OSMA Welcomes Centre’s Decision to Waive Cotton Import Duty

Coimbatore: The Tamil Nadu Open End Mills Association (OSMA) has warmly welcomed the Central Government’s decision to waive the 11 per cent import duty on cotton from June 1 until October 31, 2026.

In a notification issued on May 30, the Centre announced that the 11 per cent import duty on cotton would be suspended from June 1. The move has been widely welcomed by textile industry stakeholders, who believe the exemption will improve cotton availability and provide much-needed relief to the sector.

Expressing the Association’s appreciation, OSMA President Mr. Arulmozhi thanked the Central Government for positively responding to the collective representations made by textile associations across the country.

“On behalf of OSMA, we express our sincere gratitude to the Central Government for acceding to the long-standing demand of the textile industry and waiving the 11 per cent import duty on cotton until the end of October,” he said.

Mr. Arulmozhi noted that cotton prices, which have been on an upward trajectory over the past month, are expected to moderate following the announcement, thereby easing pressure on textile manufacturers.

He further pointed out that the price of cotton waste, a crucial raw material for Open End (OE) spinning mills, continues to remain excessively high. To address this issue and ensure adequate domestic availability, he urged the Government to impose an export duty of ₹20 per kilogram on cotton waste exports.

“The Government must take proactive measures to ensure that cotton waste remains available within the country at affordable prices, enabling OE mills to operate competitively and sustainably,” he said.

Mr. Arulmozhi also expressed the Association’s gratitude to Tamil Nadu Chief Minister Joseph Vijay for taking up the issue with the Central Government and advocating for the withdrawal of the 11 per cent import duty on cotton.

“We place on record our heartfelt thanks to the Hon’ble Chief Minister for his timely intervention and continued support to the textile industry,” he added.