The Cotton Association of India (CAI) wants the period for duty-free cotton imports to be extended to November 30, 2022.

Recent disruptions in the global supply chain have delayed the India-bound cotton imports from Australia and the US. Shipments are expected to reach Indian ports after a delay of about four weeks.

Extension in the period of duty-free import, says CAI, will facilitate importers to receive the natural fiber and will also mitigate the sufferings of Indian importers. Acute shortage of containers has also added to the problems of importers.

India had decided to waive the import duty on cotton till September 30, 2022, when the new season began, and the period was later extended till October 31. Now, the Cotton Association of India has urged that the period be extended for another month.However, cotton prices have dropped by around 44 per cent. So it will be very difficult to decide when the peak arrival season will begin in India. Cotton prices are expected to further drop when arrivals increase in the weeks to come. The cotton textile industry contributed significantly to achieving last year’s merchandise export targets. India’s cotton production in the 2022/2023 season is likely to be up 12 per cent from a year ago.