The Apparel Export Promotion Council (AEPC) has welcomed the Government of India’s decision to temporarily exempt all customs duties on cotton imports from June 1, 2026, to October 30, 2026. The move is expected to improve cotton availability for the Indian textile and apparel sector while providing significant relief across the value chain.
Welcoming the announcement, Dr. A. Sakthivel, Chairman, AEPC, expressed gratitude to Prime Minister Narendra Modi, Finance Minister Nirmala Sitharaman, Commerce and Industry Minister Piyush Goyal, Agriculture and Farmers Welfare Minister Shivraj Singh Chouhan, and Textiles Minister Giriraj Singh for their timely intervention and support for the textile and apparel industry.
Dr. Sakthivel also conveyed special appreciation to Minister of State for Information & Broadcasting and Parliamentary Affairs, L. Murugan, for his continued support, effective coordination and proactive efforts in addressing the concerns of the textile and apparel sector.
According to AEPC, the temporary exemption is expected to lower input costs across the textile and apparel industry, improve cotton availability and enhance the competitiveness of Indian exports. The measure is expected to provide particular relief to small and medium enterprises that have been affected by rising cotton and yarn prices.
Dr. Sakthivel stated that removing customs duty on cotton imports is a timely and necessary step that will help moderate domestic cotton prices. He also appealed to spinning mills to pass on the benefits of reduced cotton costs by rationalising yarn prices, which would help stabilise the textile value chain and enable garment exporters to execute orders more competitively in global markets.
He noted that AEPC has consistently raised the issue with the Ministries of Finance, Commerce & Industry, Agriculture and Textiles through meetings and representations, highlighting the urgent need for duty-free cotton imports. The Government’s decision, he said, reflects its commitment to supporting the growth and competitiveness of the textile and apparel industry.
AEPC believes that the temporary duty exemption will strengthen India’s position as a reliable global sourcing destination, improve export competitiveness and contribute significantly to the growth of the country’s textile and apparel exports.
