Central Government Extends Cotton Import Duty Exemption Until December 31, 2025

The Ministry of Finance has recently shared a notification dated August 28, 2025, to the Central Government regarding import duty exemption on cotton and also published in the Gazette of India.

To expand the accessibility of cotton for the Indian textile sector, the Central Government had temporarily exempted the import duty on cotton from August 19, 2025 till September 30, 2025. In order to support exporters further, the Central Government has decided to extend the import duty exemption on cotton (HS 5201) from September 30, 2025 till December 31, 2025.

The main purpose of taking this action is to exempt cotton from customs duty and the Agricultural Infrastructure and Development Cess and additional tax charged under the Finance Act, 2021.

To know complete details, refer the below mentioned notification-