By A V International June 12, 2025

MIP Condition Relaxed for SEZs and EOUs

The Central Government has extended the Minimum Import Price (MIP) condition on certain Synthetic Knitted Fabrics under four specific ITC (HS) codes. This decision, taken under the powers of the Foreign Trade (Development & Regulation) Act, 1992 and the Foreign Trade Policy (FTP) 2023, follows earlier notifications dated 16.03.2024, 01.10.2024, and 04.01.2025. This move aims to safeguard domestic manufacturers and ensure fair trade practices in the textile sector.

ITC(HS) Code	Item Description	Import Policy	Policy Condition
60019200	Other- Of man-made fibres	Restricted	However, import is 'Free' if CIF value is 3.5 US Dollar and above per Kilogram
60053600	Of synthetic fibres-other, unbleached or bleached	Restricted	However, import is 'Free' if CIF value is 3.5 US Dollar and above per Kilogram
60053790	Other	Restricted	However, import is 'Free' if CIF value is 3.5 US Dollar and above per Kilogram
60053900	Of synthetic fibres-other, printed	Restricted	However, import is 'Free' if CIF value is 3.5 US Dollar and above per Kilogram

the Minimum Import Price (MIP) condition on select Synthetic Knitted Fabrics (under 4 ITC HS codes) will not apply to:

Advance Authorisation holders
Export Oriented Units (EOUs)
Units in Special Economic Zones (SEZs)

Condition:
The exemption is valid only if the imported inputs are not sold in the Domestic Tariff Area (DTA).

This move ensures smoother operations for exporters and SEZ units while maintaining checks on domestic trade.

Effect of the Notification: Import of Synthetic Knitted Fabrics under ITC (HS) Codes 60019200, 60053600, 60053790 and 60053900, is "Restricted". However, import is "Free" if CIF value is 3.5 US Dollar and above per Kilogram. Further inputs imported by Advance Authorisation holders, Export Oriented Units (EOUS) and units in the SEZ shall be exempted from MIP condition.