CBIC Launches Duty Deferment Scheme to Boost Manufacturing and Expedite Clearances
Hybrid Outreach Program Introduced for Manufacturer Importers
New Delhi, March 28 – The Central Board of Indirect Taxes and Customs (CBIC) conducted a hybrid outreach program to promote the Duty Deferment Scheme for eligible manufacturer importers, the Ministry of Finance said on Saturday. The program aimed to expedite cargo clearances and improve liquidity for domestic manufacturers.How the Duty Deferment Scheme Works
The scheme allows eligible manufacturer importers to clear imported goods without making upfront duty payments, instead enabling monthly duty settlement. This facility aligns with the government’s Make in India campaign, designed to strengthen domestic manufacturing and enhance global competitiveness.Participation and Stakeholder Engagement
Customs officials, industry representatives, trade bodies, and other key stakeholders participated in the event. The session included detailed presentations on the scheme’s benefits and interactive discussions to address queries from the trade and manufacturing community.Eligibility Criteria for Manufacturers
The Duty Deferment Scheme is available to MSMEs and manufacturer importers with a valid Importer Exporter Code (IEC). Applicants must meet the following criteria:- Minimum of 25 EXIM documents filed in the previous financial year (10 for MSMEs)
- Full GST compliance with no pending returns
- Demonstrated financial solvency
- Clean compliance record
Online Application and Trust-Based Compliance
Applications can be submitted online via the AEO portal (www.aeoindia.gov.in), which has been operational since March 1, 2026. The process is fully digital, requiring no physical interface.Yogendra Garg, Member (Customs), CBIC, highlighted that the scheme follows a trust-based approach, facilitating faster clearances, reducing dwell time, and promoting a collaborative compliance environment.
Key Benefits for Manufacturers
The Duty Deferment Scheme offers several advantages:- Improved liquidity and cash flow for manufacturers
- Faster cargo clearance and reduced dwell time
- Enhanced import planning and inventory management
- Strengthened payment discipline
- Boosted global competitiveness
- Streamlined supply chain efficiency
Commitment to Efficient Trade Ecosystem
The Ministry of Finance stated that CBIC remains committed to creating a transparent, efficient, and globally competitive trade ecosystem through technology, facilitation, and trust-based compliance.The initiative is expected to accelerate domestic manufacturing, support MSMEs, and strengthen India’s position as a reliable global trade partner.
Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
The information provided is for general informational purposes only and does not constitute investment advice, a recommendation, or an offer to buy or sell any securities. Readers are advised to rely on their own assessment and judgment and consult appropriate financial advisers, if required, before taking any investment-related decisions.