The Ministry of Commerce & Industry oversees the Directorate General of Foreign Trade (DGFT), which implements the Advance Authorisation Scheme. This scheme allows for the duty-free import of inputs specifically for export purposes. The eligibility of these inputs is determined by Sector-specific Norms Committees, which assess input-output norms. In an effort to streamline and enhance this process, the DGFT has made significant improvements to the Advance Authorisation and Norms Fixation Workflow.
Analysis: To enhance the efficiency of norms fixation, the DGFT has developed a user-friendly and searchable database of Ad-hoc Norms established in previous years. These norms, outlined in the Foreign Trade Policy 2023, can now be utilized by any exporter without requiring a review by the Norms Committee. The database, accessible on the DGFT website, allows users to search using Export or Import Item Descriptions, Technical Characteristics, or Indian Tariff Classification ITC (HS) codes.
Exporters and the public can access the database on the DGFT website under Services –> Advance Authorisation/DFIA –> Ad-hoc norms. If an ad-hoc norm matches the item description and specified wastages, complying with the provisions outlined in the Handbook of Procedures (HBP), applicants may opt for an Advance Authorisation under the “No-Norm Repeat” basis. This option allows users to obtain an advance authorisation without having to approach the Norms Committee again, reducing workload and enabling faster processing, subject to provisions as outlined in FTP/HBP.
By simplifying the advance authorisation and norms fixation process, this trade facilitation measure significantly shortens turnaround times for exporters. It enhances the ease of doing business and reduces the compliance burden, benefiting the export community as a whole.
Conclusion: The Directorate General of Foreign Trade’s implementation of the Advance Authorisation Scheme under the Ministry of Commerce & Industry enables duty-free import of inputs for export purposes. With the recent enhancements to the Advance Authorisation and Norms Fixation Workflow, the DGFT has introduced a user-friendly database of Ad-hoc Norms, simplifying the norms fixation process for exporters. By utilizing these norms, exporters can obtain an advance authorisation without approaching the Norms Committee again, leading to faster processing times, improved ease of doing business, and reduced compliance burdens. This initiative aims to support and promote export activities in India.
RELATED PRESS RELEASE DATED: 17TH JULY IS AS FOLLOWS:-
Ministry of Commerce & Industry
DGFT implements the Advance Authorisation Scheme, allows duty-free import of inputs for export purposes
Significant enhancements in Advance Authorisation and Norms Fixation Workflow
Directorate General of Foreign Trade (DGFT) implements the Advance Authorisation Scheme under the Foreign Trade Policy, which allows duty-free import of inputs for export purposes. The eligibility of inputs is determined by Sector-specific Norms Committees based on input-output norms.
To make the norms fixation process more efficient, the DGFT has created a user-friendly and searchable database of Ad-hoc Norms fixed in the previous years. These norms can be used by any exporter without requiring a Norms Committee review as outlined in the Foreign Trade Policy 2023. The database is hosted on the DGFT Website (https://dgft.gov.in) and allows users to search using Export or Import Item Description, Technical Characteristics, or Indian Tariff Classification ITC (HS) codes.
To access the database, the exporter or public may visit the DGFT Website under Services –> Advance Authorisation/DFIA –> Ad-hoc norms. If an ad-hoc norm matches the item description, specified wastages, and complies with the provisions outlined in the Handbook of Procedures (HBP), applicants may choose to apply for an Advance Authorisation under the “No-Norm Repeat” basis. This option allows users to obtain an advance authorisation without approaching the Norms Committee again, reducing the workload and enabling faster processing, subject to provisions as outlined in FTP/HBP.
This trade facilitation measure simplifies the advance authorisation and norms fixation process, resulting in shorter turnaround times for exporters, improved ease of doing business, and reduced compliance burden.
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