DGFT Reforms to Speed Up Advance Authorisation

Streamlining Trade: New Reforms to Accelerate Advance Authorisation Processing

The Ministry of Commerce & Industry has introduced significant reforms aimed at enhancing the efficiency of Norms Committees under the Directorate General of Foreign Trade (DGFT). These changes are designed to expedite the processing of Advance Authorisation applications, a crucial step for exporters. The Advance Authorisation and Duty-Free Import Authorisation schemes are key components of the Foreign Trade Policy, allowing for the duty-free import of materials used in the production of export goods.

What’s Changing for Exporters?

Previously, the system for examining applications without pre-defined input-output norms relied on sector-specific Norms Committees. These committees, comprising technical authorities and domain experts, faced capacity limitations, with only twelve members handling applications as of February 2026. This led to delays and increasing pendency. To address these bottlenecks, several measures have been implemented: * **Enhanced Operational Guidelines:** Detailed guidelines have been issued to ensure consistency and uniformity in the functioning of the Norms Committees.
* **Fixed Meeting Schedules:** Meetings are now scheduled on a fixed fortnightly cycle, providing a predictable cadence for case review.
* **Prioritisation of Pending Cases:** Long-standing applications are being given priority for faster resolution.
* **Timeline Monitoring:** A systematic approach to monitoring case timelines is in place to track progress and identify any delays.
* **Special Disposal Drive:** A dedicated drive has been launched to clear pending applications, with cases being processed in chronological order to ensure fairness and transparency.
* **Increased Technical Capacity:** Ten new technical members have been nominated from various ministries, increasing the total strength of the committees from twelve to twenty-two. This augmentation aims to improve sectoral expertise and the committees’ capacity to handle a larger volume of applications.

Key Numbers and Impact

The reforms have already shown positive results. Between January 2026 and April 7, 2026, the Norms Committees held 38 meetings. During this period, they reviewed 3,925 cases and successfully disposed of 1,770 cases. These initiatives are expected to significantly improve processing timelines, reduce the backlog of applications, and bring greater predictability to the norms fixation process. This is particularly beneficial for exporters, including Micro, Small, and Medium Enterprises (MSMEs), by potentially reducing transaction costs and enhancing India’s export competitiveness. The Ministry of Commerce & Industry remains committed to further refining this mechanism to support exporters and foster trade growth.

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