India has objected to Indonesia’s proposed import restrictions on cotton yarn at the World Trade Organization (WTO). The objection cites the potential impact on its textile exports.
Indonesia, in a WTO notification on 24th May, raised concerns about a serious threat to its domestic cotton yarn industry. It proposed safeguard measures to curb imports.
India has formally requested consultations with Indonesia under the WTO’s Agreement on Safeguards. These consultations aim to discuss the extension of these proposed trade measures.
India has suggested holding the consultations virtually between the 10th and 13th of June or on any mutually agreed date.
The objection is aimed at protecting India’s textile export interests. Such restrictions could hurt its cotton yarn shipments to Indonesia.
The case is being reviewed by the WTO’s Committee on Safeguards. This committee oversees the fair application of trade protection measures among member countries.