Commodity Online
NEW DELHI: Cotton exporters have been directed to register their contracts with Textile Commissioner before making shipments, a decision aimed to keep track on quantities being exported.

"The contracts for export of cotton will be registered with the Textile Commissioner prior to shipment. Clearance of cotton consignments by Customs should be after verifying that the contracts have been registered," Director General of Foreign Trade said in a notification issued in New Delhi.

Confederation of Indian Textile Industry had raised this request before the government as it will enable the authorities to keep a watch on the quantity of exports.

The prices of cotton have increased despite record production as huge and uncontrolled export of cotton was taking place.

Textile Commissioner carries out techno-economic surveys and advises the Government about the general economic health of the textile industry.

Earlier this month the government had scrapped import duty on cotton to boost domestic supply for the textile industry.

The 10 percent customs duty on cotton imports has been abolished along with 4 percent special additional duty with effect from 8th July. That apart, one percent drawback benefits (refund of local taxes) on exports of raw cotton have also been withdrawn, a senior Textile Ministry official said