Customs Integrated System will be rolled out in 2 years as a single, integrated and scalable platform

Fish catch by an Indian fishing vessel in Exclusive Economic Zone or on the High Seas will be made free of duty

The Government will roll out Customs Integrated System (CIS) in 2 years as a single, integrated and scalable platform for all the customs processes.

Announcing this while presenting the Union Budget 2026-27 in Parliament today, Union Minister of Finance & Corporate Affairs, Smt. Nirmala Sitharaman said that utilization of non-intrusive scanning with advanced imaging and AI technology for risk assessment will be expanded in a phased manner with the objective to scan every container across all the major ports.

The Union Minister further said that approvals required for cargo clearance from various Government agencies will be seamlessly processed through a single and interconnected digital window by the end of the financial year. She said that processes involved in clearance of food, drugs, plant, animal & wild life products, accounting for around 70 percent of interdicted cargo, will be operationalised on this system by April 2026 itself.

The Union Minister further said that for goods not having any compliance requirement, clearance will be done by Customs immediately after online registration is completed by the importer, subject to the payment of duty.

New export opportunities: The Finance Minister also said that the following measures will be taken to support Indian fishermen to fully harness the economic value of marine resources beyond our territorial waters:

a. Fish catch by an Indian fishing vessel in Exclusive Economic Zone (EEZ) or on the High Seas will be made free of duty.

b. Landing of such fish on foreign port will be treated as export of goods.

She also said that safeguards will be put in place to prevent misuse during fish catch, transit and transshipment.

The Finance Minister further announced a complete removal of the current value cap of ₹10 lakh per consignment on courier exports to support aspirations of India’s small businesses, artisans and start-ups to access global markets through e-commerce. In addition, handling of rejected and returned consignments will be improved with effective use of technology for identifying such consignments, she added.

The Finance Minister further said that there are honest taxpayers who are willing to settle disputes by paying all their dues, but they get deterred due to negative connotation associated with penalty. They will now be able close cases by paying an additional amount in lieu of penalty, she added.

Customs Integrated System rollout, duty free fish catch in EEZ/high seas, and removal of courier cap boost export facilitation. A two year rollout will establish a single, integrated and scalable Customs Integrated System with phased expansion of non intrusive scanning and AI for container risk assessment, and a single digital window to process inter agency approvals; regulated goods clearance will be operationalised by April 2026 and non compliant free goods will clear immediately after online registration and duty payment. Fish caught by Indian vessels in the EEZ or on the High Seas will be duty free and landing abroad treated as export, safeguards will be applied, and the Rs.10 lakh courier export cap will be removed.