Circular No. 28/2026-Customs: A Major Trade Facilitation Measure for Export Sample Testing

Introduction

The Government of India, through the Ministry of Finance, Department of Revenue, Central Board of Indirect Taxes and Customs (CBIC), has issued Circular No. 28/2026-Customs (F. No. 401/24/2026-Cus. II) with the objective of streamlining the testing process for export consignments. The circular addresses a long-standing concern raised by exporters regarding delays caused by mandatory referral of samples to Revenue Laboratories, even when valid test reports from accredited laboratories were already available.

The circular represents a significant trade facilitation initiative aimed at reducing procedural bottlenecks, avoiding duplication of testing, and enhancing the ease of doing business for exporters. It recognizes the growing role of accredited testing laboratories in international trade and seeks to align customs procedures with practical commercial realities.

Background of the Issue

Exporters frequently need to obtain testing and quality certifications for their products before exporting them to foreign markets. Such certifications are often required to comply with:

• Technical regulations of importing countries;
• Product quality standards;
• Sanitary and phytosanitary (SPS) requirements;
• Safety regulations;
• Environmental standards; and
• Other statutory compliance requirements.

To meet these obligations, exporters routinely obtain test reports from laboratories accredited by the National Accreditation Board for Testing and Calibration Laboratories (NABL), Export Promotion Councils (EPCs), or other recognized agencies.

Despite possessing such certifications, exporters often faced a situation where customs authorities required samples to be sent again to the Central Revenue Control Laboratory (CRCL) or other Revenue Laboratories. This resulted in duplicate testing, increased costs, procedural complexity, and delays in export clearance. Representations received by the CBIC highlighted these concerns and emphasized the need for a more efficient mechanism that recognizes the validity of reports issued by accredited laboratories.

Existing Framework for Sample Testing

Before issuing the present circular, CBIC had already established a framework governing laboratory testing through various instructions and circulars.

Circular No. 43/2017-Customs dated 16 November 2017

This circular identified categories of products whose samples could not be tested in CRCL laboratories and specified alternative laboratories functioning under various ministries, departments, and organizations where such testing could be conducted.

Circular No. 11/2018-Customs dated 17 May 2018

This circular further expanded and clarified the list of products and designated laboratories for testing purposes, ensuring that specialized samples were tested by competent institutions.

Circular No. 46/2020-Customs dated 15 October 2020

The Board issued detailed guidelines regarding testing of samples by Revenue Laboratories and the procedure to be followed for handling samples sent for examination. While these circulars provided a structured testing mechanism, exporters continued to face practical challenges due to repetitive testing requirements.

Key Clarification Issued by Circular No. 28/2026-Customs

The central objective of the new circular is to eliminate unnecessary duplication in the testing process for export consignments. The Board has clarified that exporters may continue to voluntarily obtain test reports from:

• NABL-accredited laboratories;
• Accredited laboratories recognized by Export Promotion Councils (EPCs); and
• Other recognized agencies.

Where such test reports are submitted for compliance with the regulatory requirements of the importing country, and there is no risk-based intervention or intelligence input, customs officers are directed to consider these reports without mandatorily referring samples to CRCL. This clarification introduces a more pragmatic and business-friendly approach to export clearance procedures.

Significance of the Circular

1. Reduction in Export Delays

One of the most important outcomes of the circular is the reduction of delays in export processing. Testing through CRCL or other Revenue Laboratories can often take additional time due to sample transportation, queue management, laboratory examination, and issuance of reports. By accepting reports already issued by accredited laboratories, customs authorities can expedite the clearance process. Faster clearance directly contributes to improved supply chain efficiency and timely delivery of goods to international buyers.

2. Elimination of Duplicate Testing

The circular recognizes that many exporters have already incurred costs and effort in obtaining valid test reports from recognized laboratories. Requiring another round of testing often serves little practical purpose when the reports are reliable and internationally accepted.

Avoiding duplicate testing reduces:

• Administrative burden;
• Compliance costs;
• Resource consumption; and
• Procedural redundancies.

3. Promotion of Trust-Based Compliance

The circular reflects a shift towards trust-based regulation and risk management. Instead of subjecting every export consignment to repeated verification, customs authorities are encouraged to rely on accredited testing systems unless specific concerns arise. Such an approach aligns with modern customs administration practices adopted globally.

4. Strengthening Ease of Doing Business

India has consistently undertaken reforms aimed at improving its business environment and facilitating international trade. The acceptance of accredited laboratory reports supports these efforts by reducing procedural hurdles and promoting exporter confidence. The measure is particularly beneficial for sectors where testing is routine and mandatory, such as:

• Pharmaceuticals;
• Food products;
• Agricultural commodities;
• Chemicals;
• Textiles;
• Engineering goods; and
• Consumer products.

Role of Risk-Based Intervention

While the circular introduces significant relaxation, it does not eliminate customs oversight. The Board has specifically clarified that where there is:

• Risk-based intervention;
• Intelligence inputs;
• Suspicion of misdeclaration;
• Concerns regarding product quality or classification; or
• Any other enforcement-related issue,

the proper officer shall continue to follow the existing procedures for withdrawal and testing of samples. In such situations, samples may still be referred to CRCL or other accredited laboratories as per existing instructions. This ensures that trade facilitation does not compromise regulatory enforcement or revenue protection.

No Change for Import Consignments

A noteworthy aspect of the circular is its limited applicability. The relaxation applies only to export consignments. The Board has categorically clarified that the existing procedure for import consignments remains unchanged.

Accordingly:

• Import samples will continue to be drawn where required;
• Samples will be sent to CRCL or other designated laboratories;
• Existing testing protocols will remain applicable; and
• Customs officers will continue to follow extant instructions for imports.

This distinction reflects the different risk profiles associated with imports and exports.

Impact on Stakeholders

Exporters

Exporters stand to gain the most from the circular. Benefits include:

• Faster customs clearance;
• Reduced testing costs;
• Lower compliance burden;
• Improved shipment planning; and
• Enhanced competitiveness in international markets.

Customs Authorities

For customs formations, the circular helps optimize resources by reducing the number of samples requiring laboratory examination. This allows laboratories and officers to focus on high-risk consignments and enforcement-related cases.

Accredited Laboratories

The circular enhances the credibility and significance of NABL-accredited laboratories and other recognized testing agencies. Their reports now carry greater practical utility in customs processes relating to exports.

International Buyers

Foreign buyers often require prompt delivery and reliable quality certification. Faster clearance supported by recognized laboratory reports can improve confidence in Indian exporters and strengthen trade relationships.

Administrative Directions

To ensure effective implementation, the Board has instructed all Principal Chief Commissioners, Chief Commissioners, Principal Commissioners, Commissioners, and Director Generals under CBIC to sensitize officers under their jurisdiction regarding the new clarification. Field formations have also been directed to issue suitable trade notices so that exporters and other stakeholders are adequately informed about the revised position. The Board has further invited field formations to report any difficulties encountered during implementation for appropriate resolution.

Conclusion

Circular No. 28/2026-Customs marks an important step in India's ongoing efforts to modernize customs procedures and facilitate exports. By recognizing test reports issued by NABL-accredited laboratories, EPC-recognized laboratories, and other approved agencies, the CBIC has addressed a significant concern of the exporting community.

The circular strikes a careful balance between trade facilitation and regulatory oversight. While it removes unnecessary duplication of testing in normal cases, it preserves the authority of customs officers to order testing where risk indicators or intelligence inputs warrant closer scrutiny.

The measure is expected to reduce transaction costs, accelerate export clearances, improve operational efficiency, and strengthen India's position as a competitive global trading partner. As exports continue to play a vital role in economic growth, such reforms contribute meaningfully to creating a more efficient, predictable, and business-friendly customs environment.