Abd El Aziz Amer- vice chairman of the committee- has warned from the
tendency of importing foreign cotton from abroad, where numerically, it refers
to importing of about 2 million Kantars by prices less than the Egyptian cotton
prices to be subsidized from their countries from which their yarn
characteristics are much less than the Egyptian ones.”

The report pointed out that local spinners are using imported cotton and
get the government support of 225million L.E on yarn and fabrics made of this
cotton

the support that was approved by the
government for the whole entire season 2008/2009 of 225 million L.E, which
means that local spinners are no anymore using the Egyptian cotton,
which requires stopping the support of yarn and fabrics resulting from the
manufacturer of imported cotton and to be limited on yarn and fabrics made of
Egyptian cotton so that we can conduct the Egyptian cotton.

Eng. Abd EL Aziz Amer is expected to reach the amount mentioned at the end of the season
to more than 1 million kantars other than production quantities expected in the
next season 2009/2010, where the cultivated area has reached 285 thousands
acres which produce more than 2 million kantars. ”

This means continuing the crisis of conducting cotton for many years,
especially, with the support of yarn and fabrics made of imported cotton and
the continuation of the importation policy of foreign cotton from abroad.
According to the statistical status of cotton crop, the vice chairman of
the committee said that there are 737 thousands kantars of cotton leftover and
about 213 thousands of the crop season 2008/2009 till the end of June and 612.5
thousand kantars.”

Eng. Adel Azy has
attributed the size of the current balance of the cotton that was about 1
million and 883 thousand kantars which belongs to 120 traders are subject to
the interest of commercial banks in exchange for offers obtained by those
traders at the beginning of that season.”

In addition to the increase in the cost of these cottons to be held by
the banks interest at the time that traders won’t be able to repay the loans
they took due to the drop in demand on those cottons.”

Date:7/7/2009

Source:Al Ahram Newspaper