Gujarat Demands Increase In Cotton Export Quota.

Gujarat agriculture minister Dilip Sanghani today said the cotton prices in the country has fallen due to the "anti-farmer" export policies of the Central government.

"The union textile ministry is trying to protect the textile lobby of south India by banning the export of cotton, which has resulted into the present crisis, including falling prices thus gripping the cotton farmers of the state," Sanghani said.

He said that there is an urgent need for raising the cotton export quota from the state.

"The prices of cotton have plummeted to below Rs 4,200 a quintal during the last fortnight from a high of Rs 7,200. The situation can be salvaged by hiking the export quota to 15 million cotton bales from the existing 5.5 million," Sanghani said.

He pointed out that the export restrictions should be lifted in the wake of good demand for cotton in the global markets which the country can exploit and the farmers can pare the losses incurred in the past decade.

Floods have hit cotton crops in China and Pakistan. It is a rare chance for the country to export cotton at very good prices, the minister said.

Gujarat Chief Minister Narendra Modi yesterday wrote a letter to Prime Minister Manmohan Singh demanding lifting of the curbs on cotton exports.

Source : in.news.yahoo.com