DGFT Issues Revised Procedure for Stock & Sale Authorization of SCOMET Items [Read Notification]

The Directorate General of Foreign Trade ( DGFT ) has issued a public notice, vide no. 04/2025-2026 revising the procedural framework under Para 10.10 of the Handbook of Procedures (HBP) 2023.

The amendment provides a broadened approach for granting export authorizations related to the "Stock and Sale" of SCOMET (Special Chemicals, Organisms, Materials, Equipment and Technologies) items. Under the revised framework, Indian exporters may seek permission to export eligible SCOMET items (excluding those in Categories 0, 3A401, and 6, or technology transfers under any category) to entities abroad, designated as “Stockists,” for subsequent transfer to ultimate end users.

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The definition of “Stockist” has been expanded to include subsidiaries, parent companies, affiliates, and Indian or foreign Original Equipment Manufacturers (OEMs), Electronic Manufacturing Services (EMS), and Contract Manufacturers (CM).

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To obtain authorization, exporters must submit applications in the prescribed ANF-10B format along with supporting documents including end-use declarations, proof of corporate relationship with the stockist, technical specifications, compliance program details, and in some cases, AEO certificates.

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Transfers within the country of the stockist or re-export to pre-approved countries do not require further authorization, although post-reporting of such movements is mandated within three months. For re-export to countries not initially approved, a fresh application with updated end-user and transaction documentation is required. The revised norms also incorporate provisions for repeat orders, enabling simplified processing by the Chairman of IMWG without full committee consultation.

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The exporters must also file annual reports detailing inventory status and stock movements as of 31st December each year. Failure to comply with reporting obligations or diversion of sensitive items can lead to penalties or cancellation of authorization under the Foreign Trade (Development & Regulation) Act. 

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To Read the full text of the Notification CLICK HERE

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