Seeks to give effect to the first tranche of tariff concessions under India-Oman CEPA
The Ministry of Finance (Department of Revenue) has issued Notification No. 20/2026-Customs dated 31 May 2026, providing customs duty concessions on specified goods imported into India from the Sultanate of Oman. The notification has been issued under section 25(1) of the Customs Act, 1962 and comes into force from 1 June 2026.
Under the notification, the Central Government has exempted specified goods from a portion of the customs duty otherwise leviable under the First Schedule to the Customs Tariff Act, 1975. The concessions are provided through three separate tables attached to the notification.
Table I prescribes reduced Basic Customs Duty (BCD) rates for specified tariff items imported from Oman. Table II provides concessions in respect of both Basic Customs Duty and Agriculture Infrastructure and Development Cess (AIDC) for specified goods. Table III grants concessional treatment under tariff rate quotas (TRQs), under which specified quantities of eligible imports can avail reduced customs duty and AIDC rates.
The notification states that the benefit will be available only when the importer establishes that the goods are of Omani origin in accordance with the Customs (Administration of Rules of Origin under Trade Agreements) Rules, 2020 and other rules notified by the Central Government. The importer is required to satisfy the Deputy Commissioner of Customs or Assistant Commissioner of Customs regarding the origin of the goods.
For imports covered by tariff rate quotas, the notification prescribes conditions relating to allocation and utilisation of quotas. The Directorate General of Foreign Trade (DGFT) will allot the TRQ in accordance with the relevant procedures contained in the Hand Book of Procedure, 2023. The authorisation must contain details such as the importer’s name and address, Importer-Exporter Code (IEC), customs notification number, applicable tariff item, quantity and validity period. The authorisation is to be issued electronically and transmitted to the Indian Customs EDI System (ICES), and imports under the quota will be permitted through electronic debiting in the ICES system.
The notification takes effect from 1 June 2026.
GOVERNMENT OF INDIA
MINISTRY OF FINANCE
(DEPARTMENT OF REVENUE)
Notification No. 20/2026-Customs | Dated: 31st May, 2026
(Seeks to give effect to the first tranche of tariff concessions under India-Oman CEPA.)
G.S.R…(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 hereto and falling under the tariff item of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975) as specified in the corresponding entry 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 entry in column (4) of the said TABLE;
ii. goods of the description as specified in column (3) of the TABLE II appended hereto and falling under the Tariff item of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975) as specified in the corresponding entry 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 entry 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 entry in column (5) of the said TABLE;
iii. goods of the description specified in column (3) of the TABLE III appended below, and falling within the tariff item of the First Schedule to the Customs Tariff Act, 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 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 tariff 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 the conditions specified in the Annexure to this notification, when imported into the Republic of India from the Sultanate of Oman:
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 the Sultanate of Oman, in accordance with the Customs (Administration of Rules of Origin under Trade Agreements) Rules, 2020 read with rules as may be notified in this regard by the Central Government by publication in the official Gazette.
