The Central Board of Indirect Taxes and Customs (CBIC) issued Instruction No. 02/2026-Customs dated 19th March 2026 regarding duty drawback on export of unlocked mobile handsets by merchant exporters. The instruction refers to a Delhi High Court order dated 13.02.2025, which was upheld by the Supreme Court on 18.07.2025. A review petition against the decision was also dismissed by the Supreme Court on 29.01.2025. In light of these judicial developments, CBIC directed all field formations to strictly comply with the court rulings. The instruction emphasizes adherence to the finality of the judicial decisions on the issue of duty drawback eligibility for such exports.
F. No. 605/04/2020-DBK/CBIC
Government of India
Ministry of Finance,
Department of Revenue,
Central Board of Indirect Taxes & Customs,
Drawback Division
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Instruction No. 02/2026 – Customs | Dated: 19th March, 2026
To,
All Principal Chief Commissioners/ Chief Commissioners (Customs/ Customs (Preventive) / Customs & Central Tax)
All Principal Commissioners/Commissioners of Customs /Customs (Preventive).
All Pr. Director General/Director Generals under CBIC.
Subject: Duty drawback on the export of unlocked mobile handsets by merchant exporters- reg
Madam/Sir,
Your attention is invited towards the Delhi High Court Order No WP (C) 9461/2023 dated 13.02.2025 on the above mentioned subject which has been upheld by Hon’ble Supreme Court order dated 18.07.2025 in SLP Diary No. 30758/2025. Further, review petition in the matter has also been dismissed by the apex court vide Order dated 29.01.2025 in review petition (Civil) Diary No. 69677/2025.
2. In view of the above, field formation(s) shall comply with the said order scrupulously.
Yours faithfully,
(Mahendra Singh Gurjer)
OSD (Drawback Division)
CBIC, New Delhi
