DGFT proposes to rewrite Para 2.93 of the Handbook of Procedures on non-preferential Rules of Origin, for exports and imports: Trade Notice 27/2026-27
DGFT has published a draft Public Notice that would replace Para 2.93 of the Handbook of Procedures, 2023 so that it prescribes non-preferential Rules of Origin for both exports and imports. For imports, the draft proposes origin by change in tariff heading or 35% value addition, declared by the importer through a self-declaration. Comments are invited within 15 days.
Key facts
- In force
- Draft only; comments within 15 days of publication of the Trade Notice dated 14 September 2026
- Who it affects
- Exporters, importers, customs brokers, agencies issuing Certificates of Origin, Export Promotion Councils
- What it is
- Comments invited
- Section
- Foreign Trade
- Published
- 14 September 2026
In 30 seconds
- Trade Notice No. 27/2026-27 is dated 14 September 2026; the draft Public Notice is at its Annexure-I.
- Exports: goods must be manufactured by the exporting entity (as “Manufacture” is defined in Para 11.31 of the FTP), and imported inputs must undergo processing beyond a list of eleven simple operations.
- Imports, Chapters 01 to 14 of the ITC (HS) Schedule: origin is the country where the goods are wholly obtained or produced, with a de-minimis tolerance of 1% of the value of the goods.
- Imports, other goods: origin is the country where all non-originating materials have undergone a change in tariff heading (4-digit HS level), or the good has undergone at least 35% value addition.
- The importer declares the country of origin by self-declaration; no separate Certificate of Origin for clearance unless expressly mandated by law or a notified country-specific requirement.
- Comments by e-mail to ramesh.dr@gov.in within 15 days from the date of publication of the Trade Notice.
हिंदी में सार
DGFT ने Trade Notice 27/2026-27 (14 सितंबर 2026) से Handbook of Procedures के पैरा 2.93 — गैर-अधिमान्य (non-preferential) Rules of Origin — में संशोधन का मसौदा जारी किया है, जो निर्यात और आयात दोनों के नियम तय करता है। आयात के लिए प्रस्ताव है कि मूल देश टैरिफ़ हेडिंग में बदलाव (4-अंकीय HS) या कम से कम 35% value addition से तय होगा और आयातक स्वयं घोषणा देगा। सुझाव प्रकाशन के 15 दिन के भीतर ramesh.dr@gov.in पर भेजे जा सकते हैं।
What DGFT has put out
By Trade Notice No. 27/2026-27 dated 14 September 2026, the Directorate General of Foreign Trade has proposed to amend Para 2.93 of the Handbook of Procedures, 2023 — Rules of Origin (Non-Preferential). The Trade Notice says the proposed amendment seeks to comprehensively prescribe these rules for both exports and imports. The draft Public Notice is placed at Annexure-I. It is a draft: nothing in it is in force yet.
Proposed rules for exports
An export product would be treated as originating in India (non-preferential) when:
- the goods are manufactured by the exporting entity, as per the definition of “Manufacture” in Paragraph 11.31 of the FTP; and
- where imported inputs (duty paid or duty free) have been used, those inputs undergo processing or operations that exceed the simple operations listed in the draft.
The operations that are not enough on their own are:
- removal of dust, sifting, sorting, classifying, matching, washing, painting, cutting;
- changes of packing, breaking up and assembly of consignments, and simple cutting, slicing, repacking and other simple packing operations;
- operations to preserve products during transport and storage (such as drying, freezing, chilling, placing in salt);
- affixing marks or labels;
- simple mixing, simple assembly of parts into a complete product, and disassembly;
- slaughter, meaning the mere killing of animals;
- mere dilution that does not materially alter the characteristics of the product;
- any combination of the above.
Certificates of Origin for exports
| Point | What the draft says |
|---|---|
| Who issues | Agencies notified in Appendix 2E; agencies authorised for preferential CoOs may also issue non-preferential CoOs |
| How to apply | Online via https://www.trade.gov.in, with a copy of the invoice and packing list |
| Fee | ₹200 for each Certificate of Origin, including attestation of any additional documents |
| Corrections | Online, as an “in-lieu CoO” application to the issuing agency |
| Self-certification | Manufacturer exporters who are also Status Holders, as per Annexure-III to Appendix 2E |
| Back-to-back CoO | For goods not of Indian origin meant for re-export, trans-shipment or merchanting trade, on documentary evidence of the foreign country of origin |
These certificates evidence origin and do not confer any right to preferential tariffs.
Proposed rules for imports
| Goods | Country of origin |
|---|---|
| ITC (HS) Chapters 01 to 14 | The country where the goods are wholly obtained or produced, subject to a de-minimis tolerance of 1% of the value of the goods |
| All other goods | The country where all non-originating materials used in the manufacture have undergone a change in tariff heading (4-digit HS level), or the good has undergone at least 35% value addition |
The draft gives the formula: Value Addition (%) = (FOB value of exports − value of non-originating material) ÷ FOB value of exports × 100.
The importer would declare the country of origin through a self-declaration naming the Bill of Entry number and date, the ITC (HS) code and the country. Goods would be cleared on that declaration. No separate Certificate of Origin would be required for clearance, except where expressly mandated under applicable law or a notified country-specific requirement.
Verification may be taken up later on a risk-based basis, limited to cases where there are reasonable grounds to doubt the declared origin or where country-specific conditions apply. Routine or repeated verification of the same goods, origin and circumstances is to be avoided.
What stakeholders should do
Exporters, importers, Export Promotion Councils and trade bodies who want to comment should e-mail ramesh.dr@gov.in within 15 days from the date of publication of the Trade Notice, with the subject line “Comments on Draft Amendment in Para 2.93 of the Handbook of Procedures, 2023 – Rules of Origin (Non-Preferential)”.
Questions and answers
Is the new Para 2.93 in force?
No. Trade Notice No. 27/2026-27 dated 14 September 2026 only circulates a draft Public Notice and invites comments within 15 days from the date of its publication.
How would the origin of imported goods be decided under the draft?
For goods of ITC (HS) Chapters 01 to 14, origin is the country where the goods are wholly obtained or produced, with a de-minimis tolerance of 1% of value. For other goods, it is the country where all non-originating materials have undergone a change in tariff heading at the 4-digit HS level, or where the good has undergone at least 35% value addition.
Would importers need a Certificate of Origin for clearance?
Under the draft, no separate Certificate of Origin or other origin-related document would be required for clearance, except where expressly mandated under applicable law or a notified country-specific requirement. The importer makes a self-declaration of origin.
What is the fee proposed for a non-preferential Certificate of Origin for exports?
The draft states a fee of ₹200 for each Certificate of Origin, including attestation of any additional documents.
Where should comments be sent?
By e-mail to ramesh.dr@gov.in, with the subject line “Comments on Draft Amendment in Para 2.93 of the Handbook of Procedures, 2023 – Rules of Origin (Non-Preferential)”.
Published 14 September 2026. Updated 9 October 2026. This report is for general information and is not professional advice. Read the source document before acting on it.