AEPC urges authorities to place restrictions on cotton yarn exports

NEW DELHI: The Attire Export Promotion Council (AEPC) on Saturday urged the federal government to impose restrictions on exports of cotton yarn with a view to curb costs and enhance provide for home producers.
AEPC chairman A Sakthivel mentioned regardless of a number of efforts by the federal government to cut back the value of cotton yarn, it has constantly elevated within the final 4 months and was affecting your entire worth chain.
“We request speedy intervention to extend the provision of yarn to home producers. We advise that quantitative restrictions must be imposed on exports of cotton yarn, particularly on cotton yarn of 26 counts and above,” he mentioned.
Sakthivel additional mentioned the Cotton Company of India (CCI) has diminished the value of cotton for small mill homeowners however this didn’t lead to discount of cotton yarn costs.
“The speed of enhance in yarn costs far exceeds that of cotton costs. The steep enhance in costs and unpredictability in availability of yarn signifies that garment exporters can not honour commitments they made to their prospects.
“This has additionally affected handloom and powerloom weavers badly. Looms have stopped manufacturing. Resulting from this, the home trade has additionally received affected adversely,” he added.
The AEPC chairman mentioned the sector can be hit exhausting if yarn is exported at the price of home and export-oriented manufacturing trade.
“We additionally recommend that export responsibility must be levied on exports of cotton yarn. This can lead to a pointy decline in home yarn costs and a rise in worth addition and employment within the nation.
“This will even assist in growing garment exports. And, it can lead to solely regular earnings accruing to yarn spinners, not the tremendous regular revenue owing to the profiteering at present taking place,” Sakthivel mentioned.

Leave a Reply

%d bloggers like this: