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DGFT Notifies 7 New SIONs for Chemical and Allied Products to Streamline Advance Authorisation

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The Directorate General of Foreign Trade (DGFT), under the Ministry of Commerce and Industry, has notified seven new Standard Input Output Norms (SIONs) for products falling under the Chemical and Allied Products category. 

The notification introduces new SION entries from A-3708 to A-3714, aimed at facilitating faster grant of Advance Authorisations and ensuring uniformity in fixation of input-output norms. 

The notification has been issued by the DGFT in exercise of the powers conferred under Paragraph 1.03 of the Foreign Trade Policy, 2023, as amended from time to time. The newly introduced SIONs specify the quantity of permissible import inputs required for manufacturing specified export products, thereby providing certainty to exporters seeking duty-free import of inputs under the Advance Authorisation Scheme. 

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The newly notified SIONs include export products such as Theophylline (Anhydrous), Liraglutide Injection (18 mg/3 ml), Lumefantrine, Meropenem Injection (500 mg, 1 g and 2 g) and Ophthalmic Solution (Eyes & Ear Drops).

For each export product, the notification prescribes the eligible import items and the maximum quantity permitted. 

For instance:

  • Theophylline (Anhydrous) (SION A-3708) permits import of Cyano Acetic Acid 70% up to 0.89 kg for every 1 kg of export product.
  • Liraglutide Injection (SION A-3709) allows import of 19.8 mg of Liraglutide for one injectable pen.
  • Lumefantrine (SION A-3710) specifies multiple permissible inputs, including 9H Fluorene, Di-N Butylamine, Sodium Borohydride, Para Chloro Benzaldehyde and Di Methyl Formamide, with prescribed quantitative limits.
  • Separate SIONs have also been notified for Meropenem 500 mg, 1000 mg and 2000 mg Powder for Solution for Injection or Infusion, prescribing the quantity of Meropenem and Sodium Carbonate (Sterile Bulk) required for each vial.
  • A separate norm has also been notified for Ophthalmic Solution (Eyes & Ear Drops), permitting import of relevant bulk drugs in specified quantities. 

Objective is Faster Advance Authorisation Approvals

According to the notification, the principal objective behind notifying these new SIONs is to enable Regional Authorities of DGFT to grant Advance Authorisations directly in eligible cases, without referring individual applications to the Norms Committee.

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Mariya Paliwala
Mariya Paliwalahttps://www.jurishour.in/
Mariya is the Senior Editor at Juris Hour. She has 7+ years of experience on covering tax litigation stories from the Supreme Court, High Courts and various tribunals including CESTAT, ITAT, NCLAT, NCLT, etc. Mariya graduated from MLSU Law College, Udaipur (Raj.) with B.A.LL.B. and also holds an LL.M. She started her career as a freelance tax reporter in the leading online legal news companies.

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