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Export curbs on raw cotton lifted

Our Bureau

NEW DELHI, July 4

THE Centre has completely freed exports of raw cotton. Exporters would no longer have to obtain any certificate from the Textile Commissioner on the registration, allocation, quality and quantity of export.

As per the notification issued by the Director-General of Foreign Trade (DGFT), dated July 2, the condition relating to certification by the Textile Commissioner has been dispensed with and accordingly exports of raw cotton has been allowed freely.

Officials said given the fact that imports of cotton were already under the open general licence, there was no justification for continuing with curbs on exports. While the country is expected to import around 24 lakh bales of cotton this year, exports h ave been only to the extent of one lakh bales.

Therefore, farmers were not being given a fair deal, considering that they were having to reckon with largescale imports (accounting for roughly 20 per cent of domestic production), even while not being given the freedom to access overseas markets.

The move to lift export curbs on cotton is in line with the Government's stated policy of dismantling controls on exports of agricultural commodities as a complementary measure to allowing their free imports. Earlier, on May 16, the DGFT had issued a not ification lifting export curbs on sugar, including the need to register contracts with the Agricultural and Processed Food Products Export Development Authority (APEDA).

# Apart from cotton and sugar, the Commerce Ministry has also proposed to do away with export restrictions on pulses, onions, coarse grains, rice and wheat.

Organic product export:Meanwhile, in a separate public notice, dated July 2, DGFT has said the requirement for exports of organic agricultural products to be accompanied by a valid Organic Certificate would be in force from October 1, 2001 and not July 1 , 2001 as stipulated under an earlier notice dated June 11.

Under the new requirement, an agricultural product would be allowed to be exported as an `organic product' only if it is produced, processed or packed under a valid Organic Certificate issued by a certifying agency duly accredited by either APEDA, Coffee Board, Spices Board or Tea Board.