Now demand for ban on cotton exports

17 May 2022 , 08:59 AM

Readymade garment exporters are now demanding that India should ban export of cotton. They are making this demand in response to rising cotton prices. Sharp rise in price of cotton has increased the cost of production of Indian manufacturers of readymade cotton garments. Cotton prices have risen by around 40% since the beginning of 2022.  Textiles Minister of Government of India, Piyush Goel, will hold a meeting with exporters of readymade cotton governments on 17^th May. It needs to be mentioned here that India will lose its foreign exchange earnings if it keeps on banning exports.  The country needs more foreign reserves at a time when its oil imports have become costlier. It also needs additional foreign reserves to provide some support to rupee against the rising dollar.