New DGFT Rules for Gold Imports: Advance Authorization Conditions under SIONs M-1 to M-8

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Dated: 15.05.2026

New DGFT Rules for Gold Imports: Advance Authorization Conditions under SIONs M-1 to M-8

The Directorate General of Foreign Trade (DGFT) has issued Public Notice 11 dated 14 May 2026, introducing significant updates to the rules governing Advance Authorizations for gold imports under the Standard Input Output Norms (SIONs) M-1 to M-8 for the Gems and Jewellery Product Group. These changes aim to enhance compliance, transparency, and oversight in the import and export of gold by authorized manufacturers.

Key Highlights of the New Conditions

Maximum Permissible Quantity for Gold Imports
- Advance Authorizations for gold imports are now capped at a maximum of 100 kilograms per authorization. This limit is designed to prevent excessive imports and ensure responsible sourcing.
Mandatory Physical Inspection for First-Time Applicants
- First-time applicants seeking Advance Authorization must undergo a physical inspection of their manufacturing facility. The regional authority will verify the existence, capacity, and operational status of the facility, ensuring only genuine manufacturers are granted authorization.
Progressive Compliance for Subsequent Authorizations
- Subsequent Advance Authorizations will only be issued if the applicant has fulfilled at least 50% of the export obligation prescribed under previous authorizations. This progressive compliance requirement ensures that manufacturers are actively exporting and not merely stockpiling gold.
Fortnightly Performance Reporting
- Authorization holders must submit a performance report every two weeks to their Regional Authority. This report, certified by an independent Chartered Accountant, must detail gold imports and exports under the authorization, facilitating effective oversight and compliance monitoring.
Centralized Monitoring by DGFT Headquarters
- Regional Authorities are required to submit a monthly consolidated report to DGFT Headquarters. This report includes details of Advance Authorizations issued and corresponding import/export transactions, enabling centralized policy oversight and monitoring.

Implications for the Gems and Jewellery Industry

Enhanced Oversight: The new reporting and inspection requirements will help curb misuse and ensure that only legitimate manufacturers benefit from the scheme.
Streamlined Compliance: Progressive compliance and regular reporting will encourage timely fulfillment of export obligations, supporting India’s export targets.
Transparency: Independent certification and centralized monitoring will increase transparency in gold import and export transactions.

Steps for Manufacturers

Ensure your manufacturing facility is ready for inspection if applying for the first time.
Track export obligations closely to qualify for subsequent authorizations.
Prepare to submit fortnightly reports, certified by a Chartered Accountant, detailing all gold import and export activities.
Stay updated with your Regional Authority for any additional compliance requirements.

Conclusion

Public Notice 11 introduces robust measures to regulate gold imports under Advance Authorizations, balancing industry growth with responsible practices. Manufacturers should familiarize themselves with these new conditions to ensure smooth operations and compliance.

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Source: DGFT

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