Farmers Association urged not to increase cotton import duty exemption
2025-08-29 15:18:44
Bharatiya Kisan Sangh urges government not to extend exemption in cotton import duty
The Bharatiya Kisan Sangh (BKS) has urged the central government to withdraw its decision to extend the exemption in cotton import duty till December 31. Also, warned that this move may harm domestic farmers and India may move towards dependence on imports. This appeal has been made in a letter to Finance Minister Nirmala Sitharaman.
According to the letter, BKS has said that India's cotton production is around 320 lakh bales, while domestic demand is around 39 lakh bales. A standard bale of cotton in India weighs around 170 kg.
Mills estimate that usually about 60-70 lakh bales of cotton are imported every year, which is about 12 percent of the country's total cotton use.
The farmers' organization said that this year the area under cotton cultivation has decreased by 3.2 percent compared to last year. "If the availability of domestic cotton seed does not increase, India will become an importer of cotton instead of an exporter," the Cotton Association of India (BKS) warned in the letter.
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It said cotton prices have already fallen from Rs 7,000 per quintal to Rs 6,000 per quintal following the announcement, and if duty-free imports continue till December, prices may fall further. "If cotton is imported at only Rs 2,000 per quintal, will anyone buy cotton from our farmers at Rs 2,000 per quintal?" ₹ 5,000 per quintal?" the Indian Cotton Association questioned in the letter.
The finance ministry had initially exempted cotton import duty from August 11 to September 30, 2025. However, the recent decision has extended this exemption till the end of December.
Indian Cotton Association general secretary
Mohan Mitra stressed that the government should reconsider the decision. "If the government does not stop this decision of exemption in cotton import, India will become dependent on foreigners in the cotton sector instead of becoming self-sufficient," he wrote in a letter to the finance minister.
Appealing to withdraw the notification immediately, he said that ensuring better prices for cotton...
The letter concluded with a call to encourage farmers and prevent the sector from going into dependence on domestic cotton. A copy of the letter was also sent to Union Agriculture Minister Shivraj Singh Chouhan.
