Central government extends import duty waiver on raw cotton imports until December 2026

The Government of India officially extended the customs duty exemption covering cotton imports until the 31st of December 2026. Customs duty exemptions on raw materials serve to lower import costs for domestic manufacturing sectors facing supply constraints or international price volatility.

The earlier policy framework provided temporary tariff relief that was due to expire, whereas the current extension maintains zero-duty imports to support the domestic textile value chain. Textile manufacturers, importers, and custom brokers must update their duty-benefit entitlement calculations and ensure proper documentation for incoming cotton shipments.

Monitor subsequent customs notifications and trade policy updates. Bottom line: Extended duty-free access stabilizes raw material expenses for domestic textile producers over the medium term.