The Indian Government Will Decide To Raise The Cotton Export Ceiling On December 13
The ministers of the Ministry of Commerce, the Ministry of Agriculture and the Ministry of Textiles had planned to hold a meeting tomorrow morning, but the date of the meeting had been postponed to Monday, because Minister Khullar of Commerce went to Brussels tonight to attend the India EU Summit on December 10.
He told the media: "The cotton meeting has been postponed to Monday. We will make a decision at the meeting."
The meeting will study the current trend and the price situation of natural fiber.
Previously, the government approved the export of 550000 bales of cotton (every 170 kg) this year,
The cotton output in 2010-2011 is expected to be 33.5 million bales, and the domestic demand is 26.6 million bales.
In recent months, the price of natural fiber has increased significantly. Industry experts said that the price of natural fiber currently exceeded 43000 rupees, compared with 26000 rupees in the same period last year.
At the same time, the government set the maximum export volume of cotton yarn at 720 million kg in this fiscal year, aiming to help the domestic
Industry insiders said that the price of cotton yarn rose by about 85% in the past nine months.
In 2010-2011, the total output of cotton yarn was about 3.46 billion kg, and the domestic demand was 2.65 billion kg.
The textile industry has been calling for restrictions on the export of cotton and cotton yarn. They believe that the high price makes them unable to operate.
From October 2009 to September 2009, India's cotton exports increased to 8.3 million bales, compared with 3.5 million bales exported in the same period of 2008-09.
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