Public Notice, Dated 11-12-2025
1. Regulatory Update
The Directorate General of Foreign Trade (DGFT) has notified an amendment to Standard Input Output Norms (SION) A-290, which applies to the export product Metformin HCL. The amendment revises the Unit of Measurement (UOM) for certain import inputs used in the manufacture of the export product.
2. Key Clarification
- The UOM has been changed from a ratio-based measure (kg/kg) to an absolute quantity (Kg).
- The revised quantities are now fixed per unit of export product, eliminating ambiguity in calculation.
3. Effective Date
The amendment to SION A-290 comes into force with immediate effect.
All export and import authorisations issued or operated after the notification must comply with the revised norms.
4. Impact on Exporters and Authorisation Holders
The revised SION norms will impact:
- Advance Authorisation (AA) and DFIA holders exporting Metformin HCL
- Determination of eligible duty-free input quantities
- Compliance, declarations, and reporting under the Foreign Trade Policy (FTP)
Exporters must ensure that:
- Import quantities align strictly with the revised absolute UOM
- Authorisation applications, Bills of Entry, and shipping documents reflect the updated norms
- Internal consumption and wastage calculations are adjusted accordingly
5. Regulatory Intent
The amendment aims to:
- Improve clarity and precision in SION-based input entitlement
- Avoid interpretational issues arising from ratio-based UOMs
- Ensure uniform application of norms across authorisations and customs assessments
- Facilitate smoother scrutiny and faster clearance of export-linked imports
6. Compliance Takeaways
Exporters and trade compliance teams should:
- Update internal SION reference sheets and ERP systems
- Re-examine pending and future authorisation applications
- Train documentation teams on the revised UOM and quantities
- Ensure alignment with customs brokers to prevent mismatch or excess import issues
Non-compliance with revised norms may lead to authorisation objections, excess import disputes, or denial of benefits.
