Trade Of India

The ITC (HS) Code is an 8-digit system developed under the Harmonized System (HS) of nomenclature, which is used globally for the classification of goods. The first six digits of the code are uniform worldwide, while the last two digits are country-specific. In India, the ITC (HS) Code plays a crucial role in identifying products for exports and imports. It is also essential for compliance with trade policies and customs documentation.

The DGFT is the primary regulatory body overseeing India's import-export policies. It formulates and implements the Foreign Trade Policy (FTP) to promote exports and regulate imports. DGFT issues Importer Exporter Codes (IEC), licenses for exporters and importers, and administers various schemes such as SEIS (Service Exports from India Scheme) and MEIS (Merchandise Exports from India Scheme). It also ensures that India's trade aligns with international agreements and compliance standards.

The Duty Drawback Scheme allows exporters to claim a refund of duties and taxes paid on inputs used in manufacturing export products. This includes customs duties on raw materials, components, and packaging materials. The scheme is designed to enhance the competitiveness of Indian goods in the global market by offsetting domestic taxes and duties. For instance, if a manufacturer imports steel to produce machinery for export, the customs duty paid on the steel can be refunded under this scheme.