Duty-saving / duty-optimisation schemes for imports into India

Export-linked schemes
Advance Authorisation (AA): Duty-free import of inputs, raw materials, fuel, oil and catalysts required for manufacture of export products; subject to export obligation and minimum value addition.

Advance Authorisation for Annual Requirement: Same benefit as AA, but allows annual import of inputs based on past export performance.

Duty Free Import Authorisation (DFIA): Post-export duty-free import of inputs; generally exempts Basic Customs Duty, subject to value addition and SION norms.

EPCG Scheme: Import of capital goods/machinery at zero Basic Customs Duty, subject to an export obligation—commonly six times the duty saved within the prescribed period.

Duty Drawback: Refund of customs/excise duty paid on imported inputs used in exported goods, through All Industry Rate or Brand Rate.

Bonded and zone-based options
MOOWR (Manufacture and Other Operations in Warehouse Regulations): Import capital goods and inputs into a bonded warehouse for manufacturing, with customs duties deferred until goods are cleared for domestic consumption.

SEZ / FTWZ: Imports into Special Economic Zones or Free Trade Warehousing Zones can enjoy duty deferral/exemption until goods enter the Domestic Tariff Area.

Tariff and special-case reliefs
FTA / Preferential Tariff benefits: Reduced or nil Basic Customs Duty for goods meeting origin and documentation requirements under India’s FTAs/PTAs.

End-use exemptions: Sector- or project-specific exemptions, such as for specified projects, power, infrastructure, research, defence, or other notified end uses.

Temporary imports: Duty relief for exhibition goods, samples, testing equipment, repair/re-export items, often through bond or ATA Carnet procedures.

Trade samples and prototypes: Limited-duty or duty-free clearance for bona fide samples/prototypes of negligible value, subject to conditions.

For a practical import project, the most commonly used routes are AA/DFIA for inputs, EPCG for machinery, MOOWR for bonded manufacturing, and FTA claims where the country of origin qualifies.

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