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.
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
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.
- 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
Structured advisory helps evaluate eligibility, prepare accurate documentation, and reduce execution risk while pursuing available trade policy benefits.
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.
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 of Advance Authorization
Structured implementation can help improve cost efficiency, reduce procedural risk, and support better trade outcomes.
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
How Advance Authorization Works
A practical workflow for evaluating eligibility, preparing documentation, submitting applications, and managing follow-through.
Application for Advance Authorisation through the DGFT portal
Approval of authorisation specifying permitted inputs and quantities
Import of raw materials without payment of customs duties
Manufacturing of export products using imported inputs
Fulfilment of export obligation within the specified time period
After completing the export obligation, exporters must apply for redemption of the authorisation.
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 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
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
Frequently Asked Questions
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
Reduce Import Costs with Advance Authorisation Benefits
Evaluate eligibility for Advance Authorisation Prepare and file authorisation applications Manage export obligations and compliance requirements