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Paragraphs 1.06 to 1.11 of the Foreign Trade Policy, 2023: trade facilitation, the National Committee on Trade Facilitation, passage of export consignments without hold-up, stock seizure, perishable exports and Niryat Bandhu

Paragraph 1.06 names the National Committee on Trade Facilitation and lists the pillars of the Trade Facilitation Agreement. Paragraph 1.08 says export consignments shall not be...

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October 2, 2026
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Last updated: October 2026Verified against: Government sources

Paragraphs 1.06 to 1.11 open Part B of Chapter 1, "Trade Facilitation and Ease of Doing Business". They name the committee that coordinates trade facilitation, describe the DGFT's role, and set out four commitments of an enabling kind: export consignments are not to be withheld, export stock is not to be seized so as to disrupt manufacturing, perishable farm produce has a single window through APEDA, and new exporters get mentoring under Niryat Bandhu. The chapter has no Handbook counterpart for these paragraphs.

This article is based on the chapter-wise text of the Foreign Trade Policy, 2023 published on the DGFT website, as consulted on 2 October 2026; the copy carries no "updated up to" date. Later Notifications, Public Notices and Trade Notices should be checked before you act.

Paragraph 1.06: the National Committee on Trade Facilitation

India ratified the World Trade Organization's Trade Facilitation Agreement (TFA) in April 2016. To coordinate and implement it, an inter-ministerial body, the National Committee on Trade Facilitation (NCTF), has been constituted. The paragraph says the TFA rests on four pillars:

  • Transparency: improved access to accurate and complete information.
  • Technology: digital and detection technologies to ease trade bottlenecks and improve efficiency.
  • Simplification of procedures and risk-based assessments: simplified, uniform and harmonised procedures with greater use of risk-based management.
  • Infrastructure augmentation: better road and rail links to ports and better infrastructure within ports, airports, ICDs and Land Customs Stations. In the copy this fourth pillar is printed without its numeral; it is read here as the fourth.

The National Trade Facilitation Action Plan, the paragraph says, aims at: improved ease of doing business through lower transaction cost and time; reduced cargo release time; a paperless regulatory environment; a transparent and predictable legal regime; and an improved investment climate through better infrastructure.

Paragraph 1.07: the DGFT as facilitator

The DGFT commits itself to function as a facilitator of exports and imports, with focus on good governance, "efficient, transparent and accountable delivery systems". To facilitate trade it consults Export Promotion Councils and trade and industry bodies from time to time. The sub-paragraphs 1.07(A) and 1.07(B), on consultation before the Policy is changed, are explained in our article on consultation with stakeholders. For the councils, see our list of export promotion councils in India. Paragraph 1.13 of the Policy makes an Importer Exporter Code mandatory for export and import, so a new exporter's first step is an IEC registration.

Paragraph 1.08: passage of export consignments without hold-up

The heading of this paragraph uses the Policy's own wording; this article describes it as passage of export consignments without hold-up. The text says that consignments of items meant for export shall not be withheld or delayed for any reason by any agency of the Central or State Government. In case of any doubt, the authorities concerned may ask the exporter for an undertaking and release the consignment.

Two things should be said plainly. First, this is a statement of policy aimed at agencies; the paragraph confers no stated remedy on an exporter against an officer. Second, it does not say that any agency loses its powers under other laws. It tells agencies what to do in a doubtful case: take an undertaking and release.

Paragraph 1.09: no seizure of export-related stock

No seizure shall be made by any agency so as to disrupt manufacturing activity and delivery schedule of exports. In exceptional cases the concerned agency may seize the stock on the basis of prima facie evidence of serious irregularity. Such a seizure "should be lifted within 7 days unless the irregularities are substantiated".

The paragraph is silent on who decides whether an irregularity is substantiated, and on what happens to the stock if it is. The word "should" is the Policy's own.

Paragraph 1.10: perishable agricultural exports

To reduce transaction and handling costs, a single window system for export of perishable agricultural produce is being facilitated through the Agricultural and Processed Food Products Export Development Authority (APEDA). The detailed procedure is at Appendix 1C; this article names the Appendix and goes no further. The paragraph heading in the copy is misspelt ("Aricultural"); it is read as agricultural.

Paragraph 1.11: Niryat Bandhu

The DGFT is implementing the Niryat Bandhu Scheme to mentor new and potential exporters on the intricacies of foreign trade through counselling, training and outreach programmes. It includes the "Districts as Export Hubs" initiative with industry partners, knowledge partners and other stakeholders, to create a District-Product-Market knowledge ecosystem. The paragraph prints no eligibility rule, fee or application step.

ParagraphSubjectWhat it says
1.06NCTFInter-ministerial body for the Trade Facilitation Agreement; four pillars
1.07DGFTFacilitator; consults councils and industry bodies
1.08ConsignmentsNot to be withheld or delayed; undertaking in doubt
1.09StockNo seizure that disrupts exports; lifted within 7 days unless substantiated
1.10PerishablesSingle window through APEDA; Appendix 1C
1.11Niryat BandhuMentoring for new exporters

A practical example

Lotus Bay Exports, an invented garment manufacturer, finds that a consignment ready for the port has been stopped by an agency on a doubt about documents. Paragraph 1.08 is the sentence it would point to: an authority in doubt may ask for an undertaking from the exporter and release the consignment. If, instead, the agency seizes finished stock at the factory on prima facie evidence of serious irregularity, paragraph 1.09 says such seizure should be lifted within 7 days unless the irregularities are substantiated. The company should keep written records of the date of seizure and of every communication. What the agency may do under the other law it acts under is outside these paragraphs.

Need help with an export filing?

Facilitation paragraphs help only when your own paperwork is in order. A correct and current code is where that starts, and our team can help you with IEC registration or with updating an existing code before your next shipment.

Key takeaways

  • Paragraph 1.06 names the NCTF and the four pillars of the Trade Facilitation Agreement.
  • Export consignments are not to be withheld or delayed by any agency; an undertaking may be taken in case of doubt (paragraph 1.08).
  • Seizure of export-related stock should be lifted within 7 days unless the irregularities are substantiated (paragraph 1.09).
  • Perishable farm exports have a single window through APEDA, and new exporters can be mentored under Niryat Bandhu.
  • These are policy statements and prescribe no procedure or fee; the paragraphs do not give a right against an officer.

Read next

Disclaimer: Based on the chapter-wise text of the Foreign Trade Policy, 2023 and the Handbook of Procedures, 2023 published on the DGFT website, and on the later Notifications named in this article, as consulted on 2 October 2026. The copies carry no "updated up to" date. Notifications, Public Notices, Trade Notices, the ITC(HS) schedules, Appendices and forms change often; the current text on the DGFT website should be checked before acting. This article is general information, not legal advice; check the official text before acting.

Quick recapKey facts & short answers

Key Facts About Paragraphs 1

  • Applies in: All states across India, under the relevant central law.
  • Mode: Mostly online via the official government portal.
  • Typical timeline: Ranges from a few days to a few weeks depending on the case.
  • Non-compliance: May attract penalties, interest or late fees.
  • Expert help: TaxClue completes the entire process end to end for you.

What is the National Committee on Trade Facilitation?

Under paragraph 1.06 it is an inter-ministerial body constituted to coordinate and implement the provisions of the World Trade Organization's Trade Facilitation Agreement, which India ratified in April 2016.

Can an agency withhold my export consignment?

Paragraph 1.08 says consignments meant for export shall not be withheld or delayed for any reason by any agency of the Central or State Government. In doubt, the authority may ask for an undertaking and release the consignment.

Check whether the item is free, restricted or prohibited before you quote a price.

— TaxClue Trade & FEMA Desk

Paragraphs 1: a key compliance topic in Indian tax and corporate law that businesses and individuals must understand to remain compliant.

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Disclaimer: This article is for general informational purposes only and does not constitute professional tax, legal or financial advice. Laws, rates and due dates change and can vary by individual case — always verify with the relevant government source (e.g. mca.gov.in, incometax.gov.in) or consult a qualified professional before acting. TaxClue accepts no liability for decisions taken based on this content.

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Questions, answered

Short, direct answers to the 6 questions readers ask most on this topic.

Under paragraph 1.06 it is an inter-ministerial body constituted to coordinate and implement the provisions of the World Trade Organization's Trade Facilitation Agreement, which India ratified in April 2016.

Paragraph 1.08 says consignments meant for export shall not be withheld or delayed for any reason by any agency of the Central or State Government. In doubt, the authority may ask for an undertaking and release the consignment.

Paragraph 1.09 says a seizure on prima facie evidence of serious irregularity should be lifted within 7 days unless the irregularities are substantiated.

No. It says no seizure shall be made so as to disrupt manufacturing activity and delivery schedule of exports, but allows seizure in exceptional cases on prima facie evidence of serious irregularity.

Paragraph 1.10 says a single window system is being facilitated through APEDA, with the procedure at Appendix 1C.

Under paragraph 1.11 it is a DGFT scheme of counselling, training and outreach for new and potential exporters, including the "Districts as Export Hubs" initiative.