According to a statement from the Brazilian Cotton Farmers Association (Abrapa), Brazil is negotiating with India to request tariff-free quota for 100,000 tons of Brazilian cotton exported to India.
Abrapa said:
– A group of government officials and Brazilian cotton farmers will visit India this week, seeking to sign an agreement to implement quotas.
– Cotton (all type of cotton) exports to India pay an import tax of 11%
The benefits of the agreement are a driving force for Brazil’s expanding cotton industry (expected to surpass the US this year to become the world’s No. 1 cotton exporter) – according to the US Department of Agriculture.
Celestino Zanella (head of Abrapa) said: “We believe that the larger amount of Brazilian cotton in India will supplement their production, especially this year when their production is expected to decrease from 7% to 10%. %.”.
Cotco (Based on Business Standard site