Overview

• India scrapped an roughly 11% import duty on raw cotton (HS 5201) from August 19 and extended the exemption through December 31, 2025, according to an official notice.
• Arvind Kejriwal called the move a betrayal of cotton growers and warned market prices could fall below ₹900 per 20 kg during the October–November harvest.
• He demanded restoration of the 11% duty, an MSP of ₹2,100 per 20 kg with assured procurement, and subsidies on inputs like seeds and fertilizers.
• Kejriwal urged Prime Minister Narendra Modi to impose a 75% tariff on U.S. goods, citing Washington’s 50% duties that have hit Indian textiles and diamond workers.
• Textile industry groups backed the waiver as a way to lower input costs and help revive export orders, while the government has not announced any reversal.