Cotton import duty suspended; CCI cuts sale price Rs 700/candy as spinners eye cheaper imports

Government has exempted cotton import duty from June 1 to October 31, easing domestic raw material costs. CCI, sitting on 32 lakh bales of a 105 lakh-bale procurement, trimmed sale price by Rs 700/candy. New import contracts expected from late July, offering relief to spinners and downstream textile and apparel brands.

— Source publishedMon, 1 Jun, 2026, 20:59 IST·First seen Mon, 1 Jun, 2026, 21:06 IST·Source BL · Consumer & Economy

What happened

Cotton Corporation of India · Government suspended cotton import duty from June 1 to October 31, easing domestic prices. CCI cut sale price by Rs 700/candy.

Key facts

  • Rs 700 per candy cut
  • Rs 2,300 per candy cut Friday
  • 105 lakh bales procured
  • 32 lakh bales stock
  • MSP Rs 8267/Rs 8667 per quintal
  • ICE 77.44 cents/lb
  • duty exempt June 1-Oct 31

Why this matters

Reassess private-label sourcing economics and consider locking longer-term supply agreements with spinners while raw cotton costs reset lower through October.

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