The Ministry of Finance, Department of Revenue, has issued a Customs Notification, No. 35/2025, effective from August 19, 2025, until September 30, 2025. This notification, issued under the powers of Section 25(1) of the Customs Act, 1962, and Section 124 of the Finance Act, 2021, provides a temporary exemption on the import of cotton. The Central Government, in the public interest, has exempted all forms of cotton falling under heading 5201 of the First Schedule to the Customs Tariff Act, 1975, from the full customs duty and the Agriculture Infrastructure and Development Cess (AIDC). This measure aims to facilitate the import of cotton for a limited period, likely to support the domestic textile industry or address supply-chain needs. The exemption is a time-bound measure, set to expire at the end of September 2025.
MINISTRY OF FINANCE
(Department of Revenue)
Notification No. 35/2025- Customs | Dated: 18th August, 2025
G.S.R. 561(E).–––In exercise of the powers conferred by sub-section (1) of section 25 of the Customs Act, 1962 (52 of 1962) read with section 124 of the Finance Act, 2021 (13 of 2021), the Central Government, on being satisfied that it is necessary in the public interest so to do, hereby exempts the goods of the description specified in column (3) of the Table below, falling under the heading of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975) (hereinafter referred to as the ‘Customs Tariff Act’), specified in the corresponding entry in column (2) of the said Table, when imported into India, from the whole of the duty of customs leviable thereon under the First Schedule to the Customs Tariff Act and from the whole of the Agriculture Infrastructure and Development Cess leviable thereon under the said section of the Finance Act, 2021 (13 of 2021), namely: –
TABLE
| Sl. No. | Heading | Description of goods |
| (1) | (2) | (3) |
| 1. | 5201 | Cotton |
2. This notification shall come into force with effect from the 19thday of August, 2025, and shall remain in force up to and inclusive of the 30thday of September, 2025.
[F. No. CBIC-190354/288/2021-TO(TRU-I)]
DHEERAJ SHARMA, Under Secy.
