The Tamil Nadu Spinning Mills Association (TASMA) has urged the Cotton Corporation of India (CCI) to not divert unsold cotton stocks with it to traders. “We wish to state that spinning mills are facing a positive revival in recent days on the arrival of garment orders. Their normal activities are picking up once again and would require more cotton,” said TASMA President AP Appukutti in a letter to CCI.
Asking CCI to retain cotton stocks with it, the TASMA chief said the association expects its members to lift the stocks by the end of August.
Allowing sale of cotton to traders could lead to a cascading effect on the value chain as they could escalate the costs with profit motive, he said, adding that this will ensure spinning mills did not face raw material shortage.