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    Pakistan And Bangladesh Signed Cotton Contracts With India

    2010/6/3 10:33:00 111

    Cotton

    New Delhi: Pakistan and Bangladesh request, India cotton The growers fulfilled the cotton supply contracts, which were signed before the export ban last month. They wrote to the Indian government respectively and said that the cotton supply to Pakistan and Bangladesh should not be disturbed in the future.


    India now includes cotton in the list of export restricted products, which can only be exported by obtaining a license issued by the government.


    Letters from Pakistan and Bangladesh caused a sensation within the Indian government. An official said that the Ministry of Commerce is now considering how to fulfill the old contract and how much cotton will be allowed to export.


    The Ministry of Textiles suspended cotton exports on April 19 spin The industry complained that the price of cotton was 20% higher than last October, increasing production costs.


    The Ministry of Commerce subsequently lifted the export ban on May 21, because cotton farmers in some states protested against the government's ban on export, but the government announced that cotton Export requires a license.


    However, some contracts signed by Pakistani and Bangladeshi buyers before the ban on exports last month are still pending.


    Ajay Sahai, president of the Federation of Indian Export Organizations (FIEO), said that if the contracts were not performed, they could be fined. In addition, because these neighboring countries that rely on Indian cotton have large-scale textile industries, it may be unwise not to fulfill the cotton export contracts signed with them.


    Bangladesh's economy is highly dependent on textiles, which account for 80% of Bangladesh's total exports. Bangladesh imports cotton from India.


    Pakistan grows a lot of cotton itself. In fact, Pakistan is the fourth largest cotton producer in the world, but Pakistan's textile industry is booming, importing about 3 million bales of cotton every year, mainly from India.

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