Immediate ban order likely on waste cotton export to India
Tuesday, 15 March 2011
FE Report
Textile Minister Abdul Latif Siddiqui Monday said his ministry is likely to issue a ban order immediately on export of waste cotton, a by-product from spinning mills, to neighbouring India. He said this while addressing a view-exchange meeting with Bangladesh Textile Mills Association (BTMA) leaders at its office in the city. "I've already given my opinion relating to export restriction on waste cotton to the neighouring country (India)," the minister said. Earlier, India restricted export of raw cotton to Bangladesh mainly due to its production fall in major cotton growing countries resulting in record price spike of the clothing raw material. Spinning mill owners said this new move on the export ban would make the item widely available to local 'textile' manufacturers. Prior to the announcement by the textile minister, former BTMA president Matin Chowdhury urged the minister to stop the export of waste cotton from Bangladesh. The minister advised the BTMA leaders to talk to the finance minister about the negative impact of the new European Union's (EU) rules of origin that had taken effect from January 2011. BTMA president Jahangir Alamim said the new EU single-stage criterion is adversely affecting the country's primary textile mills. Under the new EU rules, ready-made garment exporters can now procure fabrics from a third country and export by manufacturing garments. The BTMA president said they need government assistance to save the textile sector to combat the new EU rules.
Textile Minister Abdul Latif Siddiqui Monday said his ministry is likely to issue a ban order immediately on export of waste cotton, a by-product from spinning mills, to neighbouring India. He said this while addressing a view-exchange meeting with Bangladesh Textile Mills Association (BTMA) leaders at its office in the city. "I've already given my opinion relating to export restriction on waste cotton to the neighouring country (India)," the minister said. Earlier, India restricted export of raw cotton to Bangladesh mainly due to its production fall in major cotton growing countries resulting in record price spike of the clothing raw material. Spinning mill owners said this new move on the export ban would make the item widely available to local 'textile' manufacturers. Prior to the announcement by the textile minister, former BTMA president Matin Chowdhury urged the minister to stop the export of waste cotton from Bangladesh. The minister advised the BTMA leaders to talk to the finance minister about the negative impact of the new European Union's (EU) rules of origin that had taken effect from January 2011. BTMA president Jahangir Alamim said the new EU single-stage criterion is adversely affecting the country's primary textile mills. Under the new EU rules, ready-made garment exporters can now procure fabrics from a third country and export by manufacturing garments. The BTMA president said they need government assistance to save the textile sector to combat the new EU rules.