Announcement of lifting Cotton export ban is cheating with farmers: Narendra Modi

Gandhinagar, 12 March, 2012

Gujarat Chief Minister Shri Narendra Modi today in a statement said that central government’s announcement on lifting ban on cotton export is clearly a cheating with cotton growing farmers of Gujarat and the country. Modi said, there’s no fresh approval given for export of cotton, not only this but approvals through registration given for cotton export earlier have also been put under check, for which, no time frame has been declared. This has opened new gates of corruption.

Chief Minister said that Gujarat Congress leaders were making big claims about successful discussion with central commerce minister Anand Sharma and political secretary Ahmed Patel, but the notification issued today has punctured their claims. Lakhs of farmers of Gujarat are cheated under their political game plan.

The Chief Minister further said that farmers were hoping that the centre will lift ban on cotton export and farmers will be rescued from crores of rupees of loses, but the central government has poured cold water over such hopes.

The Chief Minister reminded that he had sent a letter to the Prime Minister alerting him against collusion of Congress government in centre and some established corrupt elements. The PM had assured that a group of ministers(GoM) would take a decision on this, but now we find that the GoM has taken no decision on this direction. This shows there’s something really wrong going on.

The Chief Minister said, as Gujarat’s all farmers, market yards, APMC, cotton ginners associations opposed cotton export ban in one voice and declared indefinite strike till ban if lifted, the centre made false announcement that cotton export ban was being lifted. But today’s notification clearly shows that there’s no provision for fresh export, also those who have registered earlier are put under check before they can get permission to export. There’s no time frame declared for this procedure, which has opened the gates of corruption.

The farmers of Gujarat will not tolerate this breach of trust of Congress government in centre, the Chief Minister said.

Gandhinagar, Monday: Chief Minister Narendra Modi described the Congress-ruled Centre’s latest notification on cotton export announced today as cheating with lakhs of cotton growers of Gujarat and other states.

Reacting sharply to the notification, he said it clearly states that it never allowed exports of cotton and it would also investigate the export of the commodity earlier, incorporating a clause that registration allowed earlier have to be reinvestigated with no time frame.

It has also exposed the lies of AICC political secretary Ahmed Patel and other Congress leaders from Gujarat that the so-called ban on export was lifted by Union Commerce Minister Anand Sharma at their behest. The tall claim has burst like a balloon.

He recalled that in his earlier letter to the Prime Minister asking him to withdraw the ban on export as he had expressed suspicion that it was to help certain vested groups. His suspicion seems to have proved correct.

Mr. Modi said that it was only after the entire cotton supply chain of Gujarat, starting from farmers and market yards to ginners’ association collectively threatened indefinite strike that the government allowed the lie to circulate to give an impression that the ban has been lifted. It was a lie to mislead the farmers and common man.

The Chief Minister said that the Gujarat farmers would not take this cheating by the Congress led Central Government lying down.

To be published in the Gazette of India Extraordinary Part II Section 3, Sub Section (ii)

Government of India

Ministry of Commerce & Industry

Department of Commerce

Udyog Bhawan

Notification No. 106 (RE-2010)/2009-14

New Delhi, Dated 12^th March, 2012

Subject:- Removal of Prohibition on export of cotton (Tariff Codes 5201 and 5203)

S.O. (E) In exercise of the powers conferred by Section 5 of the Foreign Trade (Development & Regulation) Act, 1992 (No.22 of 1992) read with Para 2.1 of the Foreign Trade Policy, 2009-14, the Central Government hereby withdraws the Notification No. 102 (RE-2010)/2009-14 dated 05.03.2012 and makes the following amendments with immediate effect in respect of Sl. No. 161 A {ITC(HS) Classification}.

2. The entries against Sl. No. 161 A in Chapter 52 of ITC(HS) Classification} will be as follows:-

Chapter 52

3. Procedure of obtaining Registration Certificate (RC) was notified in Notification No. 63 (RE-2010)/2009-14 dated 04.08.2011 and modified by Notification No. 74 (RE-2010)/2009-14 dated 12.08.2011. Time to export (validity of RC) was “30 days from issue of RC”. Because of prohibition imposed by Notification No. 102 (RE-2010)/2009-14 dated 05.03.2012, this time limit may require to be extended in respect of those RCs, that were valid as on 05.03.2012 and for which LEOs are yet to be issued & exports completed. All RCs would need to be submitted to DGFT for scrutiny and revalidation. Exports can be effected only after RCs are revalidated.

4. Issue of new RCs stands suspended until further orders.

5. Policy Circular No. 58 dated 09.03.2012 covers those RCs for which LEOs have been issued.