“Under the pressure of Trump, the Narendra Modi government decided to remove the 11% duty imposed on cotton coming from America”. Describing Trump as a “coward” who has “bowed before countries which stood firmly against him”, Kejriwal also wondered “I don’t know what compulsions PM Modi have that he is not saying anything”.
In one of his sharpest attacks, Aam Aadmi Party (AAP) national convener Arvind Kejriwal on Thursday accused Prime Minister Narendra Modi of “betraying” India’s cotton farmers by removing import duties on American cotton under “pressure” from US President Donald Trump. Describing Trump as a “coward” who has “bowed before countries which stood firmly against him”, he also wondered” “I don’t know what compulsions PM Modi has that he is not saying anything”. The decision would make American cotton cheaper and harm Indian farmers he said, demanding immediate roll back of the decision on a day the Finance Ministry extended the order till December 31.
India should have responded strongly to America’s 50 % tariff with a 100 % tariff on its goods, like other countries have done, Kejriwal said, accusing PM Modi of failing to protect farmers and taking decisions “quietly”. “We demand that this order of withdrawing 11% import duty on cotton should be withdrawn with immediate effect import duty imposed again,” he said.
“PM Modi has taken some decisions behind our backs which are a huge betrayal of the farmers of the entire country. Recently, under the pressure of Trump, his government decided to remove the 11% duty imposed on American cotton. Now, there will be no duty on cotton coming from America from 19 August to 30 September, for 40 days during which Indian traders would have completed their requirement by the time Indian cotton comes to the market. American cotton which would be cheaper by an average of Rs 15-20 per kg,” he said
India should have taken a tougher stand against Washington, he said, adding “If Trump has imposed a 50 % tariff on Indian goods, we should have imposed a 100 % tariff on American goods. Are we a weak nation? This is a country of 140 crore people. We have a huge market, everyone wants a share of this market,” he said
The former Delhi CM warned that removal of duties on American cotton would devastate Indian farmers.
Government extends order till December 31
To augment availability of cotton for the Indian textile sector, the Central Government temporarily exempted the import duty on cotton from 19th August 2025 till 30th September, 2025. On Thursday, it extended the order further “to support exporters”. The Central Government has decided to extend the import duty exemption on cotton (HS 5201) from 30th September 2025 till 31st December 2025, the Finance Ministry said on August 28.
“PM Modi has taken some decisions that are very harmful for the farmers of our country and of which 90 % farmers are not even aware. Once these decisions are implemented, cotton farmers of Gujarat, Marathwada, Vidarbha, Punjab will be left with no option but to commit suicide. As it is cotton farmers were finding it difficult to sell their produce at the MSP,” Kejriwal said
SKM has also made similar demand
On Monday the Samyukt Kisan Morcha also demanded immediate scrapping of import tariff on cotton and declaring MSP at Rs 10075 per quintal
Recently the Finance Ministry notified the elimination of 11 % duty on cotton imports with immediate effect on August 19, which will remain in force up to September 30. The Government said the “elimination of import duty on cotton as well as Agriculture infrastructure Development Cess (AIDC) is necessary in the public interest”. On Thursday,
SKM leaders Rakesh Tikait and Hannan Mollah, however, said that the decision will result in a reduction in the price of imported cotton which, in turn, will push prices of domestic cotton downwards.
“Small cotton producers in India cannot compete with large, industrial-scale cotton farmers of the United States who have historically received massive government subsidies. The duplicity of US lobbying with the Indian government to reduce state support to the Indian cotton farmers is well documented. It has been estimated that, In the US, government subsidies are as high as 12 % of the total value of production of cotton while in India; government support to cotton farmers is about 2.37 % of the value of production. This massive disparity is at the core of the advantage US cotton farmers have over cotton producers in developing countries,” they said
Cotton farmers
The immediate impact of this decision will be particularly severe as farmers in most cotton-growing areas have already sown their crops almost two months back and have sunk significant costs in anticipation of getting remunerative prices for their produce. This move to scrap import duties comes at a particularly bad time as farmers prepare to harvest their crop, they added.
In India, the area under cotton cultivation is around 120.55 lakh hectares, which represents about 36% of the world’s total cotton area.
The country is the world’s largest in terms of cotton acreage. Among the states, Maharashtra has the largest area dedicated to cotton cultivation, followed by Gujarat and Telangana.
Approximately 67% of India’s cotton cultivation relies on rain-fed areas.
India, China, the United States, Pakistan, and Brazil are the key producers of cotton.
