CBIC unveils deferred customs duty facility for eligible importers

The Central Board of Indirect Taxes and Customs (CBIC) has introduced a new facilitation measure for trusted manufacturers by enabling the facility of deferred payment of customs duty to a new category of importers called Eligible Manufacturer Importers (EMIs).

The EMI will be able to clear imported goods without paying customs duty at the time of clearance. Instead, the applicable duty can be paid on a monthly basis as prescribed under the deferred payment of import duty rules, 2016, helping manufacturers better manage cash flows and working capital. This reform is expected to improve ease of doing business, strengthen the compliance culture, promote wider participation in the Authorised Economic Operator programme, providing boost to domestic manufacturing.