
South Gujarat farmers oppose duty-free cotton imports
The exemption, which came into effect on Tuesday, will remain valid for 42 days, until Sept 30.
Jayesh Patel, director of the Dakshin Gujarat Sahkari Cotton Union, urged chief minister Bhupendra Patel to take up the issue with the Union finance ministry. "The duty-free import of cotton will hurt Gujarat's farmers, who are already facing challenges," he said.
According to Patel, the move is aimed at easing supply for the textile industry, but farmers in Gujarat — India's largest cotton-producing state — fear severe losses.
Last year, Gujarat produced 90 lakh bales of cotton out of India's total output of 336 lakh bales. One bale equals about 140 kg.
Farmers point out that from Oct, the new cotton season will bring fresh supply to the market. Gujarat's 50 lakh farmers earn over Rs 70,000 crore annually from cotton cultivation. With cheaper foreign cotton entering India duty-free, they fear being forced to sell their produce at lower prices, leading to severe financial setbacks.
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"Farmer representatives have urged the Centre to reconsider the decision, stressing that uninterrupted duty-free imports will push cultivators into distress. They appealed to the govt to protect domestic producers, warning that failure to act could endanger the livelihoods of millions of cotton-growing families in Gujarat," added Patel.
As per an estimate, the production of cotton is likely to remain low this season. To manage the supply, the govt has removed duty on cotton import for 42 days. It is expected to create enough supply of cotton in the country.
In case of a short supply of cotton, it can push the prices of cotton cloth upwards, and the prices of cotton may increase.
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