India extends customs duty waiver on cotton imports through year-end

India has extended its customs duty exemption on cotton imports until December 31, providing continued relief to the domestic textile and apparel manufacturing sector. The two-month extension of the duty waiver comes as policymakers seek to maintain adequate cotton supplies in the domestic market while managing production expenses for manufacturers.

The exemption is designed to lower input costs for textile and apparel producers, who have faced supply pressures and elevated material expenses. By keeping tariffs suspended on imported cotton, the government aims to ensure steady availability of raw material for mills and manufacturing units across the country.

Small and medium enterprises engaged in textile production are expected to benefit significantly from the extended duty relief. The measure helps these businesses maintain competitiveness while managing operational costs without passing the burden entirely onto consumers.

The exemption reflects government efforts to balance domestic agricultural interests with the needs of downstream industries. Officials have indicated that the extension will remain in effect through the remainder of the calendar year, providing manufacturers with visibility for production planning and sourcing strategies.