RBI Announces Relaxations for Exports Via Warehouses in ‘Bharat Mart’, UAE [Read Circular]

The Reserve Bank of India (RBI), through A.P. (DIR Series) Circular No. 03 dated April 23, 2025, has announced huge relaxations for Indian exporters utilizing the warehousing facilities at ‘Bharat Mart’ — a multimodal logistics hub being developed in the United Arab Emirates (UAE).

As per the circular, exporters will now be allowed to realise and repatriate the full export value of goods exported to ‘Bharat Mart’ within nine months from the date of sale of goods from the warehouse, instead of from the date of shipment or invoice, as was the general requirement under the existing foreign exchange regulations.

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Permission to Open Warehouses and Offices Without Pre-Conditions:

Authorised Dealer (AD) Category-I banks may allow Indian exporters (with a valid Importer Exporter Code) to:

• Open or hire warehouses in ‘Bharat Mart’.
• Make remittances for initial and recurring expenses (such as rent, salaries, operational costs) for setting up and running these warehouses or offices.

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The banks need to verify the reasonableness of these expenses but no prior approval or pre-condition is required.

The circular comes into force with immediate effect and has been issued under Sections 10(4) and 11(1) of the Foreign Exchange Management Act (FEMA), 1999. The RBI has also clarified that these relaxations are without prejudice to approvals or permissions that may be required under any other applicable laws.

To Read the full text of the Circular CLICK HERE

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