The Directorate General of Foreign Trade (DGFT), under the Ministry of Commerce and Industry, has announced amendments to the Foreign Trade Policy (FTP) 2023, offering relief to Advance Authorisation (AA) holders, Export Oriented Units (EOUs), and Special Economic Zones (SEZs).

Through Notification No. 28/2025-26, issued on August 28, 2025, the government has revised Para 2.03(A)(i)(g) of FTP 2023, which governs export obligations related to imports subjected to mandatory Quality Control Orders (QCOs).

Earlier, the export obligation (EO) period for imports under Advance Authorisation was restricted to 180 days from the date of clearance of consignments in respect of QCO-exempted chemical products notified by the Department of Chemicals & Petrochemicals (DCPC).

Under the new amendment, this restrictive clause has been removed, and the EO period has been uniformly extended to 18 months for all Advance Authorisation holders importing products under mandatory QCOs. Henceforth, the export obligation for such authorisations will follow the provisions outlined in Para 4.40 of the Handbook of Procedures, aligning all AA holders under a common compliance framework.

EO Period Extended: From the existing 6 months to 18 months for imports subjected to QCOs under DCPC.

Simplification of Compliance: The earlier restriction of 180 days for certain chemical products has been removed, reducing procedural hurdles.

Greater Flexibility: Exporters now have a longer timeline to meet their obligations, which is expected to ease compliance pressure and boost export competitiveness.

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