India Govt allows further export of cotton

New Delhi, Apr 30 (PTI) The Indian government today decided to allow further cotton exports during the country's 2011-12 cotton marketing year ending September as production estimates have been revised upwards. "A decision has been taken to remove suspension of cotton exports registration. Registration of cotton exports will be allowed by the government," Commerce and Textiles Minister Anand Sharma told reporters here after meeting Agriculture Minister Sharad Pawar. Last month, the government had lifted the ban on exports but limited the exports to registration certificates (RCs) already issued before the ban was imposed on March 5. No fresh export RCs were to be issued. Today's decision comes against the backdrop of Pawar writing to the Prime Minister objecting to the government's export policies towards certain farm items like cotton, sugar and milk. Sharma said there would not be any quantitative restrictions on registration for exports, but the group of ministers (GoM) would review the situation in two-three weeks. "We have accepted agriculture ministry's data on cotton production. Based on revised estimates of the Cotton Advisory Board as well as the agriculture ministry, we have decided to remove suspension on registration of cotton exports," he added. Earlier this month, the Cotton Advisory Board (CAB) had revised production estimates upwards to 34.7 million bales of 170 kg each from 34.5 million bales for the current season. It has also revised domestic consumption estimates downwards to about 25.0 million bales from 26.0 million bales earlier. The Agriculture Ministry too has revised upwards cotton output to 35.2 million bales from 34.08 million bales. Before the ban was imposed, the government had issued RCs for about 13.0 million bales. PTI