Import duty cut to improve cotton supply, lower input costs: Textile Ministry
Business 30 May, 2026

Import duty cut to improve cotton supply, lower input costs: Textile Ministry

Business To Business, New Delhi, 30th May, 2026:    The Centre's decision to exempt all customs duties on cotton imports from June 1 to October 30, 2026, is expected to improve the availability of cotton for the domestic textile sector, reduce raw material costs, and enhance the global competitiveness of Indian textile and apparel manufacturers.
According to the Ministry of Textiles, the temporary duty exemption will help ensure adequate cotton supplies for the industry during the period.
Industry bodies welcomed the move, describing it as timely support for the sector. The Apparel Export Promotion Council (AEPC) said the measure would augment cotton availability for the Indian textile and apparel industry and provide much-needed relief across the entire value chain.
The exemption is expected to benefit:

  • Cotton spinning mills by improving access to raw materials.
  • Textile manufacturers through lower input costs.
  • Apparel exporters by enhancing cost competitiveness in international markets.
  • The broader textile value chain, including garment producers and ancillary industries.
The decision comes at a time when the textile industry has been seeking measures to ensure stable cotton supplies and maintain export competitiveness in a challenging global market.

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