Around 18 Bangladeshi spinners who imported organic cotton from India are yet to receive the authentication certificate – called a transaction certificate (TC) – from their suppliers even after a year of import. These spinners now fear huge losses following possible order cancellations as their buyers seek TCs as proof while buying raw materials from these mills.

The millers have repeatedly tried to reach out to the suppliers to get the certificates but have not succeeded, says Bangladesh Textile Mills Association (BTMA). Though some Indian suppliers have provided TCs for the supplied cotton, but these certificates were later proven to be fake and subsequently withdrawn by the Control Union.

According to the BTMA, Bangladesh imported 7.5 million bales of raw cotton in FY20, and more than a quarter of it came from India. But, the BTMA does not have information on the amount of organic cotton imported during this time. Indian suppliers are not giving transaction certificates for 16,100 tonnes of organic cotton imported by 18 Bangladeshi companies against 23 LCs. Certificates were issued to only three importers, which were later revoked as they were fake.

According to BTMA sources, they have identified at least nine Indian cotton exporters who are not certifying organic cotton or giving fake certificates. The list includes Agrotech Industries, Gujarat Cotton Corporation, Axiata Cotton, Glossy Impex, Ghanshyam Agro Resources, Basil Commodities, Kratos Impex, Sri Salasar Balaji Agrotech and Narendra Overseas.