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By
Fibre2Fashion
Published
Dec 4, 2018
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India reportedly rejects US charges at WTO on cotton MSP

By
Fibre2Fashion
Published
Dec 4, 2018

India has reportedly rejected the US allegation of subsidising cotton beyond the World Trade Organisation (WTO) limit, with a Geneva-based Indian official saying its market price support is aimed at helping poor farmers who may resort to selling under distress and procurement by government agencies only accounts for a very small part—2 per cent—of total production.



The US had earlier accused India of providing substantial market price support for cotton well in excess of India's WTO spending limits.

India’s method of calculating and reporting its support is consistent with WTO regulations, a news agency reported quoting the unnamed Indian official.

India's figures on total value of production are publicly available and are not included in WTO notifications as it is not mandatory. The United States had alleged that India was substantially under-reporting the value of its minimum support price (MSP) for cotton.

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