The eleven per cent import duty imposed on cotton last year should be withdrawn. So says the Cotton Association of India (CAI).
The import duty on cotton was imposed in February 2021 but it is said to have drastically eroded the competitiveness of India’s value-added products in the international markets, and sp the country’s textile industry, which is the second largest employment provider in the country, is now constrained to work with only 50 per cent of its installed capacity.
Expressing concern over the availability of extra-long staple (ELS) cotton in the country, the association says that every year India requires around 20 lakh bales of extra-long staple cotton but produces around five lakh bales. CAI adds that cotton farmers should be given higher minimum support prices to boost production of ELS cotton.
Cotton productivity in India is among the lowest in the world. As against the global average of 744 kg per hectare, India has an yield of 468 kg per hectare.This is below the cotton productivity of some of the smaller countries like Bangladesh, Syria, Sudan etc. The total cotton supply for the months of October 2022 and November 2022 in India is estimated at 84.68 lakh bales.












