Duty Free Import Scheme - An Introduction

The Department of Revenue, Ministry of Finance issued a jumbo Customs Notification No.21/2002 dated 1.3.2002 giving exemptions/concessions on Customs Duty for various goods/inputs imported into India. This Customs Notification is amended from time to time.

Serial nos. 167 aforesaid Customs Notification contains the list of certain inputs required in the manufacture of leather garments which can be imported by a manufacturer of leather garments, to an extent of 3% of FOB value of exports in the previous year, subject to fulfillment of condition no.21 specified in the Notification.

Serial No. 168 of the aforesaid Customs Notification mentions about the lining and inter lining materials which can be imported by manufacturers of leather garments to an extent of 2% of FOB value of exports in the previous year, subject to fulfillment of condition no.21 specified in the Notification.

Serial no. 167 A of the Customs Notification contains the list of certain inputs required in the manufacture of leather footwear or synthetic footwear or other leather products by manufacturers of these items to an extent of 3% of FOB value of exports in the previous year, subject to fulfillment of condition no.21 A specified in the Notification.

The Council for Leather Exports is issuing necessary certificates namely Export Performance Certificate (EPC) and Import Certificates (IC) to manufacturer-exporters of leather garments as well as all leather products including footwear in terms of Sl.Nos.167, 167A and 168 read with Condition No.21 & 21A of the Customs Notification No.21/2002 dated 1.3.2002 under the Duty Free Import Scheme.

The detailed operational guidelines of the DFIS scheme and also the amendments made by the Government of India from time to time in this regard are given in this section.