Full Customs Duty Exemption To Be Provided On Critical Petrochemical Products

The government today said that full customs duty exemption will be provided on critical petrochemical products till 30th June this year amid the ongoing crisis in West Asia.

Addressing the media at the Interministerial Briefing on Recent Developments in West Asia, Member of the Central Board of Indirect Taxes and Customs, Sanjay Mangal, said that this measure has been taken as a temporary and targeted relief in order to ensure the continued availability of critical petrochemical inputs for the domestic industry and safeguard supply stability in the country. He added that this exemption is expected to benefit a large number of sectors that are dependent on petrochemicals and intermediate products like plastics, textiles, and pharmaceuticals, among others. He said that this will also provide relief to consumers of their final products.

Additional Secretary in the Ministry of Commerce and Industry, Lav Agarwal, informed that exporters who hold Advance Authorisations or Export Promotion Capital Goods authorizations have been given an additional three-month period till 31st August to fulfill their export commitments. He added that no license will lapse and no penalty will be imposed during this period, which will reduce the stress on the exporters. Mr Agarwal also informed that the Remission of Duties and Taxes on Export Products, which had been cut to 50% in February this year, has been restored to 100% with effect from the 23rd of March. He further stated that this will help exporters remain cost-competitive.

Underlining the measures taken by the Agricultural and Processed Food Products Export Development Authority (APEDA), the Additional Secretary said, the Registration cum Allocation Certificate validity for basmati exports has been increased by 45 days at no additional cost to exporters.’ He also informed about the Resilience and Logistics Intervention for Export Facilitation (RELIEF), which was announced by the government last month. Mr Agarwal said that this is aimed at fostering trade continuity, relieving cost burden, and protecting the supply chain.(updated on 2nd April 2026)