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.
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