The textile industry has welcomed the recent move by the Directorate General of Foreign Trade (DGFT) through Notification No. 28 dated 28 August 2025, which extends the Export Obligation (EO) period under Advance Authorisation for products subject to mandatory Quality Control Orders (QCOs) issued by the Department of Chemicals & Petrochemicals (DCPC). The EO period has been increased from 6 months to 18 months.
For QCOs notified by the Ministry of Textiles, the EO period under Advance Authorisation had already been extended from 6 months to 18 months. Collectively, these measures provide timely relief to exporters of man-made fibre (MMF) textiles and technical textiles, improving ease of doing business and enhancing the competitiveness of Indian products.
Under the Advance Authorisation Scheme, duty-free imports of inputs for physical exports are allowed without mandatory compliance with QCOs for such imports. This ensures continued access to critical raw materials and supports uninterrupted export performance. About 18% of all Advance Authorisations are issued for the textile sector, highlighting the importance of this facilitation.
Additionally, import duty on cotton (HS 5201) has been exempted until 31 December 2025, further strengthening raw material availability for the industry.
Through PLI, NTTM, and the above interventions, the Government of India continues to support textiles and technical textiles, which are key growth segments. India’s MMF value chain exports totaled USD 8.46 billion in 2024-25, including USD 401 million in MMF fibre exports.
These initiatives aim to ease input cost pressures, ensure raw material security, and bolster the global competitiveness of Indian textile exports. The measures by the DCPC and DGFT are proactive and forward-looking.