The Directorate General of Foreign Trade (DGFT), Department of Commerce, Ministry of Commerce and Industry, has issued Notification No. 26/2026-27 dated 27 July 2026 to harmonise Schedule-II (Export Policy) of ITC (HS), 2022 with the amendments introduced through the Finance Act, 2026.
The notification has been issued in exercise of the powers conferred under Section 3, read with Section 5, of the Foreign Trade (Development and Regulation) Act, 1992, and in accordance with paragraphs 1.02 and 2.01 of the Foreign Trade Policy, 2023, as amended from time to time.
Through Notification No. 26/2026-27, the Central Government has amended the export-policy schedule in line with the tariff-related changes introduced by the Finance Act, 2026 dated 30 March 2026. The harmonisation is intended to ensure consistency between India’s customs tariff classification and the corresponding export-policy framework.
The amendments cover Section Notes, Chapter Notes, Sub-heading Notes and Supplementary Notes across a number of chapters of the ITC (HS). These modifications have been detailed in Annexure-I to the notification.
The notification also provides a consolidated list of ITC (HS) codes that have been introduced, deleted, amended, split or merged pursuant to the Finance Act, 2026. These changes, along with the applicable export-policy status and policy conditions, have been specified in Annexure-II.
The harmonisation covers products falling under several sectors, including marine products, fruits and nuts, plant extracts, beverages, minerals, chemicals, plastics, hides and skins, paper products, iron and steel articles, machinery, electrical equipment and transport containers.
Among the key classification changes, separate ITC (HS) entries have been provided for products such as krill, pecan nuts, cranberries, blueberries and shea nuts. Revised classifications have also been introduced for specified herbal and plant extracts, including extracts of Withania somnifera, Bacopa monnieri, Berberis aristata, Boswellia serrata, Emblica officinalis, Ocimum sanctum, Curcuma longa and Zingiber officinale.
The amendments further rationalise classifications relating to cranberry and blueberry preparations, compound preparations used in the manufacture of beverages, specified chemical substances, biodegradable plastic articles, wet-blue hides and skins, chemical wood pulp, kites, non-galvanised iron pipes, air-conditioning machine parts, reverse-osmosis membrane elements, battery separators and refrigerated transport containers.
Corresponding export-policy entries have been updated to reflect the revised tariff structure. Depending upon the product concerned, the amended entries specify the export policy as “Free”, retain applicable policy conditions, or delete the earlier tariff entries where these have been replaced by newly created or reorganised ITC (HS) codes.
The updated version of Schedule-II of ITC (HS), 2022 will be made available on the official website of DGFT.
Notification No. 26/2026-27 comes into force with immediate effect. The measure will provide greater clarity to exporters, customs authorities and other stakeholders by ensuring that export-policy classifications remain aligned with the statutory tariff amendments made under the Finance Act, 2026.
The Notification can be accessed at: https://a2ztaxcorp.net/wp-content/uploads/2026/07/English-Notification-26-dt-27-07-26.pdf
