DGFT Widens QCO Exemption for SEZ Imports

DGFT Widens QCO Exemption for SEZ Imports

In a recent notification, the Directorate General of Foreign Trade (DGFT) has broadened the Quality Control Order (QCO) exemption applicable to Special Economic Zone (SEZ) imports to encompass all permissible goods. This amendment signifies a major relaxation of previous requirements and aims to facilitate trade within SEZs.

Additionally, the DGFT has introduced a new compliance requirement mandating that products moving from SEZs to the domestic market must adhere to Bureau of Indian Standards (BIS) regulations. This dual approach appears designed to promote quality while simplifying the regulatory framework for goods entering India.

Legal advocates in trade and compliance sectors should advise their clients accordingly, ensuring that firms engaging in SEZ imports are aware of both the QCO exemption and the new BIS compliance mandates.