Overview
- A finance ministry notification uses powers under the Customs Act and the Finance Act to exempt imported cotton from the basic customs duty and the Agriculture Infrastructure and Development Cess for a five-month window starting June 1, 2026.
- Coverage differs on the end date but most reports place the exemption through late October 2026, with some outlets citing October 30 and others October 31 as the final day.
- The government says the measure targets the cotton off-season to boost availability and stabilise markets while keeping farmers' interests in view.
- Industry groups including the Apparel Export Promotion Council and the Confederation of Indian Textile Industry welcomed the relief and urged spinning mills to pass on lower raw-material costs to yarn and garment makers.
- Officials framed the duty waiver as a short-term fix to lower input costs and support exports while a newly approved Mission for Cotton Productivity aims to raise yields and quality over the coming years.