Call to Protect Indigenous Cotton Sector Amid US Tariffs

18-Aug-2025 04:13 PM

Chennai. The Tamil Nadu government has urged the Centre to take immediate precautionary measures to protect the indigenous cotton textile industry from the adverse effects of high-level tariffs being imposed in the US.

The US is a huge market for Indian textile products and Tamil Nadu also exports it there on a large scale. From August 7, 25 per cent import duty has been imposed on Indian textile products in the US, while it has been announced that it will be doubled to 50 per cent from August 27.

On the other hand, very low taxes have been imposed on textile products from competing countries like China, Pakistan, Bangladesh and Vietnam. In such a situation, there is a possibility of Indian textile exports to the US coming to a halt.

The Indian cotton textile industry is largely dependent on the US market for exports of its products and hence it should not be allowed to slip out of hand.

The proportional impact of the US tariff will be more on the cotton industry of Tamil Nadu than on other states. It is noteworthy that the textile sector is the biggest foreign exchange earning industry in Tamil Nadu, therefore the concern of the state government has naturally increased.

About 75 lakh people are employed directly and indirectly in the cotton industry of Tamil Nadu and Tamil Nadu has an important place among the states that contribute the most to the export of textile products in the country.

The Chief Minister of Tamil Nadu has warned that if the 50 percent tariff is implemented in the US and the Indian government does not take any necessary steps immediately, then the employment of about 30 lakh people in the state will be in danger.

In a letter sent to the Prime Minister, the Chief Minister of Tamil Nadu has given many important suggestions for the protection of the cotton textile sector.