FAQs on Eligible Manufacturer Importer Scheme
by Reina Legal | Mar 23, 2026
The Central Board of Indirect Taxes and Customs (‘CBIC’) has issued a set of Frequently Asked Questions (FAQs) on the Eligible Manufacturer Importer (EMI) Scheme for Trade & Industry under Customs laws to provide clarity on various operational and eligibility aspects. The key clarifications are summarized below on a section-wise basis:
| Section |
Key Questions |
Clarifications |
| Introduction |
What is the EMI Scheme and its purpose? |
- Facilitates trade for Manufacturer Importers
- Supports Make in India, improves cash flow, and eases compliance
- Encourages transition to Authorised Economic Operator (AEO) status
|
| Who can avail and what are the benefits? |
- Available to ‘Eligible Manufacturer Importers’ as approved by the Directorate of International Customs including MSMEs
- Allows deferred payment of import duty, payable on monthly basis instead of per transaction
|
| What is the validity of EMI Scheme? |
- Scheme valid until 31 March 2028 as a transition period for higher compliance
- Post 31 March 2028, entities can continue if they obtain AEO Tier 2 certification before the deadline
- Existing EMI-approved entities can also apply for AEO accreditation
|
| Eligibility Criteria |
Who can apply under the EMI Scheme? |
- The Applicant must have a valid IEC and who qualifies as Manufacturer under the CGST Act
- Importer who is not manufacturer but sending goods to job worker having a GSTIN
- Traders and service providers can apply only if they qualify as Manufacturer Importers
|
| What are the eligibility criteria for businesses? |
- Annual turnover ≥ ₹5 crore in Last Financial Year (‘FY’)
- New importer also eligible if filed 25 Exim documents (Reduced to 10 for MSME registered on Udyam portal) in previous ‘FY’
- Start-ups must have operated for at least two FY’s.
- Insolvent or bankrupt entities are ineligible
|
| What is compliance and documentation requirements? |
- At least one active GST registration with nature of business declared as ‘factory/manufacturing activity’
- All GSTR-3B must have been filed and complete details of factory & machinery, along with ownership or lease proof to be provided and uploaded as part of application
- Documents such as Audited financial statements and CA certificates confirming solvency to be submitted
|
| Application Process and Manner of Filing |
What is the process for applying under the EMI Scheme? |
- Fully online via AEO India portal
- Email-based OTP/communication; no physical interface or fee
- Rejected/returned applications must be resubmitted online
|
| What are the key features of approval and post-approval benefits? |
- Valid across all Customs stations
- No bond or bank guarantee required
- Enables deferred duty payment via ICEGATE
- Application status can be tracked online; rejections intimated by email
|
| How does the deferred duty payment mechanism work? |
- Duty (including IGST) payable monthly on a consolidated basis
- Option to choose deferred or transaction-wise payment
- No interest if paid on time; early payment allowed
- Repeated defaults may lead to suspension
|
| What are the key limitations and scope of the scheme? |
- No monetary cap on deferred duty
- Not applicable to ex-bond clearances for home consumption
- Does not grant priority customs facilitation
- Allows consolidation of multiple Bills of Entry across ports
- Available to AEO Tier 2 & 3 entities and Authorized Public Undertakings
|
| Suspension of Approval |
Is EMI approval permanent and when can it be suspended? |
- EMI approval is not permanent
- Suspension occurs if eligibility conditions are violated or false/forged information is provided
- Status communicated via email and portal
|
| Can a suspended entity re-apply under the EMI Scheme? |
- Re-application allowed if eligibility is restored
- Permanent disqualification for fraudulent declarations
|
| Are entities with rejected/expired AEO applications eligible, and is any support available? |
- Entities with rejected/expired AEO applications may still apply if they meet criteria
- Assistance available via dedicated Helpdesk (telephone/email).
|
Key Takeaway:
The EMI Scheme is a significant trade facilitation measure that improves working capital efficiency for manufacturer importers while encouraging a transition to higher compliance standards under the AEO framework.
Click to download a copy of the FAQs document
