---
title: "5206 HSN Code | HSN Code for Cotton yarn (less than 85% cotton) in India"
description: "Know more about 5206 HSN Code with BUSY Accounting - HSN Tariff, GST Rates and case laws related to chapter 5206 covering Cotton yarn (less than 85% cotton)."
canonical: "https://busy.in/hsn/sub-chapter-5206/"
---

# HSN Sub-chapter 5206: Cotton yarn (less than 85% cotton)

Cotton yarn (other than sewing thread), containing less than 85% by weight of cotton, not put up for retail sale

Part of [Chapter 52: Cotton](https://busy.in/hsn/chapter-52/).

- Current GST rate: 5%
- Earlier GST rate: 5%

## HSN codes

| Code | Title |
| --- | --- |
| 52061100 | [Single Yarn (Uncombed, ≥714.29 decitex)](https://busy.in/hsn/hsn-52061100/) |
| 52061200 | [Single Yarn (14-43 Metric Number)](https://busy.in/hsn/hsn-52061200/) |
| 52061300 | [Other Uncombed Yarn (43 < Nm <= 52)](https://busy.in/hsn/hsn-52061300/) |
| 52061400 | [Other Uncombed Yarn (52 < Nm <= 80)](https://busy.in/hsn/hsn-52061400/) |
| 52061500 | [Single Yarn (<125 Decitex, Uncombed)](https://busy.in/hsn/hsn-52061500/) |
| 52062100 | [Single Yarn (Combed, ≥714.29 decitex)](https://busy.in/hsn/hsn-52062100/) |
| 52062200 | [Other Combed Yarn (14 < Nm <= 43)](https://busy.in/hsn/hsn-52062200/) |
| 52062300 | [Other Combed Yarn (43 < Nm <= 52)](https://busy.in/hsn/hsn-52062300/) |
| 52062400 | [Combed Single Yarn (52 < Metric Number <= 80)](https://busy.in/hsn/hsn-52062400/) |
| 52062500 | [Single Yarn (Combed, <125 decitex)](https://busy.in/hsn/hsn-52062500/) |
| 52063100 | [Uncombed Multiple Yarn (<= 14 metric number)](https://busy.in/hsn/hsn-52063100/) |
| 52063200 | [Uncombed Cotton Yarn (<714.29 dtex)](https://busy.in/hsn/hsn-52063200/) |
| 52063300 | [Uncombed Cotton Yarn (<232.56 dtex)](https://busy.in/hsn/hsn-52063300/) |
| 52063400 | [Uncombed Cotton Yarn (<192.31 dtex)](https://busy.in/hsn/hsn-52063400/) |
| 52063500 | [Uncombed Multiple Yarn (> 80 metric number)](https://busy.in/hsn/hsn-52063500/) |
| 52064100 | [Combed Yarn (≥ 714.29 dtex)](https://busy.in/hsn/hsn-52064100/) |
| 52064200 | [Combed Cotton Yarn (<714.29 dtex)](https://busy.in/hsn/hsn-52064200/) |
| 52064300 | [Combed Cotton Yarn (<232.56 dtex)](https://busy.in/hsn/hsn-52064300/) |
| 52064400 | [Combed Cotton Yarn (125-192.31 dtex, Other)](https://busy.in/hsn/hsn-52064400/) |
| 52064500 | [Combed Yarn (< 125 dtex)](https://busy.in/hsn/hsn-52064500/) |

## Frequently asked questions

### What products are classified under HSN 5206

It includes Cotton yarn (less than 85% cotton)

### How should I document Cotton yarn (less than 85% cotton) sent for job work?

Use a delivery challan for sending Cotton yarn (less than 85% cotton) to the job worker. Declare movement in your records and reconcile when the goods return. If the job worker raises a service invoice, classify it under SAC; your goods remain under the original HSN.

### Is the composition scheme suitable if I mainly trade Cotton yarn (less than 85% cotton)?

The composition scheme is optional for eligible small suppliers of goods. You cannot issue tax invoices or collect tax under composition. Check turnover limits and exclusions; evaluate margins and ITC loss before opting in.

### Does MRP, weight or pack size change GST treatment for Cotton yarn (less than 85% cotton)?

Some entries use MRP/weight‑based conditions for classification. Keep pack size, retail marking and brand status on records and invoice to support the chosen HSN.

### Does packaging or branding change how GST applies to Cotton yarn (less than 85% cotton)?

Yes. Many food/agri goods are treated differently when sold as pre‑packaged & labelled retail packs versus loose/open packs. If Cotton yarn (less than 85% cotton) is sold in small pouches (e.g., 500 g) with an MRP and label, record that on the invoice. Loose bulk bags often follow a different treatment.

### How are warranty replacements of Cotton yarn (less than 85% cotton) handled?

If replacement is without consideration under a pre‑agreed warranty, issue a delivery challan and reference the original invoice/contract. If consideration is charged, raise a tax invoice. Keep serial/lot details for traceability.

## India's trade performance: HSN Sub-Chapter 5206 (FY 2024-25)

Source: TradeStat EIDB, Ministry of Commerce & Industry. Values in ₹ Crore (FY 2018-19 to FY 2024-25).

- Exports: ₹1,613 Cr (−1.92% YoY) — 0.0436% of India's total exports
- Imports: ₹22 Cr (−7.94% YoY) — 0.0004% of India's total imports
- Trade balance: ₹1,591 Cr (Surplus); surplus rank #150 of 1233 sub-chapters
- Share of Chapter 52: 3.01% of its exports; import side 0.18%
- Rank within Chapter 52: #6 of 12 by export value; import-side #9

### Key metrics

- Export CAGR: 17.33% (FY 2018-19 to FY 2024-25, 7 fiscal years)
- National export rank: #306 of 1233 sub-chapters by export value (FY 2024-25)
- Peak growth year: +260.87% in FY 2021-22
- Contribution to Ch. 52: 3.01% of its exports (FY 2024-25)

## India export-import trade statistics: HSN Sub-Chapter 5206

7-year export and import data, FY 2018-19 to FY 2024-25, in ₹ Crore. Source: Ministry of Commerce & Industry, TradeStat EIDB.

| FY | Exports (₹ Cr) | Exp share | Exp YoY | Exp % of Ch. 52 | Imports (₹ Cr) | Imp share | Imp YoY | Imp % of Ch. 52 | Trade balance | Exp rank |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| FY 2018-19 | 618.36 | 0.0269% | — | 1.12% | 37.32 | 0.0010% | — | 0.64% | +581.04 | #384 |
| FY 2019-20 | 421.49 | 0.0191% | −31.84% | 1.04% | 38.57 | 0.0011% | +3.35% | 0.36% | +382.92 | #446 |
| FY 2020-21 | 594.48 | 0.0276% | +41.04% | 1.27% | 26.85 | 0.0009% | −30.39% | 0.71% | +567.63 | #394 |
| FY 2021-22 | 2,145.29 | 0.0684% | +260.87% | 2.67% | 28.49 | 0.0006% | +6.11% | 0.52% | +2,116.80 | #211 |
| FY 2022-23 | 1,520.16 | 0.0420% | −29.14% | 3.35% | 49.67 | 0.0009% | +74.34% | 0.36% | +1,470.49 | #302 |
| FY 2023-24 | 1,644.72 | 0.0455% | +8.19% | 2.93% | 23.56 | 0.0004% | −52.57% | 0.36% | +1,621.16 | #284 |
| FY 2024-25 | 1,613.17 | 0.0436% | −1.92% | 3.01% | 21.69 | 0.0004% | −7.94% | 0.18% | +1,591.48 | #306 |

- CAGR (7-year): exports 17.33%/yr, imports -8.65%/yr (consistently Surplus)

## Key trade insights: HSN Sub-Chapter 5206 export-import analysis

### Consistent export growth: 17.33% CAGR over 7 years

India's exports under HSN Sub-Chapter 5206 have grown at a compound annual rate of 17.33% over 7 fiscal years, rising from ₹618.36 Crore in FY 2018-19 to ₹1,613.17 Crore in FY 2024-25.

### HSN Sub-Chapter 5206 ranked #306 among all 1233 sub-chapters by export value

In FY 2024-25, HSN Sub-Chapter 5206 ranks #306 out of 1233 sub-chapters by total export value. Within Chapter 52, it ranks #6 of 12. By trade surplus, it ranks #150 of 1233.

### FY 2021-22 was the strongest growth year for HSN Sub-Chapter 5206 exports

The strongest single-year export movement for HSN Sub-Chapter 5206 was recorded in FY 2021-22, when exports surged by 260.87% over the prior year.

### India maintains a trade surplus of ₹1,591.48 Crore in HSN Sub-Chapter 5206 goods

In FY 2024-25, India's exports of ₹1,613.17 Cr exceeded imports of ₹21.69 Cr, resulting in a trade surplus of ₹1,591.48 Crore — ranking #150 of 1233 by surplus magnitude.

### Import growth of -8.65% CAGR signals stable import dependency for Cotton yarn (less than 85% cotton)

India's imports under HSN Sub-Chapter 5206 have grown at -8.65% CAGR, reaching ₹21.69 Crore in FY 2024-25.

### HSN Sub-Chapter 5206 contributes 3.01% of Chapter 52 exports — ranked #6

Among the 12 sub-chapters under Chapter 52, HSN Sub-Chapter 5206 ranks #6 by export value — accounting for 3.01% of the chapter's total exports in FY 2024-25. On the import side, it holds 0.18% share (rank #9).

## Related Sub-Chapters in Chapter 52

Ranked by export value (FY 2024-25).

| Rank | HSN Sub-Chapter | Exports (FY 2024-25) |
| --- | --- | --- |
| #1 | [HSN Sub-Chapter 5205: Cotton yarn (more than 85% cotton)](https://busy.in/hsn/sub-chapter-5205/) | ₹28,380 Cr |
| #2 | [HSN Sub-Chapter 5208: Cotton fabrics over 85% cotton](https://busy.in/hsn/sub-chapter-5208/) | ₹9,911 Cr |
| #3 | [HSN Sub-Chapter 5201: Cotton, combed or not](https://busy.in/hsn/sub-chapter-5201/) | ₹5,592 Cr |
| #4 | [HSN Sub-Chapter 5209: Cotton fabrics over 85% cotton](https://busy.in/hsn/sub-chapter-5209/) | ₹4,096 Cr |
| #5 | [HSN Sub-Chapter 5211: Cotton Fabric > 200 g/m²1](https://busy.in/hsn/sub-chapter-5211/) | ₹1,714 Cr |
| #6 | HSN Sub-Chapter 5206: Cotton yarn (less than 85% cotton) (this hsn sub-chapter) | ₹1,613 Cr |
| #7 | [HSN Sub-Chapter 5202: Cotton waste](https://busy.in/hsn/sub-chapter-5202/) | ₹675 Cr |
| #8 | [HSN Sub-Chapter 5210: Cotton Woven Fabrics](https://busy.in/hsn/sub-chapter-5210/) | ₹644 Cr |
| #9 | [HSN Sub-Chapter 5203: Cotton, carded or combed](https://busy.in/hsn/sub-chapter-5203/) | ₹588 Cr |
| #10 | [HSN Sub-Chapter 5212: Other woven fabrics of cotton](https://busy.in/hsn/sub-chapter-5212/) | ₹223 Cr |

## Other sub-chapters

| Code | Title |
| --- | --- |
| 5201 | [Cotton, combed or not](https://busy.in/hsn/sub-chapter-5201/) |
| 5202 | [Cotton waste](https://busy.in/hsn/sub-chapter-5202/) |
| 5203 | [Cotton, carded or combed](https://busy.in/hsn/sub-chapter-5203/) |
| 5204 | [Cotton sewing thread](https://busy.in/hsn/sub-chapter-5204/) |
| 5205 | [Cotton yarn (more than 85% cotton)](https://busy.in/hsn/sub-chapter-5205/) |
| 5207 | [Cotton yarn for retail](https://busy.in/hsn/sub-chapter-5207/) |
| 5208 | [Cotton fabrics over 85% cotton](https://busy.in/hsn/sub-chapter-5208/) |
| 5209 | [Cotton fabrics over 85% cotton](https://busy.in/hsn/sub-chapter-5209/) |
| 5210 | [Cotton Woven Fabrics](https://busy.in/hsn/sub-chapter-5210/) |
| 5211 | [Cotton Fabric > 200 g/m²1](https://busy.in/hsn/sub-chapter-5211/) |
| 5212 | [Other woven fabrics of cotton](https://busy.in/hsn/sub-chapter-5212/) |