The Indian cotton textile industry has been facing unforeseen crisis from the beginning of the year especially from 1st April 2022 due to abnormal increase in cotton price that was primarily caused by speculation of cotton trading under MCX and 11 percent import duty levied on cotton. The MCX cotton price has been costlier by 40 percent to 60 percent till 31st August 2022 when compared to the New York futures. The removal of 11percent import duty on cotton from 14th April 2022 to 31st October 2022, though gave a sigh of relief, it did not last long as the international and domestic cotton prices started coming down and creating a panic situation in the industry. When several textile mills were attempting to re-negotiate the contract or seek legal remedy for cancellation of contract, the speculation caused by MCX trading made the Indian cotton expensive that enabled the trade to protect their contract. However, the international cotton price continues to be lower by 20 percent to 25 percent that had caused production stoppage to the tune of 30 percent to 40 percent across the cotton textile value chain.
About The Author
Related Posts
Archives
- November 2024 (14)
- October 2024 (70)
- September 2024 (92)
- August 2024 (79)
- July 2024 (89)
- June 2024 (78)
- May 2024 (79)
- April 2024 (85)
- March 2024 (98)
- February 2024 (82)
- January 2024 (93)
- December 2023 (97)
- November 2023 (99)
- October 2023 (96)
- September 2023 (82)
- August 2023 (78)
- July 2023 (77)
- June 2023 (100)
- May 2023 (108)
- April 2023 (83)
- March 2023 (84)
- February 2023 (80)
- January 2023 (67)
- December 2022 (107)
- November 2022 (76)
- October 2022 (74)
- September 2022 (98)
- August 2022 (87)
- July 2022 (67)
- June 2022 (108)
- May 2022 (96)
- April 2022 (88)
- March 2022 (89)
- February 2022 (92)
- January 2022 (76)
- December 2021 (78)
- November 2021 (11)
- October 2021 (17)
- September 2021 (32)
- August 2021 (22)
- July 2021 (28)
- April 2021 (46)
- March 2021 (107)
- February 2021 (113)
- January 2021 (76)
- November 2020 (13)
- October 2020 (55)
- September 2020 (51)
- August 2020 (27)
- July 2020 (3)
- March 2020 (69)
- February 2020 (107)
- January 2020 (100)
- December 2019 (118)
- November 2019 (132)
- October 2019 (117)
- September 2019 (165)
- August 2019 (152)
- July 2019 (157)
- June 2019 (122)
- May 2019 (97)
- April 2019 (88)
- March 2019 (76)
- February 2019 (88)
- January 2019 (41)
- December 2018 (86)
- November 2018 (40)
- October 2018 (87)
- September 2018 (59)
- August 2018 (51)
- July 2018 (152)
- June 2018 (15)
- May 2018 (12)
- April 2018 (64)
- March 2018 (10)
- February 2018 (72)
- January 2018 (3)
- December 2017 (68)
- November 2017 (20)
- October 2017 (66)
- September 2017 (9)
- August 2017 (59)
- July 2017 (59)
- April 2017 (62)
- February 2017 (6)