“Although India’s cotton production is still expected to increase from 5
million tons last year to 5.1 million tons in 2010-11, local demand
should increase more (from 4.3 to 4.6 million tons). As a result, the
International Cotton Advisory Committee expects India’s exports to drop
by 14 percent, from 1.4 million tons to 1.2 million tons”
When prices rose nearly 36 percent between October 2009 and May 2010,
India’s cotton exports more than doubled, from 3.5 million bales (at 170
kg each) in 2008-09 to more 7.4 million bales in 2009-10. Commerce,
textile and agriculture officials are scheduled to meet in September to
review cotton price, demand and production estimates for the coming year
– both global and domestic – and if there are concerns about the
ability to meet the demand of local mills, the government could decide
to impose limitations on how much cotton is exported. Until that time,
even though exports will fall under the Open General License category,
they will still need to be registered with the Textiles Commissioner. ”
Date:8/24/2010
Source:Fibre2fashion