Centre Waives 100% Customs Duty On Cotton Imports Till October 30, Move Aims To Support Textile Industry & Boost Supply

New Delhi: In a major relief for India's textile and apparel sector, the Central government has announced a complete exemption from customs duties on cotton imports from June 1 to October 30, 2026.

The decision comes at a time when global geopolitical tensions have affected supply chains and created uncertainty in commodity markets.

According to an official notification, the temporary measure is aimed at improving cotton availability for the domestic textile industry and reducing the cost burden on manufacturers.

Relief for Textile and Apparel Industry

The removal of import duties is expected to lower raw material costs for textile and garment makers.

Industry experts believe the move will particularly benefit small and medium enterprises (SMEs), which are more vulnerable to fluctuations in cotton prices.

Better availability of cotton could also help stabilise production costs and support the competitiveness of Indian textile exports.

Government Balances Industry and Farmers' Interests

The government said the temporary exemption has been designed to provide relief to manufacturers and consumers while keeping the interests of domestic cotton farmers in mind.

The measure is expected to ensure adequate cotton supply in the market during the coming months without affecting long-term efforts to strengthen domestic production.

Rs 5,659 Crore Mission for Cotton Productivity

Earlier this month, the Union Cabinet approved a Rs 5,659.22 crore Mission for Cotton Productivity for the period 2026-27 to 2030-31.

The mission aims to address challenges such as low productivity, quality concerns and slower growth in India's cotton sector.

It is aligned with the government's 5F vision — Farm to Fibre to Factory to Fashion to Foreign.

Focus on Better Seeds and Higher Output

The mission will focus on developing high-yielding, climate-resilient and pest-resistant cotton seeds.

It will also promote modern farming techniques such as High Density Planting System (HDPS), closer spacing methods and integrated cotton management practices.

Special emphasis will be placed on increasing the production of Extra Long Staple (ELS) cotton, which is widely used in premium textiles.

Target of 498 Lakh Bales by 2031

The government aims to raise cotton production to 498 lakh bales by 2031 and improve lint productivity from 440 kg per hectare to 755 kg per hectare.

Around 32 lakh cotton farmers are expected to benefit from the mission, helping India move towards greater self-reliance in cotton production while strengthening the textile industry's growth prospects.