{"id":41052,"date":"2022-03-10T12:12:44","date_gmt":"2022-03-10T06:42:44","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=41052"},"modified":"2023-03-17T18:18:46","modified_gmt":"2023-03-17T12:48:46","slug":"duty-free-import-authorization-scheme","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/duty-free-import-authorization-scheme\/","title":{"rendered":"Duty Free Import Authorization Scheme – An Overview"},"content":{"rendered":"\n

On\n1st<\/sup> May, 2006, the DFIA Scheme was introduced in place of the DFRC\n(Duty-Free Replenishment) Scheme<\/em><\/strong> and it\u2019s similar to the AA\n(Advance Authorisation) Scheme<\/em><\/strong> with certain differences. A Duty Free\nImport Authorisation Scheme is issued to allow duty-free import of inputs which\nare utilised in the manufacture of an export product, energy, fuel, making\nnormal allowance for wastage, catalyst, etc. Many are utilised in the course of\ntheir use to get the export product.<\/p>\n\n\n\n

The\nDGFT (Director General of Foreign Trade), by means of Public Notice & also\npublic interest, can exclude any product(s) from the scheme. The Authorisation\nshall be issued on the norms of inputs & export products or items provided\nunder the SION (Standard Input & Output Norms). Hence, the import\nentitlement should be limited to the quality mentioned in SION.<\/p>\n\n\n\n

Earlier, Duty Free Import mandatory spares to 10% of the CIF Value of Authorisation, which is needed to be supplied or exported as the resultant product, may also be allowed under the scheme. Such Authorisation may be issued either to a merchant exporter\/manufacturer exporter tied to a supporting manufacturer. The Duty Free Import Authorisation’s details and its changes to previous FTP (Foreign Trade Policy<\/strong>[1]<\/strong><\/a><\/sup>) <\/strong>2014-2019 is explained under the new FTP of India 2015-2020. <\/p>\n\n\n\n

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