The amount is for the commodity registered for export yet unshipped
when the restriction was announced April 19, the Cotton Association of
India said in an e-mailed statement, adding that it was “shocked” by
the prohibition. The group wants registered contracts to be allowed and
the ban lifted”
.“It is quite likely that several of such contracts will turn into
international disputes,” the group said today. “Not only will the
exporters be subjected to huge losses but they will also face claims
and arbitrations with their buyers.” .
.India last week halted registration of export contracts until
“further orders” and said those registered before April 19 need to be
revalidated as it seeks to cool domestic prices and boost supplies. The
ban pushed cotton prices in New York to a two-year high on concern
reduced exports from the nation may worsen tight global supplies .
.Cotton futures for July delivery rose 0.5 percent to 85.22 cents a
pound on ICE Futures U.S. in after-hours electronic trading as of 3:19
p.m. in Mumbai. The commodity rallied the maximum allowed on April 20
after India’s ban .
.“Any change in the policy of allowing free and unhindered exports
would prove detrimental to the reputation of the country as a reliable
and continuous supplier of cotton,” Cotton Association of India said in
the statement. The ban follows the government’s decision to impose an
export duty on cotton and may discourage cotton plantings, it said .
.India’s Textile Commissioner will revalidate export contracts
registered before April 19, allowing shipments of unshipped quantities
on a monthly pro-rata basis, the commissioner said in a statement that
day .
.India’s cotton output will rise to a record 25 million bales in the
year starting Aug. 1 from an estimated 23.5 million a year earlier, a
U.S. Department of Agriculture unit said in a report on April 15 .
.“Cotton acreage which has seen a rising trend recently will receive
a setback if farmers do not receive a fair price as per international
levels as a result of the duty on exports,” the association said today .
Date:4/29/2010
Source:www.indianexpress.com