DGFT Revises Import Policy for ATS-8 Under Chapter 29

In a significant move aimed at regulating imports, the Government of India has issued Notification No. 30/2025-26, dated September 18, 2025, amending the import policy condition for ATS-8 under Chapter 29 of ITC HS, 2022, Schedule-I (Import Policy). This notification, issued by the Directorate General of Foreign Trade (DGFT), introduces restrictions on the import of ATS-8 with immediate effect, while providing exemptions for certain categories of importers.

Key Highlights of the Notification

Restricted Import of ATS-8 ATS-8 {(4R-Cis)-1,1-Dimethylethyl-6-cyanomethyl-2,2-dimethyl-1-3-dioxane-4-acetate}, a chemical compound covered under Chapter 29 of ITC HS, will now face import restrictions if its CIF (Cost, Insurance, and Freight) value is less than US$111 per kg. This restriction will remain in effect until September 30, 2026.
Exemptions for Specific Importers The Minimum Import Price (MIP) condition will not apply to imports by Advance Authorization holders, Export Oriented Units (EOUs), and units in Special Economic Zones (SEZs). However, these exemptions are subject to the condition that the imported inputs are not sold into the Domestic Tariff Area (DTA).
Unchanged Import Policy for Other Items The notification also clarifies that the import policy for other items under the specified HS codes remains “Free,” with no changes to their existing or revised policy conditions.

Effect of the Notification

The amendment aims to regulate the import of ATS-8 to ensure fair trade practices and prevent undervaluation. By setting a minimum CIF value threshold, the government seeks to curb imports of low-cost ATS-8, which could potentially disrupt the domestic market. At the same time, exemptions for Advance Authorization holders, EOUs, and SEZ units ensure that industries relying on imported inputs for export production are not adversely affected.

Implications for Stakeholders

Importers: Importers dealing in ATS-8 must ensure compliance with the new CIF value restriction to avoid penalties or rejection of shipments.
Export-Oriented Units and SEZs: These entities can continue importing ATS-8 without the MIP condition, provided the inputs are not sold in the domestic market.
Chemical Industry: Domestic manufacturers may benefit from reduced competition from low-cost imports, fostering growth and stability in the sector.

Conclusion

The revised import policy for ATS-8 reflects the government’s commitment to balancing trade regulation with industrial growth. By imposing restrictions on undervalued imports while exempting export-focused entities, the policy aims to protect domestic industries and promote fair trade practices. Stakeholders are advised to familiarize themselves with the new conditions and ensure compliance to avoid disruptions in their operations.

In case you face any issues related to Indirect Tax-Customs, GST, Foreign Trade Policy (FTP), Arbitration matters and Central Licensing and related advisory matters in India then please feel free to get in touch with SJ EXIM Services.

We offer Legal advice and litigation support in matters related to Indirect Tax-Customs, FTP, other Indirect Tax matters & Arbitration law, all sorts of Central licensing and related matters. Come and explore the new way of doing business with us!

Source: DGFT

Disclaimer

Handy Download:

DGFT Notification Download

Connect with us for more-

@ Team S J EXIM SERVICES, New Delhi, IN

CP: Ms. Shubhra Jha, Founder

Tel: +91-11-4999 2707 I +91-9999005693

Web: www.sjexim.services

EMAIL: operations@sjexim.services I shubhra@sjexim.services

Facebook: www.facebook.com/sjeximservices

LinkedIn: https://www.linkedin.com/company/90794255/admin/feed/posts/

YouTube: https://www.youtube.com/@sjeximIndia

Subscribe our WhatsApp Channel: https://whatsapp.com/channel/0029VaTxDT8JZg4CHEOSoK47

Subscribe our Telegram Channel: https://t.me/sjeximindia

S J EXIM Services