Spinners agree to reduce cotton yarn prices

Members are informed that the Ministry of Textiles, Government of India had convened a joint meeting on all India basis with all stakeholders of textile industry from Cotton to garments, Cotton Traders, Yarn Manufacturers, Fabric Manufacturers, Handloom, Powerloom, Made ups and including Woven and knitwear garment manufacturers (8.10.2010) in Chennai to discuss the current scenario in cotton and Yarn prices. This is the first time all sectors related to textile industry has participated in the meeting to come to an understanding in price related issues.

The Honble Union Minister of Textiles, Thiru.Dayanidhi Maran presided over the meeting. Thiru.K.K.S.S.R.Ramachandran, Hon??ble Minister for Handlooms & Textiles, Government of Tamil Nadu (TN) also participated.

Smt.Rita Menon, I.A.S., Secretary (Textiles), Shri. V.Srinivas,I.A.S., Joint Secretary, (Exports) and Shri. R.Rajagopal, I.A.S., Secretary to the Government, Handlooms, Handicrafts, Textiles & Khadi Department, Government of Tamil Nadu also participated.

From Garment Manufacturers side, along with Shri.A.Sakthivel, President and Shri.G.Karthikeyan, General Secretary of TEA (Tirupur Exporters' Association), Shri.Premal Udani, Chairman, AEPC also participated.

Shri. Viking A.C Easwaran, Shri. Emperor V. Palanisamy, Shri. M. Britto, Chairman HEPC and a representative from PDEXCIL also attended the meeting.

From Cotton Traders side, Shri.Dhiren Seth, President, Cotton Association of India, and Shri.Subhash Grover, Chairman and Managing Director of Cotton Corporation of India attended the meeting.

From the Mills side, Shri.Prem Malik, Vice President, CITI, New Delhi, Shri.Amit Ruparelia, Chairman, TEXPROCIL Shri.Manikam Ramasamy, Vice Chairman, TEXPROCIL and Shri.P.Appukutty, President, TASMA participated in the meeting.

Members may note that our President campaigned for the past three days in Chennai and met the Honble Union Minister of Textiles, Thiru.Dayanidh Maran and Thiru.K.K.S.S.R.Ramachandran, Honble Minister for Handlooms and Textiles, Government of Tamil Nadu along with our District Minister, Thiru. Vellakoil Saminathan, Hon??ble Minister of Highways and Minor Ports who had given all kinds of support and also took part in the said meetings.

Thiru.Vellakoil Saminathan was also instrumental for convening meeting on all India basis. President also met the concerned officials of Textile Ministry from both Central and State and because of his continuous efforts only, the said meeting has been arranged today on all India basis.

The Honble Union Minister of Textiles categorically stated that the cotton exports registration would be stopped once it reached 55 lakh bales and there would not be any further exports of cotton. The Hon??ble Minister called the each sector to deliberate the position.

Our President, Shri.A.Sakthivel had explained the stock of the situation and difficulties being faced by knitwear garment exporters in detail and requested to bring down the yarn prices to protect the whole garment sector. Shri.Premal Udani, Chairman, AEPC also insisted for reduction of cotton yarn prices. The participants from other sectors also explained the positions pertaining to their sectors.

Thiru.K.K.S.S.R.Ramachandran, Honble Minister for Handlooms & Textiles explained the paramount importance of textile industry in Tamil Nadu and also mentioned the initiatives taken by our Hon??ble Chief Minister and Tamil Nadu Government in the welfare of textile industry. The Honble Minister has requested all to have a peaceful understanding to protect the textile industry in Tamil Nadu.

After deliberations, Thiru.Dayanidhi Maran also explained the steps taken by the Central Government to protect the textile industry and requested all sectors to come to an understanding for the welfare of all textile sectors. Finally, the Minister advised the cotton traders to try and bring down the cotton prices to the maximum possible extent.

Both Ministers appealed to the mill sector and cotton sector that they should also bring down the cotton and cotton yarn prices.

After deliberations, it has been decided in the meeting to reduce the cotton yarn prices for all counts and for 40s Combed Hosiery Yarn, the price will be reduced to Rs.195/- per Kg and the proportionate reduction in price will also be carried out for other counts yarns. It was also decided to maintain the same yarn price for three months, even after the cotton prices goes down decline from the existing prices.

In this regard, SIMA, Coimbatore and TASMA will sign an agreement with TEA & AEPC shortly.

Finally, the participants appreciated and thanked the Hon??ble Union Minister of Textile, Thiru.Dayanidhi Maran, Tamil Nadu Government and officials from Central and State Governments for convening the meeting.

The Association is yours and will do its best efforts for the welfare of knitwear export sector.