The Directorate General of Foreign Trade (DGFT) has announced amendments to the procedure for allocating Tariff Rate Quota (TRQ) for gold imports under the India–UAE Comprehensive Economic Partnership Agreement (CEPA). Effective immediately, the allocation of TRQ for gold will now be conducted through a competitive bidding or tender process to ensure greater transparency and more effective management of the import quota. This revision supersedes the earlier Public Notice no. 12/2023 dated April 28, 2023, and introduces stringent new eligibility requirements aimed at improving compliance and quality standards within the gold and jewelry sector.
New Eligibility and Screening Requirements
The amendments to Annexure-IV of Appendix-2A introduce mandatory screening requirements for all applicants seeking to import items under tariff head 7108 (Gold):
- BIS Hallmarking Registration: The eligible applicant must now be registered with the Bureau of Indian Standards (BIS) for hallmarking.
- GST Registration: The eligible applicant must also be registered with GST.
- Gold Dore Restriction: The existing prohibition on the import of Gold Dore under TRQ remains in place, and such imports will still not be considered.
Competitive Allocation Process
To ensure transparency and effective management of the TRQ quotas, the allocation process will transition from the previous method to a market-based approach:
- Allocation Method: Allocations will be undertaken based on a competitive bidding/tender process.
- Application Period: Eligible applicants for the TRQ under the India-UAE CEPA for the tariff head 7108 for FY 2025-26 must file their applications online through the DGFT website.
- Modality Notification: The permissible time period for submission of TRQ applications and the modalities for participation in the competitive online bidding/tender process will be notified through a separate Trade Notice every year.