TaxTMI 
TaxTMI 
Dear Sir,
Please clarify under DFIA Schemes, Can use Domestic raw material for producing export goods?
DFIA Schemes for Export
14 Aug 2020 
7 Replies 
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Domestic sourcing of inputs permitted under DFIA schemes allowing holders to procure indigenous inputs in lieu of imports.
Domestic sourcing of inputs is permitted under the DFIA/Advance Authorisation framework: holders of an Advance Authorisation or Duty Free Import Authorisation may procure inputs from indigenous suppliers, State Trading Enterprises, or designated domestic units in lieu of direct import, by using an Advance Release Order or an Invalidation Letter, pursuant to Para 4.20 and the applicability provisions in Para 4.25(b) of the FTP. (AI Summary)
Domestic sourcing of inputs is permitted under the DFIA/Advance Authorisation framework: holders of an Advance Authorisation or Duty Free Import Authorisation may procure inputs from indigenous suppliers, State Trading Enterprises, or designated domestic units in lieu of direct import, by using an Advance Release Order or an Invalidation Letter, pursuant to Para 4.20 and the applicability provisions in Para 4.25(b) of the FTP. (AI Summary)