Import Facilitation Schemes

Advance Authorization
Advisory Services

The Advance Authorisation Scheme is one of the most widely used import facilitation mechanisms under India's Foreign Trade Policy. It allows exporters to import raw materials and inputs without payment of customs duties, provided that the imported inputs are used in the manufacture of export products. This scheme is particularly beneficial for manufacturer exporters who rely on imported inputs for production and want to reduce the duty burden associated with imports. However, the scheme involves specific eligibility conditions, input-output norms, export obligation requirements, and documentation procedures. Many businesses require professional guidance to ensure accurate application filing and compliance with regulatory provisions. Shangrila Corporate Services Pvt Ltd provides structured advisory to help exporters obtain Advance Authorisations, manage import-export compliance, and successfully fulfil export obligations under the scheme.

Overview

What is Advance Authorisation Scheme?

The Advance Authorisation Scheme allows duty-free import of inputs that are physically incorporated in the export product. This includes raw materials, components, intermediates, and consumables used in manufacturing export goods.

The scheme enables exporters to reduce input costs by eliminating customs duties on imported materials, thereby improving international competitiveness.

Advance Authorisations are issued under the framework of the Foreign Trade Policy and administered by the Directorate General of Foreign Trade.

Key Service Highlights
  • Duty-free import of raw materials and production inputs
  • Reduction in manufacturing costs for export products
  • Improved price competitiveness in international markets
  • Better cash flow management for exporters
  • Support for manufacturing and export growth
Advisory Note

Structured advisory helps evaluate eligibility, prepare accurate documentation, and reduce execution risk while pursuing available trade policy benefits.

Suitable For

Who Should Consider Advance Authorization?

This advisory is most relevant for businesses that need eligibility clarity, documentation accuracy, and practical support through the scheme lifecycle.

Manufacturer exporters importing raw materials

Businesses exporting finished goods manufactured using imported inputs

Companies with high import duty costs on production materials

Exporters seeking duty-free import benefits

Key Benefits

Key Benefits of Advance Authorization

Structured implementation can help improve cost efficiency, reduce procedural risk, and support better trade outcomes.

01

Duty-free import of raw materials and production inputs

02

Reduction in manufacturing costs for export products

03

Improved price competitiveness in international markets

04

Better cash flow management for exporters

05

Support for manufacturing and export growth

Process

How Advance Authorization Works

A practical workflow for evaluating eligibility, preparing documentation, submitting applications, and managing follow-through.

01

Application for Advance Authorisation through the DGFT portal

02

Approval of authorisation specifying permitted inputs and quantities

03

Import of raw materials without payment of customs duties

04

Manufacturing of export products using imported inputs

05

Fulfilment of export obligation within the specified time period

06

After completing the export obligation, exporters must apply for redemption of the authorisation.

Common Pitfalls

Common Challenges Businesses Face

These issues often lead to delays, missed benefits, documentation gaps, or unnecessary compliance exposure.

Difficulty determining eligible input-output norms

Errors in authorisation applications or documentation

Challenges in managing export obligation timelines

Compliance issues during authorisation redemption

Lack of clarity on policy provisions and procedural requirements

Professional advisory helps exporters avoid compliance risks and ensure smooth utilisation of the scheme.

Our Services

Our Approach to Advance Authorization

End-to-end advisory support focused on eligibility, documentation, filing, compliance, and benefit optimisation.

Eligibility Assessment

Evaluation of export products and input requirements

Application Preparation

Preparation and filing of Advance Authorisation applications

Input-Output Norm Advisory

Guidance on determining input-output norms for manufacturing processes.

Export Obligation Management

Support in tracking and fulfilling export obligations

Redemption Support

Assistance with closure and redemption of Advance Authorisations

Documentation

Documents Required to Get Started

Share these documents with our team so we can assess eligibility and begin structuring the advisory process.

Import Export Code (IEC)

Product details and HS classification

Bill of materials or input-output details

Export orders or past export records

Import requirement details

FAQ

Frequently Asked Questions

It is a scheme allowing duty-free import of inputs used in the manufacture of export products.
Manufacturer exporters and merchant exporters supporting manufacturers may apply.
Yes, the inputs must be used in manufacturing products intended for export.
Yes, exporters must fulfil export obligations within the specified period.
Professional guidance helps ensure accurate applications and smooth compliance with scheme conditions.
Why SCS

Why Work with Shangrila Corporate Services

We help businesses reduce import costs and maximise benefits under import facilitation schemes.

Expertise in Foreign Trade Policy and DGFT schemes

Experience assisting exporters with import facilitation schemes

Structured approach to licensing, compliance, and documentation

Practical advisory for exporters managing complex trade regulations

Get Expert Advisory

Reduce Import Costs with Advance Authorisation Benefits

Evaluate eligibility for Advance Authorisation Prepare and file authorisation applications Manage export obligations and compliance requirements

Contact Us
No commitment | Expert consultation