Govt Keeps Strict Vigil on Cotton Supply & Rates

02-Dec-2025 08:39 PM

New Delhi. The Minister of State in the Union Ministry of Textiles has stated that the government is taking several measures to maintain stable cotton prices in the domestic sector and protect the indigenous textile industry from the impact of fluctuations in international cotton prices.

Fluctuations in cotton prices primarily depend on the demand-supply equation and are also influenced by international market movements. Keeping this in mind, the Ministry of Textiles maintains constant contact with all stakeholders through the Textile Advisory Group and makes necessary policy changes accordingly.

Previously, an 11 percent customs duty was imposed on cotton imports, but the government withdrew it following the demand of the domestic industry.

There will be no customs duty on cotton imports until December 31, 2025. Furthermore, to protect the interests of farmers, the government has significantly increased the minimum support price for cotton and is also purchasing cotton in large quantities from farmers through its subordinate agency, the Cotton Corporation of India (CCI).

Government cotton procurement increased to nearly 10 million bales in the last marketing season. The government is closely monitoring the domestic cotton supply, availability, and price and will continue to make necessary efforts to maintain a balance in the interests of all stakeholders.