DGFT Revises Clear Float Glass Import Policy and Sets 34,000 Rupees/MT MIP

The Central Government has changed the DGFT clear float glass import policy for specified glass measuring 4 mm to 12 mm in thickness. Under this, imports covered by ITC (HS) codes 70051090 and 70052990 have moved from “Free” to “Restricted.” However, an import remains “Free” where its cost, insurance, and freight (CIF) value is 34,000 rupees or more per metric tonne (MT).

The measure directly affects importers dealing in the covered clear float glass. It may also influence procurement decisions, supplier contracts, shipment planning, and document review. Advance Authorisation holders, Export Oriented Units (EOUs), and Special Economic Zone (SEZ) units receive conditional relief, provided the imported inputs are not sold into the Domestic Tariff Area (DTA).

This change is a Minimum Import Price (MIP) condition. It is not a customs duty or tax. Importers should therefore assess product coverage, tariff classification, CIF value and eligibility for relief before committing to a transaction.

Notification at a Glance

The core result is straightforward: a covered import at 34,000 rupees CIF per MT or above remains under the Free category. A covered import below that level falls under the Restricted category unless the notification’s conditional relief applies.

Regulatory Framework Behind the Notification

The notification was issued under Sections 3 and 5 of the Foreign Trade (Development and Regulation) Act, 1992. Section 3 provides the legal basis for the Central Government to regulate imports and exports. Section 5 concerns the formulation and amendment of the Foreign Trade Policy. The Foreign Trade (Development and Regulation) Act, 1992 is administered by the Ministry of Commerce and Industry through the Department of Commerce.

Paragraph 1.02 of the Foreign Trade Policy (FTP) 2023 allows the Central Government to amend the policy by notification. Paragraph 2.01 provides the basic import-policy rule: imports are Free unless regulated through Prohibition, restriction, or exclusive trading through State Trading Enterprises. These provisions are available in the official FTP 2023, Chapters 1 and 2.

ITC (HS) is the Indian Trade Classification based on the Harmonised System. It assigns codes to goods and states their import or export policy. Schedule I of ITC (HS) contains the import-policy regime. Classification at the correct eight-digit level matters because two products that appear commercially similar may have different policy treatment.

“Free” is an import-policy classification. It does not mean that the goods are free from customs duty, taxes, documentation, valuation checks, or other laws. In the same way, the 34,000 rupees MIP is not an additional duty. It is the value level used by this notification to decide whether the covered import remains Free or becomes Restricted.

Clear Float Glass Products and ITC (HS) Codes Covered

The notification is limited to clear float glass measuring 4 mm to 12 mm and falling under either of the two named eight-digit ITC (HS) codes in Chapter 70. The product description, thickness, and tariff code must therefore be considered together.

The broader six-digit entries 700510 and 700529 appear in the table as parent descriptions. The operative amendments are shown against 70051090 and 70052990. Businesses should not assume that every glass product under Chapter 70, or every product under the broader parent headings, is covered by this particular measure.

Classification should be supported by the product’s actual characteristics. Commercial descriptions alone may not be enough. Technical specifications, composition, coating details, thickness and intended product identity may all be relevant to a classification review.

What Has Changed in the Import Policy

The earlier policy allowed imports under both named codes under the Free category. The revised entry places them in the Restricted category but creates a value-based route under which imports remain Free.

The restriction and MIP should be read as one combined policy mechanism. The entry is classified as Restricted, while the policy condition allows Free import when the CIF value reaches or exceeds the specified amount.

How the 34,000 rupees per MT Minimum Import Price Works

The MIP is a price floor for obtaining Free import treatment under this notification. It is measured on CIF value per metric tonne. CIF normally refers to the combined cost of the goods, insurance, and freight up to the relevant import point.

The threshold must not be compared only with the basic product price when freight or insurance is separately recorded. The notification expressly uses the CIF value, not merely the invoice price, ex-works value, or free-on-board value.

The notification does not set out a calculation formula, an exchange-rate rule, or a special customs-valuation method. Importers should ensure that the value used for policy assessment matches the supporting transaction and customs documents. Any valuation uncertainty should be resolved before shipment or clearance rather than handled through an assumed calculation.

Does the Import Restriction Apply to a Consignment?

The following decision guide helps identify the issues that need to be reviewed. It is not a substitute for a formal classification or valuation opinion.

The analysis should be completed for each product and transaction. A business handling several glass specifications should not apply one conclusion across its entire product range without checking the relevant characteristics and codes.

Import Policy Below the Minimum Import Price

For covered goods below 34,000 rupees CIF per MT, the notification does not provide the value-based Free import route. Their policy status is Restricted unless the special relief for the named categories applies.

The notification itself does not provide a dedicated application form, a list of supporting documents, an approving authority, or a processing timeline for these glass imports. However, paragraph 2.08 of FTP 2023 states the general rule that Restricted goods may be imported only in accordance with an authorisation or permission, or under a procedure prescribed through a notification or public notice.

This distinction matters. The legal position is not that a below-MIP import is automatically prohibited. It is also not correct to assume that clearance will be available through a routine filing. The applicable authorisation or permission route, if pursued, must be checked against the current DGFT framework and the facts of the transaction.

Exemption for Advance Authorisation, EOU, and SEZ Imports

Paragraph 2 of the notification states that the MIP condition will not apply to imports by Advance Authorisation holders, Export Oriented Units, and SEZ units, provided the imported inputs under the named codes are not sold into the DTA. The “Effect of the notification” section also states that the restriction does not apply to these imports, subject to the same condition.

This relief should not be described as unconditional. An importer must fall within one of the named categories, and the imported inputs must remain outside DTA sale. The notification does not extend the relief to ordinary importers, distributors, or other categories merely because the goods may later be used in manufacturing or export.

Restriction on Sale in the Domestic Tariff Area

The Domestic Tariff Area broadly refers to India’s domestic market outside the SEZ framework. For this notification, the practical point is that imported inputs brought in under the conditional relief cannot be sold into the DTA.

Businesses using the relief should decide the intended use and movement of the glass before import. Procurement, stores, production, finance, and compliance records should consistently show how inputs are received, used, and controlled. If commercial plans involve domestic sale, transfer or disposal, the effect on eligibility should be checked before relying on the relief.

The notification does not prescribe a special permission process, a record-retention period, or a penalty for breach of this condition. Those matters should not be invented. Other schemes, SEZ, customs, or authorisation conditions may still apply independently and should be examined for the specific importer.

Conditions and Evidence for Claiming the MIP Relief

Express condition in the notification

The express condition has two parts: the importer must be an Advance Authorisation holder, an EOU, or an SEZ unit, and the imported inputs under codes 70051090 or 70052990 must not be sold into the DTA.

The notification does not provide an official document checklist for establishing compliance with this condition.

Recommended internal evidence

The following records may help a business support its position. They are recommended internal evidence, not a mandatory list created by Notification No. 29/2026-27:

• Purchase contract and commercial invoice identifying the goods and transaction value
• Freight and insurance records supporting the CIF value
• Bill of Entry and tariff-classification working papers
• Technical data sheets showing glass type, coating, and thickness
• Valid Advance Authorisation, EOU or SEZ status records, as relevant
• Inventory records tracing receipt and use of imported inputs
• End-use, production, or consumption records
• Internal restrictions and approvals designed to prevent unauthorised DTA sale
• Reconciliation among procurement, customs, stores, and finance records

Good records cannot cure an ineligible transaction, but they can make the basis of the business’s position easier to demonstrate and review.

Validity, Commencement and Expiry of the MIP Condition

The notification states that the MIP condition will remain applicable for one year from the date of its publication. It does not print a separate expiry date.

The DGFT notification portal records Notification No. 29/2026-27 dated 18 August 2026. The Gazette is also dated 18 August, although its electronic identifier and signature show 19 August. Businesses planning shipments near the end of the one year should confirm the operative end date with DGFT or another competent official source, rather than relying on an assumed calendar calculation.

FTP 2023 also contains general transitional arrangements for changes from Free to Restricted. Paragraph 1.05 states, among other things, that item-wise policy is governed by the policy on the date of import, changes normally apply prospectively, and imports already made before the restriction are not affected. It also addresses certain commitments backed by an Irrevocable Commercial Letter of Credit and excludes high-sea sales from that facility. These are general FTP rules, not terms written into this glass notification, so their use must be assessed against the dates and documents of the actual consignment.

Customs and Import Documentation Considerations

Accurate documentation becomes especially important because the policy result depends on both classification and CIF value. A minor description mismatch or unexplained value difference can create questions even when the commercial transaction is genuine.

Importers should consider the following practical controls:

• Confirm the correct eight-digit ITC (HS) code before finalising the order.
• Match the technical description and thickness across specifications, contracts, and invoices.
• Check whether cost, insurance, and freight components are fully supported.
• Ensure consistency among the purchase order, commercial invoice, packing list, transport document, and customs declaration.
• Record the basis for treating the CIF value as below, at or above 34,000 rupees per MT.
• Where relief is claimed, keep evidence of the eligible status and controls over DTA sale.
• Involve procurement, finance, logistics, customs broker, and compliance teams before shipment.

DGFT import policy and customs assessment are connected but not identical. Customs authorities may examine classification, value, and clearance documentation, while the DGFT framework determines the import-policy category. A review should therefore address both sides without treating the MIP as a customs duty.

Points Not Clarified by the Notification

Reporting these gaps does not mean the transaction is unregulated. It means the short notification does not answer every operational question, and other verified policy or procedural provisions may need to be consulted.

Impact on Importers and the Glass Industry

The immediate effect is strongest for importers whose covered glass has a CIF value below 34,000 rupees per MT. Other stakeholders may experience indirect commercial effects, but those outcomes will depend on contracts, suppliers, and market conditions.

Importers and traders

Importers must add an MIP check to product classification and landed-cost review. Supplier quotations can no longer be assessed only on commercial price. The value per MT also affects whether the shipment can use the Free policy route. Importers handling lower-priced glass may need to reconsider sourcing terms or examine the applicable Restricted import route.

Advance Authorisation holders, EOUs and SEZ units

The conditional relief may preserve sourcing flexibility for export-linked operations. Its value depends on meeting the no-DTA-sale condition. These businesses may need stronger inventory and end-use controls so imported inputs covered by the relief are not mixed with stock intended for domestic sale without a proper review.

Domestic glass manufacturers

The MIP may reduce the price advantage of covered imports below the threshold. This could alter competitive conditions for some domestic suppliers. The notification does not state a market-protection objective, an expected price effect, or a production target, so any such impact should be treated as a likely commercial implication rather than an official finding.

MSMEs, distributors, and downstream users

Smaller businesses may face additional work in checking classification, value, and shipment documents. Distributors and downstream users could also see changes in quotations or availability where their suppliers rely on imported glass. The notification does not establish that prices will rise or supplies will fall.

Internal business teams

Procurement must verify product and supplier terms. Finance should confirm the CIF basis. Logistics and customs teams should check shipping and entry documents. Legal and compliance teams should review policy coverage, transitional questions and eligibility for relief.

Pricing, Procurement and Supply-Chain Considerations

The policy change should be built into purchase decisions before a contract becomes difficult to amend. Importers may need quotations that clearly separate or identify product price, freight, and insurance so the CIF value per MT can be reviewed.

Purchase orders should accurately describe the glass, including relevant technical features and thickness. Contracts may also need suitable provisions dealing with tariff classification, policy changes, documentary cooperation, shipment timing, and responsibility for regulatory delays. These are commercial safeguards, not conditions created by the notification.

Shipment planning deserves particular attention during the first weeks of the measure and near the end of its one-year duration. Businesses should avoid assuming that an order date alone fixes the policy treatment. FTP 2023 uses the date-of-import framework and includes specific transitional conditions that need to be matched with transport and payment documents.

Risks and Consequences of Incorrect Compliance

Source-based legal consequences

Notification No. 29/2026-27 does not state a separate fine, confiscation provision, or penalty amount. It should therefore not be used as the basis for quoting a specific penalty.

The wider FTDR Act, FTP, customs law, and other applicable rules may contain consequences for non-compliant imports or incorrect declarations. The applicable provision depends on the facts and should be examined separately rather than presented as an automatic result of this notification.

Practical business risks

Possible operational risks include:

• Delay while classification, value, or policy treatment is examined
• Questions about whether the Free import threshold is satisfied
• Difficulty claiming relief when importer status or end use is not adequately supported
• Contract disputes over price, freight, documentation or regulatory responsibility
• Supply interruption while an authorisation or clarification is considered
• Reworking purchase, shipment, or inventory plans
• Loss of the intended relief if covered imported inputs are sold into DTA contrary to the stated condition

These are possible business outcomes. They are not separate statutory penalties declared by the notification.

What Importers and Glass Businesses Should Do Next

These actions are practical controls. The notification itself does not prescribe this sequence. Where a consignment is below the MIP or facts are unclear, businesses should obtain transaction-specific guidance before relying on a particular import route.

What Businesses Should Monitor During the One-Year Period

Importers should monitor the DGFT portal for any clarifications, public notices, trade notices, corrigenda, amendments, extensions, or withdrawals related to the two codes. They should also watch for an updated ITC (HS) entry and any official customs implementation guidance.

Monitoring becomes especially important near the end of the one year. The present notification does not say whether the MIP will automatically disappear from the published tariff entry, be extended, or be replaced by another condition. Only a later official measure can confirm that position.

How Corpseed Can Help

Importing clear float glass under the revised policy requires a combined review of the product, thickness, ITC (HS) classification, CIF value, importer category, and intended use. Corpseed’s import compliance services can help businesses identify gaps before the goods are shipped or presented for customs clearance.

1. Product Coverage and ITC (HS) Classification

The notification applies only to specified clear float glass measuring 4 mm to 12 mm under ITC (HS) codes 70051090 and 70052990. Corpseed can assist with:

• Reviewing the commercial and technical description of the glass
• Checking the product’s thickness and specifications
• Comparing the product with the relevant tariff entry
• Identifying classification issues requiring further clarification

This review helps businesses avoid applying the notification to products outside its stated scope.

2. MIP, CIF Value and Import-Policy Review

The import-policy position depends on whether the CIF value is below, equal to, or above 34,000 rupees per metric tonne. Corpseed can help with:

• Reviewing invoice value, freight, and insurance components
• Checking the total CIF value and quantity in metric tonnes
• Assessing whether the shipment falls under the Free or Restricted category
• Identifying whether an authorisation or permission may be required

This assessment gives importers a clearer understanding of the applicable policy before finalising the shipment.

3. Advance Authorisation, EOU and SEZ Relief

Conditional relief is available to Advance Authorisation holders, Export Oriented Units and Special Economic Zone units. Corpseed can support businesses by:

• Reviewing whether the importer falls within an eligible category
• Checking the relevant status or authorisation documents
• Examining the intended use of the imported inputs
• Explaining the conditions attached to the relief

The relief is not automatic. It depends on the importer’s eligibility and compliance with the notification’s conditions.

4. DTA Condition and Import Documentation

Eligible imported inputs must not be sold into the Domestic Tariff Area. Corpseed can assist businesses with:

• Understanding how the DTA condition applies to the transaction
• Reviewing the intended movement and use of imported inputs
• Checking invoices, contracts, Bills of Entry and technical documents
• Identifying differences in product description, quantity, or value

Consistent records can help reduce questions regarding the classification, valuation, and use of the imported material.

5. Compliance Gap and Clarification Support

Some operational questions are not directly answered by the notification. Corpseed can help importers:

• Review existing and in-transit consignments
• Separate confirmed requirements from unresolved issues
• Identify missing information or supporting documents
• Highlight matters requiring DGFT or customs clarification

This allows businesses to make decisions based on verified information instead of unsupported assumptions.

6. Regulatory Monitoring and Transaction Support

The MIP condition applies for one year from the date of publication. Corpseed can support businesses by:

• Monitoring later DGFT notifications and public notices
• Tracking amendments, clarifications, or extensions
• Reviewing changes to the relevant ITC (HS) entries
• Helping businesses update procurement and shipment decisions

The final classification, valuation, authorisation and clearance position depends on the actual goods and transaction documents. Importers planning shipments under ITC (HS) codes 70051090 or 70052990 may contact Corpseed for a focused review before finalising shipment terms.

Key Takeaways

The DGFT clear float glass import policy now links Free import treatment to a specific CIF value.

• The measure covers clear float glass of 4 mm-12 mm under ITC (HS) codes 70051090 and 70052990.
• The import policy has changed from Free to Restricted.
• Covered imports remain Free where the CIF value is 34,000 rupees per MT or above.
• Imports below 34,000 rupees per MT fall under Restricted policy unless conditional relief applies.
• Advance Authorisation holders, EOUs and SEZ units receive relief only where the imported inputs are not sold into DTA.
• The MIP applies for one year from publication, but businesses should verify the precise end date before expiry-sensitive transactions.
• Product classification, CIF support, and relief eligibility should be reviewed before shipment.