India looks to boost cotton exports to Viet Nam
India looks to boost cotton exports to Viet Nam
The Cotton Corporation of India (CCI), which has surplus stocks of cotton ahead of the next harvest season, is trying to boost exports of cotton to Viet Nam and Bangladesh.
The Indian publication Economic Times has said a memorandum of understanding is being worked out to export 1.5-2 million bales (of 170 kilogrammes each) of cotton to Bangladesh while the state-run CCI will also set up its own warehouse in Viet Nam to boost cotton exports.
“We are in the process of signing a government-to-government memorandum of understanding with Bangladesh to export about 15-20 lakh (Indian unit for 100,000) bales of cotton to that country," said CCI Chairman PK Agarwal.
The corporation has procured nearly a third of India’s 2019-20 cotton output. Of the 12.1 million bales it has procured, along with its agent Maharashtra State Cooperative Marketing Federation, it has been able to sell 900,000 bales in the present cotton season, which ends on September 30.
Countries such as Bangladesh, Viet Nam and Sri Lanka have duty-free access to the markets of Europe, the US and China, which give them an edge over Indian yarn and garment exporters who have to bear the burden of various duties.
