DGFT Issues Amendment to Public Notice No. 42/2024-25.

The Directorate General of Foreign Trade (DGFT), exercising powers under Paragraphs 1.03 and 2.04 of the Foreign Trade Policy (FTP) 2023, has issued a Public Notice to renumber the paragraphs pertaining to Diamond Imprest Authorisation (DIA) originally notified through Public Notice No. 42/2024-25 dated 21.01.2025 in the Handbook of Procedures (HBP) 2023.

This renumbering provides greater procedural clarity and aligns DIA-related provisions systematically within the Handbook. 

Key Renumbered Provisions under HBP 2023

Para 4.95 – Filing of Application for DIA

• The policy framework for the Diamond Imprest Authorisation is defined under FTP 2023.
• Applicants must submit their applications online using ANF 4J to the concerned Regional Authority as listed in Appendix 4A.

Para 4.96 – Conditions of Imports & Exports

1. Port Restriction: Imports and exports are permitted only through Mumbai Airport.
2. Pre-Import Condition: All import items under DIA are subject to a pre-import condition.
3. Export Obligation:
   • Exports must be of Natural Cut and Polished Diamonds, each not exceeding ¼ Carat (25 Cents).
   • One-to-one correlation between import and export is not required.
4. Value Addition:
   • A minimum 10% value addition is mandatory, realized in freely convertible currency.
   • Para 2.52(d) of FTP 2023 does not apply to this scheme.
5. Deemed Exports: Not permitted under DIA.
6. Bond and Bank Guarantee:
   • Prior to customs clearance, the DIA holder must execute a Bond equivalent to the export obligation and provide a Performance Bank Guarantee equal to the duty foregone.
7. Export-Import Correlation:
   • Only exports made after import count toward export obligation.
   • Shipping Bills must carry the DIA Number to establish correlation.

Para 4.97 – General Provisions

• Import Validity: 12 months from date of authorisation.
• Export Obligation Period: 18 months from issuance.
• Single Authorisation Rule: Only one DIA per IEC per financial year.
• Restrictions:
  • No ARO, Invalidation Letter, or Certificate of Supply (CoS) permitted.
  • Imported material may be used in any unit of the DIA holder or jobber/supporting manufacturer, if endorsed by the RA.
  • No co-licensee facility available.
• Re-import: Permitted under Department of Revenue conditions; RA to be informed within one month.
• No Extension or Revalidation allowed for DIA.

Para 4.98 – Fulfilment of Export Obligation

• DIA holders must file online applications in ANF 4K to the concerned RA and upload required documents supporting fulfilment of export obligations.

Para 4.99 – Regularisation of Bonafide Default

• In case of bonafide default, the following applies:
  1. Customs Duty Payment: Duty on unutilized imports along with interest to be paid via ICEGATE Payment Gateway.
  2. DGFT Payment: 1% of the shortfall in FOB value (in INR) to be paid online under Head of Account 1453 (Foreign Trade & Export Promotion).

Effect of the Public Notice

This Public Notice formally renumbers and consolidates the provisions related to the Diamond Imprest Authorisation (DIA) to ensure better procedural clarity and streamlined compliance for diamond exporters operating under the FTP 2023 framework.

Notification Reference: DGFT
Public Notice No. 26/2025-2026 
15 /10 /2025