Spinning mills in India have announced 1/3rd or 33% production cut to continue till June 15th. This production cut is in protest of yarn export policy of Indian government. <Read more>
The spinner have been asking for a lift of ban on yarn exports so that they can realise a better price and demand for yarn. The request is made due to poor domestic demand and price. on the other hand the cotton grower are also demanding for a lift of ban on cotton exports and the garment exporter are looking forward for a further price yarn drop. Textile ministry would soon be forced to revisit the textile policy if the protest continues for a much longer period. Textile ministry is to be blamed for it's in action both during the sudden or continuous price raise of yarn for about a year and half and now for suddenly drop in the cotton & yarn price.