Vijay Urges Narendra Modi to Scrap 11% Cotton Import Duty, Warns of Threat to Textile Jobs

Vijay has written to Narendra Modi urging the Centre to remove the existing 11% import duty on cotton, warning.

That rising raw material prices are pushing Tamil Nadu’s textile industry into a serious crisis. In his letter, the Tamil Nadu Chief Minister highlighted the growing pressure on the state’s textile and apparel sector, which he described as one of the largest sources of employment, particularly for women from rural and semi-urban areas.

Vijay said the sharp rise in cotton and yarn prices over the past two months had created severe difficulties for manufacturers and exporters. According to him, cotton prices have surged from Rs 54,700 to Rs 67,700 per candy — an increase of around 25% — while yarn prices have risen from Rs 301 to Rs 330 per kilogram.

The Chief Minister attributed the spike primarily to lower cotton production and increased trading activity in the domestic market, which has affected the availability of raw materials for the industry.

Stressing Tamil Nadu’s importance in India’s textile economy, Vijay noted that the state remains the country’s largest textile and apparel exporting hub, with lakhs of workers depending on the sector for direct and indirect employment.

He argued that allowing duty-free cotton imports would help manufacturers secure adequate raw material supplies, meet export commitments, and remain competitive in global markets.

Vijay also warned that continued price pressure could threaten employment across the textile value chain, especially at a time when the sector plays a crucial role in supporting livelihoods after agriculture.

Calling for immediate intervention, the Chief Minister urged the Centre to reduce the cotton import duty from 11% to zero, saying the move would stabilise supply, strengthen exports, and protect jobs linked to the industry.