New Delhi, 31 October (H.S.): The Central Government has extended the deadline for duty-free imports of cotton by two months, until December 31, 2026, to ensure adequate availability of raw cotton for the domestic textile and apparel industry and help reduce production costs.

The Department of Revenue under the Ministry of Finance announced the extension. The Central Board of Indirect Taxes and Customs (CBIC) issued a notification in this regard on October 30. The duty exemption, which was earlier scheduled to remain in force until October 31, 2026, will now continue until December 31, 2026.

In a statement, the Ministry of Finance said, This extension is expected to reduce production costs in the textile and apparel sector. It will provide relief to textile manufacturers as well as consumers, while also safeguarding the interests of domestic farmers.

The ministry further stated that the move would help ensure better availability of cotton in the market and is expected to have a positive impact on the performance of the domestic textile industry, particularly small and medium enterprises (SMEs).

It may be recalled that the government had announced a customs duty exemption on cotton imports in May, initially allowing the duty-free import of the commodity for five months, until October 31, 2026.

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Hindusthan Samachar / Jun Sarkar