Policy

Government steps in to address concerns of Spinning Sector

In view of crisis in spinning sector due to due to rising cotton prices, the Government has asked CCI to sell cotton stock to spinning mills in MSME category only
Government steps in to address concerns of Spinning Sector

The recent spurt in cotton prices has resulted in higher input costs for the spinning sector in India. In view of this situation, the Government reviewed the situation and decided to bring in Cotton Corporation of India (CCI) to support the sector.

Following a review the Government has decided that Cotton Corporation of India (CCI) will sell its existing stock, purchased under Minimum Support Price (MSP), to spinning mills in the Micro, Small and Medium Enterprise (MSME) category only. This would be based on firm indents by such MSME spinning textile units registered with the Office of Textile Commissioner.

Noting that sowing has picked up, the representative from the Department of Agriculture informed that 75.41 lakh hectare of sowing has taken place as on July 15, 2016, as against normal sowing of 78 lakh hectare in corresponding period of previous years.

It was further informed that the Department of Agriculture is taking steps to manage Whitefly attack in cotton in 2016-’17, in states of the Northern Zone. A Central team has been assigned to monitor Whitefly infestation and management; advisories have been issued to states in this regard as well.

The Textiles Commissioner informed the opening balance is expected to be 43 lakh bales on September 30, 2016. However, the Government has instructed the Commissioner to keep a strong vigil on the situation. 

0 Shares
The Changing Face of Rural India