Question : EXPORT OF COTTON

(a) whether various Textile Associations have appealed to the Government to ban cotton exports;

(b) if so, the details thereof and the reasons therefor;

(c) whether the price quoted for Indian cotton in the international market was lower than the price for the international varieties;

(d) if so, the details thereof alongwith the reasons therefor;

(e) whether it is also fact that cotton arrivals have been delayed because of rains in many parts of the country; and

(f) if so, the effect over the domestic demand for cotton in the country?

MINISTER OF STATE IN THE MINISTRY OF TEXTILES (SMT. PANABAAKA LAKSHMI)

(a) & (b): Yes Madam. Textiles Association’s appeals are based on increase in price in the domestic cotton market and the high level of export contracting.

(c) & (d): No Madam. At present the domestic cotton prices are lower than the international prices. Domestic cotton prices depend on the demand & supply situation domestically as well as demand for cotton world over. Moreover, with globalization the domestic cotton prices are fully integrated with international prices. Hence, the domestic cotton prices are moving in tandem with international prices.

(e) & (f): No Madam. The cotton arrivals had been delayed mainly due to delayed sowings in most of the cotton growing tracts because of delayed rains. No direct co-relation appears to exist between the low arrival and domestic demand for cotton.