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India waives cotton import duties for five months

India waives cotton import duties for five months

The Government of India has announced a full waiver of customs duties on cotton imports from June 1 to October 30, 2026, to ensure adequate raw material supply for the domestic textile industry.

The exemption covers both basic customs duty and the Agriculture Infrastructure and Development Cess (AIDC), reducing the cost of imported cotton during the off-season period.

According to the Textile Ministry, the temporary measure will support textile manufacturers, particularly MSMEs, by improving cotton availability, moderating input costs, and enhancing the global competitiveness of Indian textiles while safeguarding the interests of domestic cotton farmers.

The textile industry had long sought duty-free cotton imports to ease supply constraints and production cost pressures.

MKMA