The battle for an unrestricted export policy for raw cotton has been catapulted to the highest level with the Cotton Association of India (CAI) seeking the intervention of the Prime Minister, Dr Manmohan Singh.

In a representation, the CAI president, Mr Dhiren Sheth has urged the Prime Minister to announce a free export policy for cotton without any quantitative restriction as the planting season is set to begin. He said restrictions on exports and frequent changes in the policy have not only hurt cotton growers' interest, but also have resulted in the country being sidelined in the international market because of risks associated with vacillating policies and unsteady supplies. CAI asserted that cotton growers and exporters deserve unrestricted access to export markets when cotton imports are allowed without any restriction.

Consuming industries such as yarn, fabric and garment enjoy multiple benefits of unrestricted exports, duty-free imports of cotton and access to indigenous raw material at prices 15-30 per cent lower than their international competitors, the representation observed adding that it was nothing but cotton growers subsidising the user industry.

“Any restriction on cotton export would be detrimental to the Indian cotton economy and deprive all the cotton farmers of the legitimate price for their produce”, Mr Sheth pointed out.

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