New Delhi: The Government of India has extended the existing customs duty exemption on cotton imports until December 31, 2026, in a move to support the raw material requirements of the domestic textile industry.
The Department of Revenue, Ministry of Finance, notified the extension through Notification No. 35/2026-Customs dated October 30, 2026. The exemption, which was scheduled to remain in force until October 31, 2026, has now been extended by two months.
Support for Textile Manufacturers
The extension is intended to improve cotton availability for the domestic textile sector, address specialised cotton requirements and encourage value addition across the textile and apparel value chain.
The government expects the measure to provide greater flexibility to textile and apparel manufacturers in meeting their raw material needs. It is also expected to ease input cost pressures, support Micro, Small and Medium Enterprises (MSMEs), and strengthen the competitiveness of Indian textiles in domestic and international markets.
The extension is expected to help ensure the uninterrupted availability of raw materials, improve operational flexibility and support value addition across the cotton-based textile and apparel sector.
The Ministry of Textiles has reiterated its commitment to building a competitive, resilient and globally integrated textile industry, with a focus on value addition, employment generation and long-term growth across the sector.
