| Date: |
12-08-2010 |
| Subject: |
India may allow export of cotton from October - report |
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MUMBAI (Reuters) -India is likely to allow exports of cotton freely without any tax from October and a notification regarding this may be issued in two weeks, the Economic Times reported on Wednesday.
However, there would be a cap on the amount of fibre to be shipped, the paper said.
India halted export registration on April 19 and allowed exports under license on May 21 in a bid to rein in prices.
"We expect free exports will be allowed from October considering the possibility of higher output," head of a cotton trade association and member of CAB had told Reuters a week ago.
India is the second-biggest producer, consumer and exporter of cotton and about 60 percent of the current season shipments went to China, the biggest consumer.
India farmers have planted cotton in a record 10.34 million hectares as on Aug. 5, already a shade better than last year's 10.33 million hectares, government data showed on Friday.
Source : in.reuters.com
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