News Capsule: Cotton – Import Duty Ends
01-Jan-2026 03:06 PM
News Capsule: Cotton – Import Duty Ends
★ The Government of India’s permission for duty-free cotton imports, which was valid until December 31, 2025, ended last night. With this, an import duty of around 11% will now be applicable on cotton imports.
★ The domestic textile industry has been demanding the removal of import duty on cotton for a long time, in order to ensure the availability of raw material at globally competitive prices.
★ Meanwhile, the Cotton Corporation of India (CCI) is actively procuring cotton, and its purchases in the current season are expected to reach around 10 million bales (170 kg per bale).
★ With the duty-free import window not being extended, domestic cotton prices are expected to find some support in the local market.