India: Launch of Duty Deferment Scheme for Manufacturer Importers (April 1, 2026)

Key Information

On March 28, 2026, the CBIC organized a program in New Delhi to introduce the Duty Deferment Scheme for eligible manufacturer importers (EMI). This new scheme, effective from April 1, 2026 for two years, allows importers to defer the payment of customs duties upon import. The entire process is fully digital through the AEO portal.

Key Points

• Comes into force on April 1, 2026, valid through March 31, 2028.
• Online registration procedure available on the AEO portal (www.aeoindia.gov.in) since March 1, 2026.
• Manufacturer importers, including SMEs, can defer customs duties and fulfill their payment obligations monthly, improving cash flow management and competitiveness.

Background and Issues

This scheme is part of the 2026-2027 Union Budget initiative, supported by the CBIC and the Indian Ministry of Finance. The Duty Deferment Scheme aims to support industrial recovery (Make in India) by facilitating liquidity, logistics planning, and customs compliance. It is open to all organizations with a valid IEC code, at least 25 EXIM documents (10 for SMEs), GST compliance with no delays, and financial soundness. There is no reference to any European Union legislation, as the scheme falls under Indian law.

Impact on the Profession

Customs declarants must ensure their clients' tax and financial compliance before submitting applications. Importers benefit from a systematic deferral of customs duty payment, optimizing working capital needs and speeding up customs clearance. Freight forwarders will adapt their document management and processes accordingly. Compliance officers will reinforce GST compliance monitoring and submitted EXIM files. The entire profession will need to integrate monthly deadline management into their tracking and reminder tools.

Next Steps

• Applications can be submitted via the AEO portal since March 1, 2026.
• Scheme benefits available from April 1, 2026 in all Indian customs offices.
• Authorizations valid until March 31, 2028.
• Ongoing monitoring of implementation and sharing of feedback with CBIC for potential regulatory improvements.

Duty Deferment Scheme India available for EMI and SMEs from April 1, 2026; monthly deferred payment via AEO.

Source: Indiasnews.net / CBIC press release, March 28, 2026