COIMBATORE: The Southern India Mills’ Association (SIMA) has welcomed the Centre’s decision to extend the exemption on the 11% import duty on cotton till Dec 31, saying it will help the textile industry address raw material shortages, stabilise prices and meet export commitments.
SIMA said the cotton-based textile industry provides employment to more than 45 million people, with a significant share in rural areas and women accounting for around half the workforce. It pointed to the ministry of textiles ’ vision of raising textile trade from about $172 billion to $350 billion, increasing exports from $36 billion to $100 billion, attracting $100 billion in investments and creating 20 million jobs. Achieving these targets would require 475–500 lakh bales of cotton at internationally competitive prices, according to SIMA. It cited output falling from 398 lakh bales in 2013-14 to an estimated 280 lakh bales in 2026-27, against an industry requirement of around 360 lakh bales, and said exports of 12–15 lakh bales of organic and BCI cotton further tighten availability. SIMA projected a potential shortage of around 100 lakh bales and said self-sufficiency in medium and long staple cotton could take seven to ten years, while dependence on imports would continue for extra-long staple and customer-specified origin cotton. SIMA appealed to Prime Minister to extend duty-free imports for all varieties of cotton till 2030 and review the policy thereafter, citing the need to curb speculation, ensure price stability and create a level playing field.
It suggested periodic reviews of domestic supply-demand and price trends to adopt mechanisms that protect stakeholder interests. You Can Also Check: Gold Rate in Coimbatore | Silver Rate in Coimbatore | Bank Holidays in Coimbatore | Public Holidays in Coimbatore | Coimbatore AQI | Weather in Coimbatore | Petrol Price in Coimbatore | Diesel Price in Coimbatore | CNG Price in Coimbatore | LPG Price in Coimbatore