The Directorate General of Foreign Trade (DGFT), Ministry of Commerce & Industry, has issued Trade Notice No. 24/2025-26 dated February 09, 2026 inviting comments and suggestions from exporters, trade & industry bodies, export promotion councils, commodity boards, academia, and legal experts on the draft ‘Digital Trade Facilitation Bill, 2026’.
Background
In line with the Union Budget 2025–26 announcement to establish BharatTradeNet as a Digital Public Infrastructure (DPI) for trade, the Government has proposed a forward-looking legislative framework aimed at supporting a fully digital, interoperable, and globally aligned trade ecosystem.
The draft Bill has been formulated after recognising gaps in the current legal framework, particularly the absence of statutory recognition for electronic trade documents and the need for a comprehensive system for cross-border digital trust services. These gaps have limited India’s integration with evolving global digital trade norms.
Key Provisions of the Draft Digital Trade Facilitation Bill, 2026
Statutory Recognition of Electronic Trade Documents
The Bill grants full legal effect, validity, and enforceability to electronic trade documents, ensuring they cannot be denied recognition solely because they are in digital form.
This includes instruments listed in the First Schedule, such as those enabling rights, obligations, or claims in international trade.
Reliable Digital Verification Framework
Electronic trade documents must comply with certain reliability standards, including:
- Identification of the document
- Assurance of integrity
- Establishment and transfer of control
- Maintenance of a verifiable audit trail
The Bill mandates that standards remain technology-neutral and promote interoperability with global systems.
Digital Equivalence for Possession and Endorsement
Using a reliable method, the concept of possession of a paper document is legally mirrored via control of an electronic document.
Transfers, endorsements, and amendments conducted digitally will have the same legal effect as their physical counterparts.
Conversion Between Paper and Electronic Forms
The Bill outlines a secure and auditable process for:
- Converting a paper trade document into electronic form
- Converting an electronic trade document back to paper
Upon conversion, the previous form immediately ceases to have legal effect.
Recognition of Identity Management & Trust Services
The Bill establishes a legal framework for digital identity, electronic signatures, electronic seals, timestamping, registered electronic delivery, and electronic archiving services.
Such services will be recognised for all legal purposes if they use a reliable method aligned with standards specified under the law.
Obligations & Liabilities of Service Providers
Identity management and trust service providers must maintain robust operational, technical, and security protocols, ensure availability of services, notify breaches, and publish rules and policies for subscribers and relying parties.
They are liable for losses arising from service deficiencies, subject to defined limitations.
Cross-Border Recognition of Digital Trade Systems
Electronic trade documents and digital identification services originating outside India will be recognised if they offer equivalent or higher levels of assurance.
The Government may also recognise specific foreign digital trade frameworks under bilateral or multilateral agreements.
Amendments to Existing Statutes
The Bill proposes consequential amendments to align existing laws with digital trade requirements, including:
- Information Technology Act, 2000 – deletion of entry in First Schedule restricting negotiable instruments
- Negotiable Instruments Act, 1881 – allowing promissory notes, bills of exchange, and cheques in electronic form
- Indian Stamp Act, 1899 – recognising electronic trade documents as instruments liable to stamping
Presumption of Evidentiary Validity
Electronic trade documents using reliable methods shall be presumed authentic and admissible under the Bhartiya Sakshya Adhiniyam, 2023.
Submission of Comments
Stakeholders may submit inputs within 30 days of the issuance of the Trade Notice at the following official email address: tradefinance-dgft@gov.in (As per the Trade Notice, feedback is solicited from exporters, EPCs, commodity boards, academia, and legal experts.)
The Trade Notice can be accessed at: https://a2ztaxcorp.net/wp-content/uploads/2026/02/Trade-Notice-24-dated-09.02.2026.pdf
