Mills Association, Northern India Textiles MIlls Association had approached the government to ban the export of cotton. This move is also supported by Confederation of Indian Textile Industry.
"The government has no proposal to ban cotton exports or put any restriction on quantity of its exports," Textiles Ministry Joint Secretary J N Singh said.
On July 8, the government scrapped import duty on cotton and withdrew export incentives to calm soaring cotton prices and boost domestic supply.
Textile industry has been demanding a ban on cotton exports and claimed that cotton prices have gone up by around 42 per cent in the domestic market over the last one year.
The import duty on cotton stood at 14 per cent, constituing 10 per cent basic customs duty and 4 per cent special countervailing duty. Export incentive in the form of duty drwback was available for cotton exports at the rate of 1 per cent of the frieght-on-board.
Textile industries like South India Mills Association, Northern India Textiles MIlls Association had approached the government to ban the export of cotton. This move is also supported by Confederation of Indian Textile Industry.
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