The government has decided to exempt all customs duty on import of cotton to lower the price of cotton.
This exemption would benefit the textile chain-yarn, fabric, garments and made ups and provide relief to textile industry and consumers, a Ministry of Textiles release said on Thursday (14 April).
According to the ministry, the industry has been demanding for removal of 5 per cent Basic Customs Duty (BCD) and 5 per cent 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.
The notification shall come into effect from Thursday (14 April) and will remain in force upto and inclusive of the 30 September 2022, the ministry said.
The ministry added that the removal of import duty on raw cotton should have salutary effect on cotton price in India.
As you are no doubt aware, Swarajya is a media product that is directly dependent on support from its readers in the form of subscriptions. We do not have the muscle and backing of a large media conglomerate nor are we playing for the large advertisement sweep-stake.
Our business model is you and your subscription. And in challenging times like these, we need your support now more than ever.
We deliver over 10 - 15 high quality articles with expert insights and views. From 7AM in the morning to 10PM late night we operate to ensure you, the reader, get to see what is just right.
Becoming a Patron or a subscriber for as little as Rs 1200/year is the best way you can support our efforts.