CBIC Includes Air Canada in List of Airlines Eligible for Customs Duty Exemption

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Dated: 02.07.2025

CBIC Includes Air Canada in List of Airlines Eligible for Customs Duty Exemption

The Government of India, through the Ministry of Finance (Department of Revenue), has issued Notification No. 32/2025-Customs dated 30th June 2025, amending the long-standing Notification No. 130/2010-Customs. This amendment formally includes Air Canada, under S. No. 48, in the list of eligible airlines that can avail customs duty exemptions under specified conditions.

Legal Basis of the Notification

Issued under Section 25(1) of the Customs Act, 1962, which empowers the government to exempt goods from duty in the public interest.
Amends Notification No. 130/2010-Customs, which provides exemption to airlines for import of specified goods (usually spares, catering items, consumables, etc.) under customs control, subject to licensing and other conditions.

What’s New?

Air Canada is now officially added to the TABLE of eligible airlines under Notification 130/2010.
Entry made as Serial No. 48 – “Canada – Air Canada”.
This inclusion allows Air Canada to import eligible goods into India duty-free under the terms of the principal notification.

Effective Date

The notification comes into force on 1st July 2025.

Impact and Relevance

This amendment:

Facilitates Air Canada’s international operations into India, especially at major airports like Delhi, Mumbai, and Bengaluru.
Enhances bilateral air transport cooperation between India and Canada.
Enables cost-effective cargo and passenger services by extending duty-free import benefits on eligible airline goods such as:
- Aircraft parts and equipment
- Inflight supplies
- Maintenance consumables

Background on Notification No. 130/2010-Customs

First issued on 23rd December 2010, the principal notification grants conditional duty exemptions to specified airlines.
Most recently amended by Notification No. 45/2022-Customs dated 31st August 2022.

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Source: CBIC, Ministry of Finance, Govt. of India

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