On increasing cotton yarn prices on Monday, garment manufacturers in Tiurppur have needed a ban on export of cotton and cotton yarn. Textile mills have, meanwhile, urged the Union government
“There is no any data on cotton production, consumption, stocks available with farmers and traders,” Ravi Sam, chairman of Southern India Mills’ Association (SIMA), said.
“Textile mills are adding spindles and cotton consumption is increasing. Only with proper data govt can take decisions which will help the industry,”
It is estimated that a minimum of two lakh spindles are added each month resulting in higher demand for cotton. Textile mills have started contracting cotton from overseas suppliers though international prices are at this time slightly higher of domestic prices. If cotton and yarn exports are banned, prices will crash and also the mills will incur losses, he said. Cotton prices reduced slightly when the govt removed the duty. However, the costs started stoning up afterward.
The government should announce a technology mission on cotton to extend productivity and introduce a system to gather proper data on cotton, he said.
