Governments Urge The Government To Take Urgent Measures To Limit India'S Cotton Exports.

A number of major textile groups in the world sent a joint letter to their respective governments on 26 October 2010, saying that if India continues to restrict the export of cotton, the EU government, the Mexico government, the Turkey government and the US government should take urgent measures to India. These textile organizations employ about 1000000 workers.

These organizations say that

Cotton supply is tight and demand is expanding in the world. Cotton production in several big cotton producing countries is disappointing, and India is restricting cotton exports at this time.

India is the second largest exporter of cotton in the world, and cotton production in India is the largest in history.

Hacoit Benot, President of EU cotton (Eurocoton), said: "India's anti trade action on cotton has created turbulence in the world market.

Under such circumstances, competition is seriously distorted.

Therefore, our European textile customers are facing a difficult choice.

They are either forced to pay high cotton prices and face more intense competition in the face of low price imports from the EU, or they have to move out of Europe by reducing production plants and job opportunities, or they simply shut down.

Garcia, chairman of CANAINTEX David, said: "the India government has obviously broken the WTO rules and must be held accountable by India.

Mexico textile enterprises should not pay the devastating cotton price because India restricts the export of illegal subsidies to its domestic industry. "

"We are very worried that the revival of Turkey's textile industry will result in the soaring price of cotton," said Halit Narin, chairman of the Turkey textile Employers Association (TTEA) and ITKIB chairman Ismail Gulle and Hikmet Tanriverdi. "India's textile industry is going to recover."

The government of India keeps ensuring that the export of cotton is restricted in a short term, and that the supply of cotton is continuously interrupted in 6 months.

Cass Johnson, chairman of the NCTO, said: "this is the first time in history. Because of India's restrictions on cotton exports and panic buying, textile mills in the United States worry that the supply of cotton will not be enough." (Cass Johnson)

At present, China's large state-owned textile factories, regardless of the price, buy cotton only.

These actions jeopardize the strong recovery of textile factories in the United States.

These major world textile groups pointed out in their letter that their factories were "facing a sharp rise in cotton prices or no prospect of cotton at all." they pointed out: "in any case, under such circumstances, our factories can not survive indefinitely," they urged governments to "send the strongest signals to India: India must not restrict cotton exports or postpone the export of cotton to the world market."