Government exempts all customs duty on Cotton imports till September 30, 2022

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Categories: Press Release

The Government has decided to exempt all customs duty on the import of cotton to lower the price of cotton in the public interest. This exemption would benefit the textile chain- yarn, fabric, garments, and made ups and provide relief to the textile industry and consumers.

The industry has been demanding for the removal of 5% Basic Customs Duty (BCD) and 5% Agriculture Infrastructure and Development Cess (AIDC) on raw cotton.

The Central Board of Indirect Taxes and Customs (CBIC) notified the exemption from Customs duty and Agriculture Infrastructure development Cess for import of cotton.

This notification shall come into effect from April 14, 2022 and will remain in force upto and inclusive of September 30, 2022.

Removal of import duty on raw cotton should have a salutary effect on cotton price in India.

The Press Release can be accessed at: https://www.pib.gov.in/PressReleasePage.aspx?PRID=1816875

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