The textile ministry of India has finally stepped forward to address concerns about the non-issuance of transaction certifications for organic cotton supplied to Bangladeshi importers.
In a meeting last Monday, the country’s government asked its cotton suppliers to find a solution as quickly as feasible.
“Gujarat Cotton Corporation called us on Wednesday and assured us of finding a solution to the matter shortly,” Mohammad Ali Khokon, president of the Bangladesh Textile Mills Association (BTMA), told The Business Standard.
“Another supplier has already addressed it,” he added, expressing hope that everything would be well shortly.
The secretary to India’s textile ministry said non-fulfilment of commitment amounts to creating a bad image of the country as a whole and affects bilateral trade relations. Gujarat Cotton Corporation in a letter to the BTMA on Wednesday said, “We have contacted our buyers by sending a proposal for settling the pending TC issue by email” The supplier said they never failed to fulfil obligations to buyers before except for the organic TC issue.
Bangladesh’s cotton importer says Indian supplier has resolved transaction certificate (TC) issue. Importers say nine Indian suppliers have not been giving transaction certificates against 16,100 tonnes of organic cotton imported by 18 Bangladeshi companies. Bangladesh imported 7.5 million bales of raw cotton in FY20, and more than a quarter of it came from India.
