{"id":5045,"date":"2025-07-26T17:30:27","date_gmt":"2025-07-26T12:00:27","guid":{"rendered":"https:\/\/www.centaxonline.com\/blog\/?p=5045"},"modified":"2025-07-26T17:30:27","modified_gmt":"2025-07-26T12:00:27","slug":"cbic-clarifies-input-correlation-rules-under-dfia-scheme","status":"publish","type":"post","link":"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme","title":{"rendered":"CBIC Clarifies Input Correlation Rules Under DFIA Scheme"},"content":{"rendered":"

Circular No. 20\/2025-Customs<\/a>, Dated 24-07-2025<\/i><\/p>\n

1. Background<\/h2>\n

The Central Board of Indirect Taxes and Customs (CBIC) has issued a circular to clarify the correlation requirements of inputs with export products under the Duty-Free Import Authorisation (DFIA) Scheme<\/strong>, as governed by the Foreign Trade Policy (FTP), 2023<\/strong>.<\/p>\n

2. Key Clarification on Input Correlation<\/h2>\n

The circular draws a clear distinction based on the relevant paragraphs of the FTP:<\/p>\n

    \n
  • \n

    Paragraph 4.29 Inputs<\/strong>: For inputs listed under Para 4.29<\/strong>, importers must establish technical correlation<\/strong> between the imported inputs and the exported product. This includes alignment of:<\/p>\n<\/li>\n<\/ul>\n

      \n
    1. \n
        \n
      1. Technical characteristics<\/li>\n
      2. Quality<\/li>\n
      3. Specifications<\/li>\n<\/ol>\n<\/li>\n<\/ol>\n
          \n
        • \n

          Paragraphs 4.12 and 4.28(iv) Inputs<\/strong>: For inputs falling under Para 4.12<\/strong> and Para 4.28(iv)<\/strong>, the requirement is more relaxed. Exporters are only required to:<\/p>\n

            \n
          1. \n

            Declare the specific name of the input<\/p>\n<\/li>\n

          2. Mention the quantity used in the exported product<\/li>\n<\/ol>\n

            No disclosure of technical details, quality standards, or specifications is necessary for these categories.<\/p>\n<\/li>\n<\/ul>\n

            3. Implications for Importers and Exporters<\/h2>\n
              \n
            • Importers must review the classification of their inputs under the FTP to determine the extent of correlation documentation required.<\/li>\n
            • Only those dealing with Para 4.29 items need to prepare detailed technical justifications.<\/li>\n
            • For other categories, simplified declaration suffices, aiding in ease of compliance and trade facilitation<\/strong>.<\/li>\n<\/ul>\n

              4. Direction to Trade and Customs Authorities<\/h2>\n

              The CBIC has instructed customs formations and trade associations to:<\/p>\n

                \n
              • Issue relevant Public Notices and Standing Orders<\/strong><\/li>\n
              • Ensure that both officers and exporters are informed about the updated correlation requirements<\/li>\n
              • Promote uniformity in application and avoid procedural delays during clearances<\/li>\n<\/ul>\n

                5. Summary<\/h2>\n

                This clarification by the CBIC helps streamline the documentation process<\/strong> under the DFIA Scheme by distinguishing the input categories that necessitate technical correlation. It ensures that compliance burdens are proportionate and policy-aligned<\/strong>, while also facilitating a smoother trade process.<\/p>\n","protected":false},"excerpt":{"rendered":"

                Circular No. 20\/2025-Customs, Dated 24-07-2025 1. Background The Central Board of Indirect…<\/p>\n","protected":false},"author":8,"featured_media":5079,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[38,178,47],"tags":[],"class_list":["post-5045","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-customs","category-customs-news","category-customs-statutory-scope"],"yoast_head":"\nCBIC Clarifies Input Correlation Rules Under DFIA Scheme<\/title>\n<meta name=\"description\" content=\"CBIC clarifies input correlation under DFIA: technical specs needed for Para 4.29 inputs; simplified declarations suffice for others as per FTP 2023.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"CBIC Clarifies Input Correlation Rules Under DFIA Scheme\" \/>\n<meta property=\"og:description\" content=\"CBIC clarifies input correlation under DFIA: technical specs needed for Para 4.29 inputs; simplified declarations suffice for others as per FTP 2023.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme\" \/>\n<meta property=\"og:site_name\" content=\"Centax-Blogs\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/centaxindia\" \/>\n<meta property=\"article:published_time\" content=\"2025-07-26T12:00:27+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.centaxonline.com\/blog\/wp-content\/uploads\/2025\/07\/6.-CBIC-Clarifies-Input-Correlation-Rules-Under-DFIA-Scheme.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"920\" \/>\n\t<meta property=\"og:image:height\" content=\"540\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Kriti Sharma\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Kriti Sharma\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme\"},\"author\":{\"name\":\"Kriti Sharma\",\"@id\":\"https:\/\/www.centaxonline.com\/blog\/#\/schema\/person\/ec6616ec60dcf123f90d827e5ad10270\"},\"headline\":\"CBIC Clarifies Input Correlation Rules Under DFIA Scheme\",\"datePublished\":\"2025-07-26T12:00:27+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme\"},\"wordCount\":287,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/www.centaxonline.com\/blog\/#organization\"},\"image\":{\"@id\":\"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.centaxonline.com\/blog\/wp-content\/uploads\/2025\/07\/6.-CBIC-Clarifies-Input-Correlation-Rules-Under-DFIA-Scheme.jpg\",\"articleSection\":[\"Customs\",\"News\",\"Statutory Scope\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme\",\"url\":\"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme\",\"name\":\"CBIC Clarifies Input Correlation Rules Under DFIA Scheme\",\"isPartOf\":{\"@id\":\"https:\/\/www.centaxonline.com\/blog\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.centaxonline.com\/blog\/wp-content\/uploads\/2025\/07\/6.-CBIC-Clarifies-Input-Correlation-Rules-Under-DFIA-Scheme.jpg\",\"datePublished\":\"2025-07-26T12:00:27+00:00\",\"description\":\"CBIC clarifies input correlation under DFIA: technical specs needed for Para 4.29 inputs; simplified declarations suffice for others as per FTP 2023.\",\"breadcrumb\":{\"@id\":\"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme#primaryimage\",\"url\":\"https:\/\/www.centaxonline.com\/blog\/wp-content\/uploads\/2025\/07\/6.-CBIC-Clarifies-Input-Correlation-Rules-Under-DFIA-Scheme.jpg\",\"contentUrl\":\"https:\/\/www.centaxonline.com\/blog\/wp-content\/uploads\/2025\/07\/6.-CBIC-Clarifies-Input-Correlation-Rules-Under-DFIA-Scheme.jpg\",\"width\":920,\"height\":540,\"caption\":\"DFIA input correlation\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/www.centaxonline.com\/blog\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"CBIC Clarifies Input Correlation Rules Under DFIA Scheme\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.centaxonline.com\/blog\/#website\",\"url\":\"https:\/\/www.centaxonline.com\/blog\/\",\"name\":\"Centax-Blogs\",\"description\":\"\",\"publisher\":{\"@id\":\"https:\/\/www.centaxonline.com\/blog\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.centaxonline.com\/blog\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/www.centaxonline.com\/blog\/#organization\",\"name\":\"Centax-Blogs\",\"url\":\"https:\/\/www.centaxonline.com\/blog\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.centaxonline.com\/blog\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/www.centaxonline.com\/blog\/wp-content\/uploads\/2023\/12\/CNETAX-LOGO-1.webp\",\"contentUrl\":\"https:\/\/www.centaxonline.com\/blog\/wp-content\/uploads\/2023\/12\/CNETAX-LOGO-1.webp\",\"width\":536,\"height\":133,\"caption\":\"Centax-Blogs\"},\"image\":{\"@id\":\"https:\/\/www.centaxonline.com\/blog\/#\/schema\/logo\/image\/\"},\"sameAs\":[\"https:\/\/www.facebook.com\/centaxindia\"]},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.centaxonline.com\/blog\/#\/schema\/person\/ec6616ec60dcf123f90d827e5ad10270\",\"name\":\"Kriti Sharma\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.centaxonline.com\/blog\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/ae7808b01d77de5dd0be43270be33948?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/ae7808b01d77de5dd0be43270be33948?s=96&d=mm&r=g\",\"caption\":\"Kriti Sharma\"},\"url\":\"https:\/\/www.centaxonline.com\/blog\/author\/kriti\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"CBIC Clarifies Input Correlation Rules Under DFIA Scheme","description":"CBIC clarifies input correlation under DFIA: technical specs needed for Para 4.29 inputs; simplified declarations suffice for others as per FTP 2023.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme","og_locale":"en_US","og_type":"article","og_title":"CBIC Clarifies Input Correlation Rules Under DFIA Scheme","og_description":"CBIC clarifies input correlation under DFIA: technical specs needed for Para 4.29 inputs; simplified declarations suffice for others as per FTP 2023.","og_url":"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme","og_site_name":"Centax-Blogs","article_publisher":"https:\/\/www.facebook.com\/centaxindia","article_published_time":"2025-07-26T12:00:27+00:00","og_image":[{"width":920,"height":540,"url":"https:\/\/www.centaxonline.com\/blog\/wp-content\/uploads\/2025\/07\/6.-CBIC-Clarifies-Input-Correlation-Rules-Under-DFIA-Scheme.jpg","type":"image\/jpeg"}],"author":"Kriti Sharma","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Kriti Sharma","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme#article","isPartOf":{"@id":"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme"},"author":{"name":"Kriti Sharma","@id":"https:\/\/www.centaxonline.com\/blog\/#\/schema\/person\/ec6616ec60dcf123f90d827e5ad10270"},"headline":"CBIC Clarifies Input Correlation Rules Under DFIA Scheme","datePublished":"2025-07-26T12:00:27+00:00","mainEntityOfPage":{"@id":"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme"},"wordCount":287,"commentCount":0,"publisher":{"@id":"https:\/\/www.centaxonline.com\/blog\/#organization"},"image":{"@id":"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme#primaryimage"},"thumbnailUrl":"https:\/\/www.centaxonline.com\/blog\/wp-content\/uploads\/2025\/07\/6.-CBIC-Clarifies-Input-Correlation-Rules-Under-DFIA-Scheme.jpg","articleSection":["Customs","News","Statutory Scope"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme#respond"]}]},{"@type":"WebPage","@id":"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme","url":"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme","name":"CBIC Clarifies Input Correlation Rules Under DFIA Scheme","isPartOf":{"@id":"https:\/\/www.centaxonline.com\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme#primaryimage"},"image":{"@id":"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme#primaryimage"},"thumbnailUrl":"https:\/\/www.centaxonline.com\/blog\/wp-content\/uploads\/2025\/07\/6.-CBIC-Clarifies-Input-Correlation-Rules-Under-DFIA-Scheme.jpg","datePublished":"2025-07-26T12:00:27+00:00","description":"CBIC clarifies input correlation under DFIA: technical specs needed for Para 4.29 inputs; simplified declarations suffice for others as per FTP 2023.","breadcrumb":{"@id":"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme#primaryimage","url":"https:\/\/www.centaxonline.com\/blog\/wp-content\/uploads\/2025\/07\/6.-CBIC-Clarifies-Input-Correlation-Rules-Under-DFIA-Scheme.jpg","contentUrl":"https:\/\/www.centaxonline.com\/blog\/wp-content\/uploads\/2025\/07\/6.-CBIC-Clarifies-Input-Correlation-Rules-Under-DFIA-Scheme.jpg","width":920,"height":540,"caption":"DFIA input correlation"},{"@type":"BreadcrumbList","@id":"https:\/\/www.centaxonline.com\/blog\/cbic-clarifies-input-correlation-rules-under-dfia-scheme#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.centaxonline.com\/blog\/"},{"@type":"ListItem","position":2,"name":"CBIC Clarifies Input Correlation Rules Under DFIA Scheme"}]},{"@type":"WebSite","@id":"https:\/\/www.centaxonline.com\/blog\/#website","url":"https:\/\/www.centaxonline.com\/blog\/","name":"Centax-Blogs","description":"","publisher":{"@id":"https:\/\/www.centaxonline.com\/blog\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.centaxonline.com\/blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/www.centaxonline.com\/blog\/#organization","name":"Centax-Blogs","url":"https:\/\/www.centaxonline.com\/blog\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.centaxonline.com\/blog\/#\/schema\/logo\/image\/","url":"https:\/\/www.centaxonline.com\/blog\/wp-content\/uploads\/2023\/12\/CNETAX-LOGO-1.webp","contentUrl":"https:\/\/www.centaxonline.com\/blog\/wp-content\/uploads\/2023\/12\/CNETAX-LOGO-1.webp","width":536,"height":133,"caption":"Centax-Blogs"},"image":{"@id":"https:\/\/www.centaxonline.com\/blog\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/www.facebook.com\/centaxindia"]},{"@type":"Person","@id":"https:\/\/www.centaxonline.com\/blog\/#\/schema\/person\/ec6616ec60dcf123f90d827e5ad10270","name":"Kriti Sharma","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.centaxonline.com\/blog\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/ae7808b01d77de5dd0be43270be33948?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/ae7808b01d77de5dd0be43270be33948?s=96&d=mm&r=g","caption":"Kriti Sharma"},"url":"https:\/\/www.centaxonline.com\/blog\/author\/kriti"}]}},"_links":{"self":[{"href":"https:\/\/www.centaxonline.com\/blog\/wp-json\/wp\/v2\/posts\/5045","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.centaxonline.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.centaxonline.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.centaxonline.com\/blog\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/www.centaxonline.com\/blog\/wp-json\/wp\/v2\/comments?post=5045"}],"version-history":[{"count":4,"href":"https:\/\/www.centaxonline.com\/blog\/wp-json\/wp\/v2\/posts\/5045\/revisions"}],"predecessor-version":[{"id":5050,"href":"https:\/\/www.centaxonline.com\/blog\/wp-json\/wp\/v2\/posts\/5045\/revisions\/5050"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.centaxonline.com\/blog\/wp-json\/wp\/v2\/media\/5079"}],"wp:attachment":[{"href":"https:\/\/www.centaxonline.com\/blog\/wp-json\/wp\/v2\/media?parent=5045"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.centaxonline.com\/blog\/wp-json\/wp\/v2\/categories?post=5045"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.centaxonline.com\/blog\/wp-json\/wp\/v2\/tags?post=5045"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}