The Joint Action Committee of Handloom and Power Loom Workers in Kerala, India, will organize the workers in the State to hold on December 8th,** the wrong policies formulated by the Central Government, and neglect the interests of the traditional textile industry.
Arakkan Balan, the convenor of the Joint Action Committee, said that about half a million employees are in crisis because of shortage of raw materials and rising yarn prices. The committee asked to stop the yarn exports, the government bought cotton and distributed cotton.
The committee also requested that the export of cotton and cotton yarn be stopped, and that the amount of 538 million rupees** as of March 31, 2007 be waived. The committee also requested the restoration of product tax rebates. The price of cotton in one year was adjusted from Rs 24,500 to Rs 48,500. The yarn price was adjusted from 590 rupees to 880 rupees. Because the central government allowed the export of cotton to other countries, regardless of the demand in the Indian domestic market, the price of cotton rose sharply.
In Kerala, about 260 crore of textile products were exported in 2009. Due to the increase in cotton prices, exports this year decreased to 220 crore.
The excessive price of cotton yarn is hitting the Indian textile industry. Power looms and hand loom companies in the private and cooperative sectors are in crisis. Textile exporters in the region were hit hardest, but they are gradually recovering from the effects of the worst economic crisis.
The Joint Action Committee of Handloom and Power Loom has decided to stop production on December 8th in order to seek the intervention of the Central Government.
Arakkan Balan, the convenor of the Joint Action Committee, said that about half a million employees are in crisis because of shortage of raw materials and rising yarn prices. The committee asked to stop the yarn exports, the government bought cotton and distributed cotton.
The committee also requested that the export of cotton and cotton yarn be stopped, and that the amount of 538 million rupees** as of March 31, 2007 be waived. The committee also requested the restoration of product tax rebates. The price of cotton in one year was adjusted from Rs 24,500 to Rs 48,500. The yarn price was adjusted from 590 rupees to 880 rupees. Because the central government allowed the export of cotton to other countries, regardless of the demand in the Indian domestic market, the price of cotton rose sharply.
In Kerala, about 260 crore of textile products were exported in 2009. Due to the increase in cotton prices, exports this year decreased to 220 crore.
The excessive price of cotton yarn is hitting the Indian textile industry. Power looms and hand loom companies in the private and cooperative sectors are in crisis. Textile exporters in the region were hit hardest, but they are gradually recovering from the effects of the worst economic crisis.
The Joint Action Committee of Handloom and Power Loom has decided to stop production on December 8th in order to seek the intervention of the Central Government.
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