-EMI facility will be available from 1st April, 2026 and will remain in force till 31st March, 2028
New Delhi : In pursuance of the Union Budget 2026–27 announcement by the Union Minister for Finance and Corporate Affairs, the Central Board of Indirect Taxes and Customs has introduced a new facilitation measure for trusted manufacturers by enabling deferred payment of Customs duty for a new category of importers termed Eligible Manufacturer Importers (EMIs). Detailed eligibility conditions, application procedures and operational guidelines have been issued through Circular No. 08/2026-Customs dated 28 February 2026.
Under this initiative, Eligible Manufacturer Importers will be able to clear imported goods without paying Customs duty at the time of clearance. Instead, the applicable duty can be paid on a monthly basis as prescribed under the Deferred Payment of Import Duty Rules, 2016, enabling manufacturers to better manage cash flows and working capital.
The facility will be available from 1 April 2026 and will remain in force until 31 March 2028. The deferred payment benefit will be extended to EMIs meeting the prescribed criteria related to Customs and GST compliance, turnover, financial standing and past track record. Existing AEO-T1 entities, including MSMEs that fulfil the eligibility conditions, will also be eligible to participate.
The EMI scheme has been designed as a trust-based facilitation measure aimed at encouraging compliant manufacturers to benefit from simplified procedures while promoting higher levels of compliance. During the scheme’s validity period, approved Eligible Manufacturer Importers are expected to progressively obtain AEO-T2 or AEO-T3 status, enabling access to enhanced facilitation, faster clearances and priority treatment under the AEO Programme.
Applications under the EMI scheme can be submitted online from 1 March 2026 through the AEO portal.
This reform is expected to significantly improve ease of doing business, strengthen the compliance culture, expand participation in the AEO programme and provide a boost to domestic manufacturing. It reflects CBIC’s continued commitment to creating a predictable, efficient and facilitative Customs environment to support India’s manufacturing-led and export-oriented growth.