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While ruling out a blanket ban on cotton exports, Textile Minister Dayanidhi Maran on Wednesday urged the Finance Ministry to raise export duty to minimise its exports, say reports.
He told this to reporters after releasing a booklet on the achievements of the textile sector during the one year of the UPA-II ministry in New Delhi.
Noting that the present stock of cotton was only 34 lakh bales, equivalent to 45 days requirement of the industry, he said to ensure fibre security for the industry, he would urge the Finance Minister to increase the export duty, presently Rs.2,500 a tonne.
Would any exception be made on shipments to Pakistan and Bangladesh? His reply: "the LCs (letters of credit] would be honoured.''
Pakistan officials wrote to the Central Government seeking removal of curbs on cotton shipments to that country.
Maran said if the suggested steps were not taken, the country's spinning mills would have to face a situation similar to that in Pakistan where many units had to be shut down because of shortage of the fibre.
He announced an export target of $25 billion for the current fiscal year--$6 billion more than last year's figure.
17-point agenda
Maran announced a 17-point agenda for his Ministry for the next year. It included a re-orientation of the Technology Up-gradation Fund Scheme to boost investment and technology up-gradation in weaving, knitting and processing segments and to remove the value cap of Rs.8 lakh for importing second-hand automatic shuttleless looms.
It envisaged setting up two non-woven textile units by the National Textiles Corporation in Coimbatore (Tamil Nadu) and Beawar (Rajasthan) and establishing a technology mission on technical textiles by September with an outlay of Rs.500 crore, to be spent in five years.
Meanwhile, the Textile Ministry has put a draft of a National Fibre Policy on its website for public consultation. This is aimed at addressing the issue of equitable use of all fibres. Comments are invited from the public over the next six weeks.
10 June, 2010 by admin