In a significant policy update, the Central Board of Indirect Taxes and Customs (CBIC), under the Department of Revenue, Ministry of Finance, Government of India, has issued Instruction No. 29/2025-Customs, dated 12th September 2025, concerning the import of Aerospace Grade Hydrogen Peroxide for non-commercial research and development (R&D) applications.
This exemption addresses a long-standing issue in the scientific and aerospace research community, where strict adherence to the Hydrogen Peroxide (Quality Control) Order, 2022 (QCO) has created hurdles for importing specialized chemicals not adequately defined in existing Indian Standards.
Why the Exemption Was Needed
The Ministry of Chemicals and Fertilizers, in a recent official memorandum (O.M. dated 04.09.2025), clarified that the Indian Standard does not currently include specifications or categorization for Aerospace Grade Hydrogen Peroxide, particularly in the context of space and high-grade research applications. This omission created regulatory uncertainty for institutions and entities attempting to import the chemical for legitimate, non-commercial R&D purposes.
Aerospace Grade Hydrogen Peroxide is a highly specialized oxidizing agent used extensively in propulsion systems, aerospace material testing, and space technology experiments. Unlike commercial-grade variants, this chemical requires stringent quality and purity standards that often exceed civilian requirements.
Key Highlights of the CBIC Instruction
Exemption Granted: Import of Aerospace Grade Hydrogen Peroxide for non-commercial R&D purposes is now exempt from the QCO, 2022, which otherwise governs the quality specifications of imported hydrogen peroxide.
Scope Limited to R&D: This exemption is strictly limited to non-commercial applications. Commercial usage will continue to be governed under the Quality Control framework as notified earlier.
Administrative Action: The CBIC has directed all Principal Chief Commissioners and Commissioners under Customs and Customs (Preventive), as well as Directors General under CBIC, to sensitize officers within their jurisdiction to ensure smooth implementation of this instruction.
Feedback Mechanism: Stakeholders are encouraged to report any difficulties or procedural challenges faced during implementation to the Board, highlighting CBIC’s commitment to responsive governance.
Implications for the R&D Community
This exemption is a welcome relief for India’s growing space and aerospace research sectors, including public institutions like ISRO, DRDO, and academic R&D labs, as well as emerging startups in the private space technology ecosystem.
By removing regulatory bottlenecks, the government demonstrates its intention to promote indigenous innovation, support advanced scientific research, and align policy frameworks with global standards. It also sends a strong signal that India is serious about becoming a hub for cutting-edge aerospace and defense technology development.
Conclusion
This proactive move by CBIC, based on inputs from the Ministry of Chemicals and Fertilizers, reflects a collaborative and forward-thinking governance approach. It ensures that regulatory frameworks evolve in sync with the demands of high-end scientific research, paving the way for India to achieve greater self-reliance and global competitiveness in aerospace and defense technology.
As the policy landscape continues to adapt, stakeholders are encouraged to stay informed, compliant, and engaged with relevant authorities for seamless operations.