CBIC Exempts Cotton From Customs Duty & AICD Till 30 September, 2022

To stimulate textile exports, the central government has eliminated all customs tariffs on cotton imports until September 30, 2022.

According to the Finance Ministry, the exemption will assist the textile chain with yarn, fabric, clothing, and make-up while also providing relief to consumers. Textile exports would also benefit.

Currently, cotton imports are subject to a 5% basic customs tax with an additional 5% levied as the Agriculture Infrastructure Development Cess (AIDC).

"The notification shall come into effect on the 14th of April, 2022, and will remain in force up to and inclusive of the 30th of September, 2022," the notification said.

Notification No. 21/2022-Customs

Dated: 13th of April, 2022

Click Here To Read/Download Notification