
SURAT, May 19: The Union government has decided to review the textile policy that has remained untouched even in the wake of liberalisation and the World Trade Organisation.
Union Textile Secretary Shyamal Ghosh, who was in Surat in connection with a seminar on Jari and Handicrafts8217;, said a committee of experts would be appointed shortly for reviewing the textile policy. The terms of reference will be finalised within a month. He expected the committee to take about six months to table its report.
He said export of cotton should not be totally banned and at least one window should be kept open to meet that demand. Also, the interests of textile mills should also be kept in mind. The new policy will lay a special emphasis on this, he said.
When cotton production was more, the farmers complained of not getting enough support prices from the government. When they are given permission to export it, a hue and cry was raised over the increase of prices in the local market, he observed.
However, if exports are allowed in a year registering bumper crop and discouraged next year when there is a fall in production, there will be confusion and no demand the next year, he pointed out. He advocated that export of cotton was necessary.
If foreign clothes are allowed to be sold in Indian market, the interests of local manufacturers should also be considered, he said, maintaining that the new policy would take this aspect into account.
He announced that the Union government was planning to challenge the ban imposed by the European Economic Community on unbleached cotton cloth8217;s export from India. The Commerce ministry had been given the necessary papers. The 8220;harmful8221; decision will soon be challenged by the government to boost up exports, he said.