Advance Authorisation Scheme

Context: 

Directorate General of Foreign Trade (DGFT) implements the Advance Authorisation Scheme under the Foreign Trade Policy.

About Advance Authorisation Scheme:

• It allows duty-free import of inputs, which are physically incorporated in an export product. 
• In addition to any inputs, packaging material, fuel, oil, and catalyst which is consumed / utilized in the process of production of export products, is also allowed.
• Eligibility of Inputs: Determined by Sector-specific Norms Committees based on input-output norms.
• Prerequisites for Applying:
  • To apply for an Advance Authorisation scheme, an Import-Export Code (IEC) is required.
  • Other prerequisites are mentioned in the Chapter 4 of Foreign Trade Policy and Handbook of Procedures.

News Source: PIB