Recently, the Indian Texpreneurs Federation conducted a survey among their member entrepreneurs representing the entire value chain of Textile manufacturing. Wherein the few key friction points regarding the upcoming cotton season were presented in the conclusive report.
- 99% of the entrepreneurs mentioned the cotton import duty making the Indian cotton prices artificially higher than International prices in the upcoming 2022 -23 cotton year.
- 81% of the participants mentioned that Traders and MNCs are being the main beneficiaries. In addition, the Indian farmers are not the real beneficiaries of the import duty imposition.
- Regarding the contributing reasons for more speculations in Indian cotton, 38% of the entrepreneurs picked Traders & MNCs to be the main source for speculative trade in cotton. 27 % of the entrepreneurs picked a lack of scientific data as the main reason for speculation.
In addition, the survey provided the following solutions:
- Removal of Import Duty on Cotton to ensure a level playing field with our competing countries.
- Extracting sales data in No of bales with the help of GST portal with ref to ginners across India.
- Installing Sim Card-based Smart Meters in Ginning mills to get real-time pressing data in No. of Bales.