CHENNAI: In a notification, the Finance Ministry said the import duty exemption will be effective from June 1, 2026.
The duty exemption will help increase the availability of cotton for the Indian textile sector.
The temporary duty exemption is expected to reduce input costs across the textile and apparel sector, thereby providing a targeted relief to manufacturers and consumers, while also keeping the interests of domestic farmers in mind.
Overall, the measure is anticipated to have a positive impact on the performance of the domestic textile industry, especially the small and medium enterprises, ensuring better availability of cotton in the market, the ministry said.