DFIA License Service

DFIA License – Duty-Free Import Authorization Scheme

The Duty-Free Import Authorization (DFIA) License is a beneficial scheme under India’s Foreign Trade Policy, enabling exporters to import raw materials, components, and fuel without paying customs duty, as long as these imports are used for manufacturing export products. It is specifically designed to support post-export imports and enhance the competitiveness of Indian goods in the global market.

For exporters, the DFIA License is not just a compliance tool – it’s a gateway to cost savings, operational efficiency, and global expansion.

What is DFIA Scheme?

Introduced by the Directorate General of Foreign Trade (DGFT), the DFIA Scheme allows exporters to import duty-free inputs after they have fulfilled their export commitments. This scheme operates on the Standard Input Output Norms (SION), which determine the allowable quantity of inputs against a certain export product.

Who Can Apply for DFIA License?

The scheme is open to:

• Manufacturer Exporters – Companies manufacturing goods for direct export.
• Merchant Exporters tied to Manufacturers – Coordinating exports through tied manufacturing units.
• Exporters dealing in sectors like engineering goods, textiles, chemicals, agriculture, and more.

Key Features of DFIA License:

• Issued post-export, ensuring genuine export performance.
• Transferable after completion of export obligation and issuance of EODC (Export Obligation Discharge Certificate).
• Allows duty-free import of inputs, including fuel, required for production.
• Covers a wide range of products and industries.

Benefits of DFIA License

• Zero Customs Duty – Save significantly on raw material and fuel costs.
• Post-Export Flexibility – Import inputs after completing exports.
• Transferable License – Once conditions are met, the license can be sold in the open market.
• Improved Competitiveness – Reduced production cost means competitive pricing globally.
• Wide Applicability – Works for multiple industries and product categories.

How DFIA License Works

• Export First – Export the product as per DGFT-approved norms.
• File Application with DGFT – Submit proof of exports and other documentation.
• Get DFIA Authorization – Receive the license for duty-free import.
• Import Duty-Free – Bring in the approved inputs without paying customs duty.
• License Transferability – Post EODC, transfer or sell the license if desired.

Why Choose SKJ Business Solutions LLP for DFIA Services?

With over 45 years of foreign trade consultancy experience, SKJ Business Solutions LLP offers unmatched DFIA expertise:

• Professional guidance from application to license transfer.
• In-depth knowledge of DGFT procedures and SION norms.
• Assistance in documentation, compliance, and timelines.
• Nationwide service coverage for exporters across India.

Our focus is on saving your time, reducing costs, and ensuring compliance – so you can concentrate on growing your export business.

Common Challenges in DFIA & Our Solutions

• Complex Norms – We simplify SION interpretations for your product.
• Documentation Issues – We prepare error-free applications for faster approval.
• Export Obligation Proofs – We help compile accurate records.
• License Transfer – We assist in smooth transfer or sale post EODC.

Documents Required for DFIA License

• Importer Exporter Code (IEC)
• Registration-cum-Membership Certificate (RCMC)
• Shipping bills and export invoices
• Bank Realisation Certificate (BRC)
• Statement of Inputs as per SION
• PAN & GST details

Post-DFIA Compliance

Once the export obligation is fulfilled, the exporter must apply for the Export Obligation Discharge Certificate (EODC). Only after receiving this can the license become transferable. Timely compliance ensures smooth license benefits and avoids penalties.

The DFIA License is a powerful tool for exporters seeking cost efficiency and competitive advantage in global markets. With the right partner like SKJ Business Solutions LLP, navigating the process becomes seamless, compliant, and profitable.

Contact Us Today – Unlock DFIA benefits and maximize your export profitability!