Government Waives Customs Duty on Cotton Imports Until October 30, 2026
In a significant boost for India's textile sector, the Government of India has announced a complete exemption from customs duties on cotton imports for a five-month period, from June 1, 2026, to October 30, 2026.
According to a notification issued by the Finance Ministry, the temporary duty waiver is aimed at improving the availability of cotton for domestic textile manufacturers and easing raw material costs across the industry.
The move is expected to benefit the entire textile and apparel value chain by reducing input expenses, enhancing production efficiency, and supporting business growth. Small and medium-sized enterprises (SMEs), which form a large part of India's textile ecosystem, are likely to gain significantly from improved access to cotton at competitive prices.
The government stated that the measure has been carefully designed to strengthen the textile industry's competitiveness while balancing the interests of domestic cotton farmers. By ensuring adequate cotton supply in the market, the exemption is expected to support stable production and contribute positively to the sector's overall performance.
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