Cotton export: Deaf to reason

The producer is the consumer's best friend. This is a maxim that governments somehow tend to ignore while taking extremely short-sighted decisions. The ban on issuing fresh registrations for cotton exports and allowing traders only to fulfil pending contracts falls precisely in this category. It sends out bad signals to growers ahead of the new planting season, which begins in less than a month's time in North-West India and takes off elsewhere with the arrival of the monsoon after mid-June. Prices of kapas (seed-cotton) are, as it is, ruling about 40 per cent lower over last year.

Read Full Story>>