New Delhi, 31Octoberl: In a bid to augment the availability of cotton for the domestic textile sector, the government on Saturday extended the existing customs duty exemption on cotton imports till December 31, 2026.
Through the amendment, the existing exemption, which was available until October 31, 2026, has now been extended by two months.
The aim is to address specialised cotton requirements and support value addition across the textile and apparel value chain, the Ministry of Textiles said in a statement.
“The measure is expected to provide greater flexibility to textile and apparel manufacturers in meeting their raw material requirements, help ease input cost pressures, support Micro, Small and Medium Enterprises (MSMEs), and strengthen the competitiveness of Indian textiles in domestic and international markets,” the statement said.
According to the government, this move is expected to facilitate uninterrupted availability of raw materials, improve operational flexibility for the textile industry, and promote greater value addition across the cotton-based textile and apparel sector.
Meanwhile, India’s textile sector recorded strong export growth in August 2026, with total exports up 16.1 per cent year-on-year to Rs 29,776 crore. The cumulative textile exports during April–August 2026 reached Rs 1.43 lakh crore, registering growth of 10.3 per cent over the corresponding period of the previous year.
The exports of cotton yarn, fabrics, made-ups and handloom products grew by 24.1 per cent in August, while man-made yarn, fabrics and made-ups increased by 19.9 per cent.
