E-commerce exports get an inventory model: DGFT notifies the Exporter-on-Record framework; sellers to be paid within 7 days
Notification 27/2026-27 adds an Inventory-based Cross-border E-Commerce Facilitation Framework to the Foreign Trade Policy 2023. A registered Exporter-on-Record buys Indian-origin goods from sellers against confirmed export orders, holds them only for export, and passes on the export benefits.
Key facts
- In force
- With immediate effect from 5 August 2026
- Who it affects
- Manufacturers and sellers exporting through e-commerce; e-commerce export entities
- What it is
- New facility
- Section
- Foreign Trade
- Published
- 5 August 2026
In 30 seconds
- Introduced with immediate effect by paras 9.13 to 9.19 of FTP 2023.
- Only goods of Indian origin are eligible; title passes to the Exporter-on-Record only against a confirmed export order.
- The seller is to be paid within 7 days of acceptance of the goods, whether or not the foreign buyer has paid.
- Duty Drawback, RoDTEP and RoSCTL are apportioned to sellers by FOB value, less an administrative charge.
- Returned goods cannot be sold in the domestic market.
हिंदी में सार
DGFT ने Notification 27/2026-27 से ई-कॉमर्स निर्यात के लिए inventory मॉडल शुरू किया है। रजिस्टर्ड Exporter-on-Record पक्के निर्यात ऑर्डर पर भारतीय विक्रेताओं से भारत में बना माल खरीदेगा और निर्यात करेगा। विक्रेता को माल स्वीकार होने के 7 दिन के भीतर भुगतान मिलना चाहिए। Drawback, RoDTEP और RoSCTL का लाभ FOB मूल्य के अनुपात में विक्रेताओं को दिया जाएगा। लौटा हुआ माल घरेलू बाज़ार में नहीं बिक सकता।
The two parties
| Term | Who it is |
|---|---|
| Exporter-on-Record (EOR) | An entity with a valid IEC and GSTIN, registered with DGFT under the framework, that exports goods procured from one or more Sellers-on-Record. |
| Seller-on-Record (SOR) | An entity registered under GST in India that supplies goods produced in India to the EOR against the EOR’s confirmed export orders. |
An e-commerce entity other than a marketplace entity, as defined in the Consolidated FDI Policy, may undertake export-only inventory operations through an EOR. Where such operations are under Para 5.2.15.2.5 of the FDI Policy as amended by Press Note No. 3 (2026 Series), they are to be carried out through a separate legal entity, which discloses its shareholding and its relationship with the e-commerce entity.
The conditions
- Indian-origin goods only. The seller is responsible for declaring the correct origin. DGFT may notify a list of ineligible goods.
- No stock-building. Title passes only against a confirmed export order from a buyer outside India. Speculative transfer of title or inventory build-up is not permitted.
- Segregation. The EOR keeps export inventory distinctly identified and maintains a digital repository linking procurement, stock and export documents.
- Payment to the seller. Promptly on acceptance or deemed acceptance, and no later than 7 days from it. Payment cannot be made contingent on the foreign buyer paying or on return of the goods.
- Returns. The EOR handles and pays for reverse logistics. Returned or rejected consignments cannot be sold in the domestic market, directly or through anyone else.
Who gets the export benefits
The EOR claims the Export Rebates and Refunds — Duty Drawback, RoDTEP, RoSCTL or any other notified scheme with a direct monetary or transferable benefit. It then apportions them among the sellers in proportion to the FOB value of each seller’s goods in the shipping bill, and may retain an administrative charge. Advance Authorisation and EPCG are not covered by this pass-through, and the GST refund is the EOR’s own entitlement.
Questions and answers
When does the seller get paid?
Promptly on acceptance or deemed acceptance of the goods by the Exporter-on-Record, and in any event no later than 7 days from that date. Payment cannot be delayed because the foreign buyer has not paid or has returned the goods.
Can imported goods be exported under this framework?
No. Only goods of Indian origin are eligible.
Who receives RoDTEP or drawback?
The Exporter-on-Record claims it and must disburse it to the Sellers-on-Record in proportion to the FOB value of their goods in the shipping bill, after an administrative charge.
Published 5 August 2026. Updated 4 October 2026. This report is for general information and is not professional advice. Read the source document before acting on it.