Archive · 6 Jan 2026

Cotton Prices Rise After Import Duty Exemption Ends

Cotton Prices Rise After Import Duty Exemption Ends

The price of raw cotton in India has gone up by more than 5% because the government stopped giving a special benefit on imported cotton.

This happened at the end of December 2025.

Now, Bangladesh, which buys a lot of Indian yarn, is thinking about adding a 20% tax on yarn imports to help its own yarn makers.

This could make Indian yarn more expensive in Bangladesh.

In India, the Cotton Corporation of India has bought a lot of cotton and is waiting to announce the price for the next year's crop.

Farmers are holding onto some of their cotton, waiting for better prices.

Sources