Centre extends import duty exemption on cotton till 31 December 2025
The Finance Ministry announced on 28 August 2025 that the import duty exemption on cotton (HS 5201), in force from 19 August, would be extended from 30 September to 31 December 2025.
Summary
The Union Finance Ministry announced on 28 August 2025 that the import duty exemption on cotton (HS 5201) would be extended until 31 December 2025. The Centre had temporarily exempted cotton from import duty from 19 August to 30 September 2025 to improve availability of cotton for the textile sector. The extension is meant to support exporters further, with a formal notification to follow.
Key facts
- Announced
- 28 Aug 2025, Ministry of Finance
- Product
- Cotton (HS 5201)
- Original exemption
- 19 Aug – 30 Sep 2025
- Extended till
- 31 Dec 2025
- Purpose
- Raw material for textile sector; support exporters
Practice MCQs 2 questions
On 28 August 2025, the Centre extended the import duty exemption on cotton (HS 5201) till:
Show answer
Correct answer: C — 31 December 2025
The exemption, originally from 19 August to 30 September 2025, was extended till 31 December 2025.
The temporary import duty exemption on cotton, later extended in August 2025, had originally come into force on:
Show answer
Correct answer: D — 19 August 2025
The Centre had temporarily exempted cotton from import duty from 19 August 2025 till 30 September 2025.