Notification No. 35/2026-Customs, dated 30 October 2026, changes the expiry date in Notification No. 19/2026-Customs from 31 October to 31 December 2026. The existing customs-duty concession for eligible cotton imports therefore continues without a break for two more months.
What is exempt?
| Covered goods | Cotton falling under Customs Tariff Heading 5201 |
|---|---|
| Basic Customs Duty | Fully exempt under the original notification |
| Agriculture Infrastructure and Development Cess | Fully exempt under the original notification |
| Original validity | 1 June to 31 October 2026, inclusive |
| Revised expiry | 31 December 2026, inclusive |
| Amending instrument | Notification No. 35/2026-Customs, G.S.R. 960(E), dated 30 October 2026 |
The legal text of Notification No. 19/2026-Customs exempts the whole of the customs duty leviable under the First Schedule to the Customs Tariff Act and the whole of AIDC for the specified entry. Notification No. 35/2026-Customs substitutes only the expiry date.
What is not automatically exempt?
The notification is specific to cotton under heading 5201. Cotton yarn, fabric, garments or goods under another tariff heading do not become exempt merely because they are cotton-based.
The notification also does not itself exempt import IGST or every possible charge connected with import clearance. The Bill of Entry should separately show the treatment of each levy under the law and any other applicable exemption.
Who is affected?
The direct beneficiaries are eligible cotton importers. Spinning mills, textile and apparel manufacturers, and MSMEs may benefit commercially through improved raw-material availability or lower procurement pressure, but only the importer claiming the notification receives the customs assessment benefit directly.
The Government's 31 October release states that the measure is intended to support raw-material availability, domestic manufacturing and competitiveness while balancing the interests of the textile industry and cotton farmers.
Practical steps before importing
- Confirm tariff classification. Verify that the imported goods properly fall under heading 5201; do not classify by trade description alone.
- Quote both notifications. Keep Notification No. 19/2026-Customs and its amending Notification No. 35/2026-Customs available for the Bill of Entry and assessment record.
- Check the relevant customs date. The concession runs through 31 December 2026, inclusive. Coordinate shipment and clearance timing with the customs broker instead of relying only on the purchase-order or invoice date.
- Review every levy separately. Ensure BCD and AIDC are treated under the exemption and verify import IGST and any other amount independently.
- Update landed-cost forecasts. Textile businesses should revise procurement comparisons and cash-flow estimates for imports expected during November and December.
Do not assume another extension
The notified expiry is 31 December 2026. Businesses should not price January 2027 imports on a duty-free assumption unless a further official notification is issued.
Reviewed on 1 November 2026. This note summarises the notified exemption and does not replace tariff-classification or Bill-of-Entry advice for a specific consignment.