Handbook on Cosmetics Industry in India

Dated: 03/01/2017

PREFACE

The “Handbook on Cosmetics Industry in India has been conceptualized as a one stop reference for stake holders of this field.

The total size of the Indian retail beauty and cosmetics market is currently estimated at $950 million. The overall beauty and wellness market in India, which includes beauty services, is $2.68 billion. The cosmetics market in India is growing at 15-20% annually, twice as fast as that of the United States and European market. Premium global brands are gaining sales as Indian consumers gain exposure to the global media and move from functional items to advanced and specialized cosmetic products.

The emergence of a young urban elite population with increasing disposable income in cities, including an increase in the number of working women looking for lifestyle-oriented and luxury products is the main driver of demand for imported cosmetics products. Indian consumers tend to look towards international brands as lifestyle enhancement products.

As per G.S.R (426E) dated: (19th May 2010) New Cosmetics Import Regulations which has been introduced, has come into force w.e.f. 01.04.2013. Registration under the new provisions are going to be an time consuming affair, therefore firms desirous of importing Cosmetics into India & firms already importing would do well to join the Registration given at the earlier possible.

The Handbook while discussing in-depth the Regulatory environment for Cosmetics with respect to the “Drugs & Cosmetics Act, 1940’ of India and the rules made thereunder, discusses about crucial Indian standards with respect to composition of cosmetics. Thereafter, the Handbook elaborates upon the Customs duty structure of Chapter 32 (Tanning or Dyeing Extracts; Tannins and their derivatives; Dyes, Pigments and Other Colouring matter; Paints & varnishes; Putty and other Mastics; Inks) and Chapter 33 (Essential Oils and Resinoids; Perfumery Cosmetic or Toilet Preparations) of Harmonized System of Nomenclature (HSN) on which the Indian Customs tariff is aligned with. Herein it is mentioned that Chapter 32 & 33 of HSN has been kept in focus as these chapter covers within its ambit all and every type of Cosmetics.

The Handbook will give the readers a comprehensive idea on all the issues related to Tax & Regulatory Compliance, Related Codes, Duty Structure and Packing & Labeling requirements of the Cosmetics Industry in India. It contains detailed information on the various BIS standards related to the restricted ingredients for manufacturing Cosmetics.

A complete chapter dedicated to the Procedure for obtaining the Registration from CDSCO for Cosmetics Imports to India.

We are sure this manual will be of immense use for the readers and their business. It will give a complete insight into various Tax & Regulatory affairs for Cosmetics Industry in India.

WITH BEST REGARDS:-

SJ EXIM Team

We are pleased to introduce ourselves as one of the upcoming niche management consulting firm in India; striving to build our reputation and credibility on providing one stop solutions to firms, to enter and expand in the Indian markets. Our domain expertise is in the field of International Trade Regulatory compliance and Market Access issues in India. The outline of this manual would give the users a perspective of its coverage in details.

DISCLAIMER

It is mentioned that while every possible measure has been taken to ensure the factual and analytical content of this handbook, readers are strongly advised to refer to official sources before affecting any actual business or commercial decision.

As value added service we would be updating the manual for its subscribers with regards to any emergent / important development pertaining to regulatory environment of cosmetics.

INDEX

 

S.NO. CONTENTS PAGE
Chapter – 1 The Regulatory Environment Governing Import of Cosmetics into India I –( 1 – 44)
  The Drugs And Cosmetics Act – 1940  
  The Drugs And Cosmetics Rules – 1945  
  Proposed Guidelines  
  Standards For Cosmetics  
  Schedule Q  
  Form – 42  
  Checklist Of Information  
  Checklist Of Dossier  
  Explanatory Notes  
  Schedule III  
  Form – 43  
  Conditions of The Registration Certificate  
Chapter – 2 Indian Standard Classification of Cosmetics Raw Materials And Adjuncts  (IS 4707 Part – I) II –(1 – 17)
  Scope  
  Reference  
  Terminology  
  List of Colouring Agents Allowed For Use In Cosmetic Products  
  Table 1 GRAS List of Colouring Agents  
  List of Substances Excluded  From The Scope Of The Directive  
  Other Details  
Chapter – 3 Indian Standard Classification of Cosmetics Raw Materials And Adjuncts  (IS 4707 Part – II) III – (1 – 90)
  Scope  
  Terminology  
  GNRAS Lists For Ingredients Other Than Dyes Pigments And Colours  
  List Of Substances Which Must Not Form Part Of The Composition Of Cosmetic Products  
  List Of Substances Which Cosmetic Products Must Not Contain In Except Subject To Restrictions And Conditions Laid Down  
  List Of Preservatives Which Cosmetic Products May Contain Preamble  
  List Of Permitted UV Filters Which Cosmetic Products May Contain  
Chapter – 4 Chapter 32 Of Indian Customs Tariff (DUTY STRUCTURE) IV – (1 – 16)
Chapter – 5 Chapter 33 Of Indian Customs Tariff (DUTY STRUCTURE) V – (1 – 8)
Chapter – 6 Duty Drawback Rates Chapter 32 & 33 VI– (1 – 25)
Chapter – 7 HSN Explanatory Notes Of Chapter 32 (2007) VII – (1 – 15)
Chapter – 8 HSN Explanatory Notes Of Chapter 33 (2007) VIII – (1 – 15)
Chapter – 9 EXIM Statistics Of Chapter 32 Of Indian Customs Tariff (HSN)(2011-2012) IX – (1 – 12)
Chapter – 10 EXIM Statistics Of Chapter 32 Of Indian Customs Tariff (HSN)(2012-2013) X – (1 – 13)
Chapter – 11 EXIM Statistics Of Chapter 33 Of Indian Customs Tariff (HSN) (2011-2012) XI – (1 – 6)
Chapter – 12 EXIM Statistics Of Chapter 33 Of Indian Customs Tariff (HSN) (2012-2013) XII – (1 – 6)
Chapter – 13 Foreign Trade Policy Guidelines for CHAPTER- 32 XIII –(1–7)
Chapter – 14 Foreign Trade Policy Guidelines for CHAPTER- 33 XIV –( 1–4)
Chapter – 15 Packing and Labeling Compliance XV –( 1–9)
Chapter – 16 Good Manufacturing Practice in Cosmetics XVI –(1 – 84)
Chapter – 17 Guide to Indian Border Control on IPR XVII –( 1–50)

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