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Thread: Ministry of Textiles - Cotton Control Order,1986

  1. #1
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    Thumbs up Ministry of Textiles - Cotton Control Order,1986

    Ministry of Textiles

    COTTON CONTROL ORDER, 1986


    CENTRAL GOVERNMENT NOTIFICATION NO. 8/37/85-TPC
    DATED 2ND APRIL, 1986.


    In exercise of the powers conferred by section 3 of the Essential Commodities Act, 1955(10 of 1955), the Central Government hereby makes the following Order, namely:-


    1. Short title, extent and commencement-

    (1) This order may be called the Cotton Control Order, 1986.
    (2) It extends to the whole of India.
    (3) It shall come into force on the date of its publication in the Official Gazette.


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    Thumbs up Cotton Control Order,1986 - Repeal and saving

    Cotton Control Order,1986

    2. Repeal and saving

    The Cotton Control Order, 1955 is herby repealed:
    Provided that any order made, notification issued, licence granted, right accrued, penalty incurred, or anything done or deemed to have been done under the said Order or any corresponding Order in force shall be deemed to have been made, issued, granted, accrued, incurred or done under the corresponding provisions of this Order.

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    Thumbs up Cotton Control Order,1986 - Definition

    Cotton Control Order,1986

    3.Definition -

    In this Order, unless the context otherwise requires:-

    (a) 'Contract' means a ready delivery contract;

    (b) 'Cotton' means-

    (1) Ginned cotton; and
    (2) Ginned and pressed cotton, and includes both Indian and foreign cotton, but excludes all the wastes comprising either 100 per cent cotton or a mixture of cotton and non-cotton fibres thrown out during various processes in the spinning of cotton
    (3) Unginned Cotton

    (c) 'Cotton ginning factory' means any place where cotton is ginned or where cotton fibre is separated from cotton seed by any process whatever, involving the use of steam, water or other mechanical power or of electrical power;
    1. A mended vide Extra-Ordinary Gazette Notification No. 137 published on 24th March, 1994 in Part II Section 3, Sub-Section II of the Gazette.

    (d) 'Cotton pressing factory' means any place where loose cotton is pressed into bales by the use of steam, water or other mechanical power or of electrical power;

    (e) 'Cotton ginning and pressing(factory means any place where both cotton ginning and cotton pressing processes as defined in sub-clauses(c) and (d) are carried out;

    (f) 'Manufacturer' means a manufacturer ^ ** of yarn

    (g) 'Person' includes:-

    (i) A Hindu undivided family
    (ii) A company
    (iii) A firm
    (iv) an association of persons or a body of individuals whether incorporated or not; and
    (v) every artificial juridical person, not falling within any of the preceding items;

    (h) 'Power' means electrical energy or any other form of energy which is mechanically transmitted and is not generated by human or animal agency

    (i) 'Ready delivery contract' means a contract which provides for the delivery of goods and the payment of a price therefor, either immediately or within seven days after the date of contract, the period under such contract not being capable of extension by the mutual consent of the parties thereto or otherwise;

    (j) An article shall be deemed to be in the possession of a person when it is held on behalf of that person by another person or when held by that person on behalf of another person;

    (k) The expressions 'yarn' and 'Textile Commissioner' shall have the same meaning as they have in the Textiles(Control) Order, 1986.


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    Thumbs up Cotton Control Order,1986 - Control on stocks

    Cotton Control Order,1986

    4.Control on stocks-

    (1) The Textile Commissioner may specify the maximum quantity of cotton which a manufacturer may have in his possession at any time;

    Provided that where a manufacturer ** has already entered into any contract for the purchase of cotton in excess of the maximum quantity specified, he shall either cancel such contracts or sell and deliver the excess quantity to a person nominated by the Textile Commissioner on such conditions as may be specified.

    (2) In exercising the powers under sub clause (1), the Textile Commissioner shall have regard to the following matters, namely:-

    (a) The consumption of cotton by the manufacturer for manufacturing yarn;
    (b) The capacity of the manufacturer to manufacture yarn; and
    (c) The need for promoting export of cotton textiles.

    ^ Cotton ginning factory, cotton pressing factory, cotton ginning and pressing factory or a person, other than an agriculturist or a Hindu Undivided Family of agriculturists growing cotton.

    ** Amended vide Extra- Ordinary Gazette Notification No. 219 published on 2nd May, 1994 in Part-II , Section 3,Sub-Section(ii)


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    Thumbs up Cotton Control Order,1986 - Packing

    Cotton Control Order,1986

    5.Packing. -

    Every owner or lessee of a cotton ginning factory or cotton pressing factory or cotton ginning and pressing factory shall pack cotton only in bales containing 170 kgs. of cotton with a tolerance of 5 kgs. on either side.

    Provided that the Textile Commissioner may if he is satisfied about the inability of any such owner or lessee to comply with the above direction, permit such owner or lessee to pack cotton in bales containing such quantity as may be specified by him.


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    Thumbs up Cotton Control Order,1986 - Power to call for information and power to inspect, search and seize

    Cotton Control Order,1986

    6. Power to call for information and power to inspect, search and seize -

    (1) The Textile Commissioner may with a view to securing compliance with this Order- **

    (a) require any manufacturer ^ to give any information with respect to quantities and varieties of cotton held in his possession;

    (b) inspect or cause to be inspected any book or other document belonging to the manufacturer;

    (c) enter and search or authorise any person to enter and search any premises and seize or authorise any person to seize any article in respect of which he has reason to believe that a contravention of this order has been committed and any other article in the premises which he has reason to believe has been or is intended to be used in connection with such contravention.

    (2) Every person who is required to give any information under sub clause (1) shall comply with such requisition.


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    Thumbs up Cotton Control Order,1986 - Delegation of powers

    Cotton Control Order,1986

    7. Delegation of powers- The Textile Commissioner, with the previous
    sanction of the Central Government, may by general or special order in writing authorise any officer to exercise on his behalf all or any of his functions and powers under this order.


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    Thumbs up Cotton Control Order,1986 - Appeal

    Cotton Control Order,1986


    8.Appeal-

    Any person aggrieved by an order of the Textile Commissioner made under this Order may prefer an appeal to the Central Government within thirty days of the date of communication to him of such order and the decision of the Central Government thereon shall be final.

    Provided that the Central Government may entertain an appeal after the expiry of said period of thirty days if the appellant satisfies the Central Government that he had sufficient cause for not preferring the appeal within the specified time.

    ^ Cotton ginning factory, cotton pressing factory, cotton ginning and pressing factory or a person, other than an agriculturist or a Hindu Undivided Family of Agriculturists growing cotton.

    **Amended vide Extra-Ordinary Gazette Notification No.19 published on 2nd March, 1994 in Part-__ Section 3, Sub-Section (ii).


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    Thumbs up Cotton Control Order,1986 - PUBLIC NOTICE - No. 3(5)/86-Cotton/ Dated: 4th July, 1988.

    Cotton Control Order,1986

    GOVERNMENT OF INDIA

    MINISTRY OF TEXTILES

    Office of the Textile Commissioner
    Post Bag No.11500, Mumbai-400020.



    No. 3(5)/86-Cotton/ Dated: 4th July, 1988.

    PUBLIC NOTICE

    Attention of the manufacturer who consumes cotton on his own spindles is invited to Notification No. 3/5/86-Cotton dated 17th February, 1986 issued by the Textile Commissioner under Clause 5(1) of the Cotton Control Order, 1955. In this regard, attention is invited to Government of India's Order No. 8/37/85-TPC dated 2nd April, 1986 called 'Cotton Control Order, 1986'. By its Clause 2 of this Order, the Cotton Control Order, 1955 was repealed but the Notifications issued under that order were saved. Accordingly, Textile Commissioner's Notification No. 3/(5)/86-Cotton dated 17th January, 1986 remains valid, and is deemed to have been issued under Clause 4(1) of the Cotton Control Order 1986 in view of the above, it is hereby clarified.

    Sd/-
    (GOVIND SWARUP)
    Additional Textile Commissioner

  10. #10
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    Thumbs up Cotton Control Order,1986 - NOTIFICATION - No. 3(5)/86-Cotton - Dated the 17th January, 1986

    Cotton Control Order,1986

    GOVERNMENT OF INDIA
    MINISTRY OF TEXTILES

    Office of the Textile Commissioner
    Post Bag No.11500, Mumbai-400020.

    No. 3(5)/86-Cotton
    Dated the 17th January, 1986.

    NOTIFICATION


    In exercise of the powers conferred on me by Clause 5(1) of the Cotton Control Order, 1955, and in supersession of the Textile Commissioner's Notification No. 10(1)73-74/CLB-II dated 19th December, 1974, I hereby direct that no manufacturer shall have at any time in his possession, a quantity of Indian Cotton required for consumption on his own spindles whether held by himself or held on his behalf by any other person and including quantities to be delivered against outstanding contracts, in excess of his six months' average consumption.

    The above limit shall be subject to the following exemptions:

    (i) In the case of manufacturer who is required to execute orders for defence purposes, the Textile Commissioner may, on an application made to him in this behalf, permit such manufacturer to keep stocks of Indian Cotton in excess of the above limit to the extent of requirement of cotton for executing the contract.

    (ii) In the case of a manufacturer who has exported in the preceding calendar year ending on 31st December, a part or whole of his packed production, the Textile Commissioner may, on application made to him in this behalf accompanied by necessary particulars, permit such manufacturer to keep Indian Cotton upto the limits indicated below:-

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font-size:10.0pt; font-family:"Times New Roman","serif";} </style> <![endif]--> <table class="MsoNormalTable" style="border-collapse:collapse;mso-table-layout-alt:fixed;border:none; mso-padding-alt:0in 5.4pt 0in 5.4pt" border="1" cellpadding="0" cellspacing="0"> <tbody><tr style="mso-yfti-irow:0;mso-yfti-firstrow:yes;mso-yfti-lastrow:yes; height:90.65pt"> <td style="width:231.1pt;border:none;padding:0in 5.4pt 0in 5.4pt; height:90.65pt" valign="top" width="308">
    (a) Manufacturer who has exported upto and including 10% of his packed production in the preceding calendar year ending on 31<sup>st </sup>December.

    (b) Manufacturer who has exported more than 10% but upto and including 25% of his packed production in the preceding calendar year ending on 31<sup>st </sup>December.

    (c) Manufacturer who has exported more

    than 25% of his packed production in the
    preceding year ending on 31st December.
    </td> <td style="width:231.1pt;border:none;padding:0in 5.4pt 0in 5.4pt; height:90.65pt" valign="top" width="308">
    Quantity equivalent to half months average consumption over and above the applicable stock limits specified above.


    Quantity equivalent to one months average consumption over and above the applicable stock limits specified above.



    Quantity equivalent to one and half months average consumption over and above the applicable stock limits specified above.
    </td> </tr> </tbody></table>
    (iii) The quantity of Indian Cotton which can be held in the possession of a manufacturer who
    has been using wholly or mainly foreign cotton, shall be as specified by the Textile Commissioner from time to time on application made to him by the said manufacturer in
    this behalf.

    (iv) The cases of mills which were closed and have been restarted recently either by the
    National Textile Corporation or private parties will be considered on merit on submission
    of application to the Textile Commissioner.

    It should be noted that:-

    (i) The average monthly consumption will be computed on the basis of the figures reported by the manufacturer to the Textile Commissioner in Form CST-H(M O 2 revised) for preceding cotton year ending on 31st day of August.

    (ii) The average consumption will be computed on the basis of full working stocks during the preceding cotton year without taking into consideration the price period, if any.

    This Notification comes into effect from 17th January, 1986.


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