Modi Government Has Betrayed Indian Farmers by Extending Import Duty Exemption on Cotton: Pargat Singh

Chandigarh, November 1, 2026: Punjab Pradesh Congress Committee (PPCC) President and MLA Pargat Singh has strongly criticised the Central Government's decision to extend the exemption from the 11% import duty on cotton until December 31, 2026, calling it a move against the interests of Indian farmers.
He said that at a time when Punjab's farmers are bringing their cotton crop to mandis after six months of hard work, the Central Government is opening up the Indian market to foreign cotton, further aggravating the difficulties faced by domestic farmers. He termed the decision a betrayal of Indian farmers.
Taking a dig at the Prime Minister, Pargat Singh said that Narendra Modi had promised to double farmers' income, but his government's decisions are instead making it easier for foreign farmers to access the Indian market. The import duty exemption, initially granted in the name of the off-season, has now been extended into the domestic harvesting season as well. This will make American and other imported cotton more competitive in the Indian market, putting further pressure on the prices received by Punjab's farmers.
He questioned whether the Central Government's priority was Indian farmers or foreign cotton producers.
He said that despite inadequate rainfall, pest attacks and declining cotton production, farmers were hoping to receive remunerative prices for their produce. However, by extending the import duty exemption, the Central Government has dashed their hopes. Cotton imports have increased by 63% during the first half of the current financial year, reaching approximately US$1.1 billion.
Referring to the import duty exemption granted in September 2025, Pargat Singh pointed out that during that period, cotton was sold in Punjab's mandis at prices ranging between ₹5,600 and ₹5,800 per quintal, against an MSP of ₹7,710 per quintal.
He said that on the one hand, the Central Government encourages farmers to shift away from paddy cultivation and adopt alternative crops such as cotton, while on the other, it introduces policies that undermine the economic interests of farmers who choose crop diversification.
He questioned the rationale behind such a policy, stating: "Why should farmers bear all the risks of crop diversification while the benefits go to foreign producers?"
Raising concerns over the India-US trade agreement, Pargat Singh said that any reduction in tariffs on agricultural products could create further challenges for Indian farmers and expose them to increased competition from foreign producers.
Pargat Singh demanded that the Central Government withdraw its notification dated October 30 and immediately restore the 11% import duty on cotton. He also demanded that the Cotton Corporation of India (CCI) ensure procurement at MSP across all cotton mandis in Punjab.
He specifically called for assured MSP-based procurement at ₹8,267 per quintal for medium-staple cotton and ₹8,667 per quintal for long-staple cotton, ensuring that farmers receive fair remuneration for their produce.