Representatives of the Southern India Mills’ Association (SIMA) plan to urge Tamil Nadu Government to increase cotton production by introducing best seed varieties.

Simaplans to urge the government to increase production from four lakh bales to 15 lakh bales a year. M Ravi Sam, Chairman, says, it will urge for better varieties of cotton seeds to be used to increase production by 40 per cent.

The Confederation of Indian Textile Industry (CITI) thanked the state and Union governments for removing import duty, and agriculture and infrastructure development cess, to bring down the skyrocketing cotton prices.

T Rajkumar, Chairman, CITI says, the cancellation of import duty will deter traders, who have hoarded cotton expecting an increase in price. This will lead to a decline in yarn prices within a month. India’s cotton imports will surge to around 30-35 lakh bales before the end of the relief period in India, he adds

The economic crisis in Pakistan and Sri Lanka is boosting prospects of the India market as the industry is expecting more orders to India, an industry insider said.

Garment unit owners believe, the decline in cotton prices will be reflected in yarn prices will also decline in the next few days.