Government to permit export of another 1.9 million bales of cotton
12 Apr 2012
The government has decided to grant permission for fresh exports of 1.9 million bales of cotton. The decision was taken by the director general of foreign trade after a review of export registrations.
The government had banned the export of raw cotton on 5 March 2012. This was revoked on 12 March following demands by the state governments of Maharashtra and Gujarat.
Subsequently, it was decided that all registration certificates (RCs) should be scrutinised before revalidation so that they could go ahead with their exports. Priority was be given to such cotton that had been pending for export through Land custom station on Indo-Bangladesh, Indo-Myanmar, Indo-Pak, Indo-Nepal and Indo-Bhutan borders. The next priority was to be given to cotton that had been handed over to the customs. Such cases were revalidated on 23 March 2012 and again on 28 March 2012.
As on 11 April 2012, RCs in respect of about 1 million bales were revalidated for exports, including the revalidation made on 23 and 28 March 2012, a government release said.
DGFT has completed the scrutiny of the remaining applications and the government has decided that all these RCs be revalidated. Thus, RCs for approximately another 9 lakh bales of cotton will be revalidated no later than 17 April 2012.
Export of approximately 1.9 million bales of cotton would give a fresh impetus to cotton prices and would benefit both farmers and exporters, the release said.