Union government extends cotton import duty exemption until December 31, 2025

As per a report by the Finance Ministry, the government has extended the exemption on cotton import duty until December 31, 2025. The duty waiver was initially introduced as a temporary measure from August 19 to September 30, 2025. But, it has now been extended to ensure steady cotton availability for domestic manufacturers and exporters.

Rakesh Mehra, Chairman, Confederation of Indian Textile Industry (CITI) has welcomed the decision, saying, the duty waiver would provide the much-needed support to the Indian textile industry which has been under strain ever since the US imposed a 50 per cent tariff on Indian export exports. Reflecting persistent appeals from industry bodies, the extension is a great move the Indian industry, adds Chandrima Chatterjee, Secretary General, CITI.

The extension provides the industry with the vital breathing space as talks toward a possible trade deal with the US continue, she notes.