Seeks to give effect to the first tranche of tariff concessions under India New Zealand Free Trade Agreement
Summary: The supplied Notification No. 32/2026-Customs, dated 16 October 2026, provides customs duty and cess concessions for specified goods imported into India from New Zealand. Issued under section 25(1) of the Customs Act, 1962, it sets out four categories of concessions by reference to Tables I–IV. For goods covered by Table I, customs duty, Agriculture Infrastructure and Development Cess (AIDC) and Health Cess are restricted to the respective rates specified in that table. Table II provides concessions in customs duty and AIDC at the specified rates. Table III similarly provides customs duty and AIDC concessions, subject to the applicable conditions identified in the Annexure. Table IV establishes a tariff rate quota framework, under which specified annual import quantities qualify for the prescribed in-quota basic customs duty and AIDC rates, subject to the relevant Annexure conditions. The notification refers to AIDC under section 124 of the Finance Act, 2021 and Health Cess under section 141 of the Finance Act, 2020. Eligibility requires the importer to establish New Zealand origin to the satisfaction of the Deputy Commissioner or Assistant Commissioner of Customs, in accordance with the Customs (Administration of Rules of Origin under Trade Agreements) Rules, 2020 and other applicable notified origin rules. The goods, rates, quota quantities and detailed conditions depend on the referenced tables and Annexure.
MINISTRY OF FINANCE
(Department of Revenue)
Notification No. 32/2026-Customs | Dated: 16th October, 2026
G.S.R. 899(E).—In exercise of the powers conferred by sub-section (1) of section 25 of the Customs Act, 1962 (52 of 1962), the Central Government, being satisfied that it is necessary in the public interest so to do, hereby exempts, –
(i) goods of the description as specified in column (3) of the TABLE I appended below and falling under the Chapter, heading, sub-heading or tariff item of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975) as specified in the corresponding entries in column (2) of the said TABLE,-
a. from so much of the duty of customs leviable thereon under the said Schedule, as is in excess of the amount calculated at the rate specified in the corresponding entries in column (4) of the said TABLE;
b. from so much of the Agriculture Infrastructure and Development Cess (AIDC) leviable under section 124 of the Finance Act, 2021 (13 of 2021), as is in excess of the amount calculated at the rate specified in the corresponding entries in column (5) of the said TABLE;
c. from so much of the Health Cess leviable under section 141 of the Finance Act, 2020 (12 of 2020), as is in excess of the amount calculated at the rate specified in the corresponding entries in column (6) of the said TABLE;
(ii) goods of the description as specified in column (3) of the TABLE II appended below and falling under the Chapter, heading, sub-heading or tariff item of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975) as specified in the corresponding entries in column (2) of the said TABLE, from so much of the duty of customs leviable thereon under the said Schedule as is in excess of the amount calculated at the rate specified in the corresponding entries in column (4) of the said TABLE and from so much of the Agriculture Infrastructure and Development Cess (AIDC) leviable under section 124 of the Finance Act, 2021 (13 of 2021), as is in excess of the amount calculated at the rate specified in the corresponding entries in column (5) of the said TABLE;
(iii) goods of the description as specified in column (3) of the TABLE III appended below and falling under the Chapter, heading, sub-heading or tariff item of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975) as specified in the corresponding entries in column (2) of the said TABLE, from so much of the duty of customs leviable thereon under the said Schedule as is in excess of the amount calculated at the rate specified in the corresponding entries in column (4) of the said TABLE and from so much of the Agriculture Infrastructure and Development Cess (AIDC) leviable under section 124 of the Finance Act, 2021 (13 of 2021), as is in excess of the amount calculated at the rate specified in the corresponding entries in column (5) of the said TABLE, subject to any of the conditions, specified in the ANNEXURE to this notification, the condition number of which is mentioned in the corresponding entry in column (6) of the said TABLE;
(iv) goods of the description specified in column (3) of the TABLE IV appended below, and falling under the Chapter, heading, sub-heading or tariff item of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975) as are specified in the corresponding entry in column (2) of the said TABLE in such quantity of total imports of such goods in a year, as specified in column (4) of the said TABLE (hereinafter referred to as the ‘tariff rate quota (TRQ) quantity’), from so much of the duty of customs leviable thereon under the said Schedule as is in excess of the amount calculated at the rate as specified in the corresponding entry in column (5) of the said TABLE (hereinafter referred to as the ‘In-quota BCD rate’) and from so much of the Agriculture Infrastructure and Development Cess (AIDC) leviable under section 124 of the Finance Act, 2021 (13 of 2021), as is in excess of the amount calculated at the rate as specified in the corresponding entry in column (6) of the said TABLE (hereinafter referred to as the ‘In-quota AIDC rate’) , subject to any of the conditions, specified in the ANNEXURE to this notification, the condition number of which is mentioned in the corresponding entry in column (7) of the said TABLE,
when imported into Republic of India from New Zealand:
Provided that the exemption shall be available only if importer proves to the satisfaction of the Deputy Commissioner of Customs or Assistant Commissioner of Customs, as the case may be, that the goods in respect of which the benefit of this exemption is claimed are of the origin of New Zealand, in terms of the Customs (Administration of Rules of Origin under Trade Agreements) Rules, 2020 and rules as may be notified in this regard by the Central Government by publication in the Official Gazette.
