Monday, July 22, 2013: Now goods manufactured in India will be allowed to sell as Excise Free Goods in duty free shops. The Central Board of Excise and Customs, Government of India vide notification has provided for the excise duty-free sale of goods manufactured in India to international passengers or members of crew arriving from abroad at the Duty Free Shops (DFSs) located in the arrival halls of international airports and to passengers going out of India at the DFSs located in the departure halls of international airports in the country. The notification was issued on 23 May, 2013.
The government has also issued directions specifying the procedure for removal of the goods from the factory of production without payment of duty to godowns or retail outlets of DFSs and related matters.
According to the DeitY newsletter for the month of June, 2013, passengers or crew members coming from aboard are entitled to a duty-free baggage allowance subject to the conditions specified in the Baggage Rules, 1998.
Duty free shops located in the arrival halls sell duty-free imported goods. Indigenous goods are also being sold in the arrival halls, but they were previously not free of excise duty. This decision will encourage international travelers to buy electronic goods at DFS in India rather than importing them from abroad. It is likely to provide the much-desired boost to domestically manufactured electronic goods.
