The government has exempted cotton imports from all customs duties for 43 days, from August 19 until September 30, to stabilize domestic prices and help garment exporters compete against rivals in the American market. This decision is expected to lower input costs across the textile value chain and improve the sector’s competitiveness.
The article notes that India’s textile industry is facing a double blow from the new U.S. tariffs and high domestic prices. The government’s decision to remove the import duty, which was a combination of an 11% BCD and a 10% AIDC (Agriculture Infrastructure Development Cess), is a welcome measure to help the industry.