Passengers or members of crew coming from abroad are entitled to a duty-free baggage allowance of Rs. 35,000. DFSs located in the arrival halls sell duty-free imported goods. Indigenous goods were also being sold in the arrival halls, but they were not duty-free earlier. Passengers going out of India are permitted to purchase duty-free imported goods from DFSs located in the departure halls of international airports. However, excise duty-free indigenous goods were not available for sales in such DFSs. It is in this context that Government has now permitted excise duty-free sale of goods manufactured in India both on the arrival side as well as the departure side, so as to ensure parity with the imported goods and to promote brand INDIA. Now, a passenger arriving from abroad will have the choice to buy either duty-free imported goods or duty-free indigenous goods within this overall permissible baggage allowance.
The Government held discussions with the different stakeholders and decided to permit excise duty-free sale of indigenous goods to passengers or members of crew arriving from abroad within the overall permissible baggage allowance under the Baggage Rules, 1988 and to permit excise duty-free sale of indigenous goods to passengers going abroad.
Mr. Anirudh V Dhoot, President – CEAMA & Director - Videocon said, “It is a very important move by Government of India which will now directly help home grown brands in creating healthy competition among Indigenously manufactured and imported products. The imported products brought under baggage allowance do not enjoy the benefit of Installation & after Sale Service. With decision of the Government Consumers will not only get the benefit of getting tax exempted goods (it would mean at a substantially lesser price) but also have the benefit of After Sale Service. Therefore this step will benefit Consumers and simultaneously it will showcase brand India worldwide. Industry welcomes this step of the government”
