Overview

• The Finance Ministry extended the import-duty exemption on raw cotton (HS 5201) until December 31, building on a prior waiver that ran from August 19 to September 30.
• The government said the measure is intended to ensure adequate availability for the domestic textile industry and to support exporters, noting that further notifications are expected.
• AAP convenor Arvind Kejriwal criticized the decision as harmful to farmers and alleged it was taken under pressure from U.S. President Donald Trump.
• Kejriwal claimed removing the levy makes U.S. cotton roughly Rs 15–20 per kilogram cheaper than Indian cotton and warned that farmers’ October arrivals could be forced lower.
• He urged reimposing the 11% duty on U.S. cotton and called for higher tariffs on U.S. goods, announcing a September 7 rally in Chotila, Gujarat to oppose the policy.