Duty-free cotton imports will devastate small and marginal farmers, claims AIKS
The All India Kisan Sabha (AIKS) condemns the Union Government's decision to suspend the 11 per cent import duty on cotton from June 1 to October 30.
In a joint statement, AIKS President Ashok Dhawale and General Secretary Vijoo Krishnan said this move will put in peril lakhs of cotton farmers and workers who are already being heavily exploited by big business. The NDA Government has capitulated before the big business and sacrificed the interests of the farmers. It is bowing to global and imperial economic pressures, where trade liberalisation and free trade commitments are prioritised over the protection of Indian farmers and national agricultural imperatives. It is reported that India could import around 40 lakh bales of cotton this duty-free window of 5 months. This is bound to have an adverse impact on domestic cotton prices. It also will force a dependence on imports rather than promote self-reliance.
Cotton prices had risen in recent months (between February and April 2026), but this came after years of unstable prices, rising cultivation costs, and repeated losses faced by farmers. However, these prices fell by 3 per cent soon after the duty exemption was announced, raising fears that farmers will once again bear the burden of protecting industry profits. There is also no clear empirical evidence of a serious cotton shortage in the country.
"In this situation, opening the door to cheaper imports exactly during the sowing season of May-June sends a distressing signal to farmers who are making major investments in seeds, fertilisers, pesticides, and labour, the costs of which are rising hugely. The majority of Indian cotton farmers are small and marginal and receive negligible state support when compared to American or Australian farmers. The suspension of the import duty may also hurt the Cotton Corporation of India (CCI), which has already bought cotton from farmers at MSP,” said the statement.
