Customs Tariff (Determination of Origin of Goods under Comprehensive Economic and Trade Agreement between India and the United Kingdom of Great Britain and Northern Ireland) Rules, 2026 · 62/2026-Customs (N.T.)

[TO BE PUBLISHED IN THE GAZETTE OF INDIA, EXTRAORDINARY, PART II, SECTION 3, SUB-SECTION (i)]

GOVERNMENT OF INDIA MINISTRY OF FINANCE (DEPARTMENT OF REVENUE) (CENTRAL BOARD OF INDIRECT TAXES AND CUSTOMS)

Notification No. 62/2026 -Customs (N.T.)

New Delhi, the 3rd July, 2026.

G.S.R. (E).- In exercise of the powers conferred by sub-section (1) of section 5 of the Customs Tariff Act, 1975 (51 of 1975), the Central Government hereby makes the following rules, namely: -

1. Short title and commencement. - (1) These rules may be called the Customs Tariff (Determination of Origin of Goods under Comprehensive Economic and Trade Agreement between India and the United Kingdom of Great Britain and Northern Ireland) Rules, 2026.

(2) They shall come into force on the 15th July, 2026.

2. Definitions. - In these rules, unless the context otherwise requires, -

(a) “Agreement” means the Comprehensive Economic and Trade Agreement between the Government of the Republic of India and the Government of the United Kingdom of Great Britain and Northern Ireland signed on the 24th July, 2025; (b) “Annexure” means the annexures appended to these rules; (c) “aquaculture” means the farming of aquatic organisms, including fish, molluscs, crustaceans, other aquatic invertebrates and aquatic plants, from seed stock, including seed stock imported from non-Parties, such as eggs, fry, fingerlings, larvae, parr, smolts or other immature fish at a post-larval stage, by intervention in the rearing or growth processes to enhance production such as regular stocking, feeding or protection from predators; (d) “carrier” means any vehicle for air, sea or land transport. However, the carriage of product can be made through multimodal transport; (e) “competent authority” means,- (i) for India, in the case of exports from India, the Department of Commerce or agencies notified to issue the certificate of origin; and in the case of imports into India, the Central Board of Indirect Taxes and Customs or any of its successors; and (ii) for the United Kingdom, its customs authority as defined in Article 1.4 (General Definitions - Initial Provisions and General Definitions);

(f) “exporter” means a person, located in a Party, who, exports a good in accordance with the requirements laid down in the laws and regulations of that Party; (g) “fungible goods” or “fungible materials” means goods or materials that are interchangeable for commercial purposes and the properties of which are essentially identical; (h) “generally accepted accounting principles” means the principles recognised by consensus or with substantial authoritative support in the territory of a Party with respect to the recording of revenues, expenses, costs, assets and liabilities, the disclosure of information and the preparation of financial statements. These principles may encompass broad guidelines for general application, as well as detailed standards, practices, and procedures; (i) “indirect material” means a material used in the production, testing or inspection of a good but not physically incorporated into the good or a material used in the maintenance of buildings or the operation of equipment, associated with the production of a good, including,- (i) fuel, energy, catalysts and solvents; (ii) equipment, devices and supplies used to test or inspect the good; (iii) gloves, glasses, footwear, clothing, safety equipment and supplies; (iv) tools, dies and moulds; (v) spare parts and materials used in the maintenance of equipment buildings; (vi) lubricants, greases, compounding materials and other materials used in production or used to operate equipment buildings; and (vii) any other material that is not incorporated into the good but the use of which in the production of the good can reasonably be demonstrated to be a part of that production; (j) “issuing authority” means the authorities in India designated for issuance of certificates of origin; (k) “material” means any good, including ingredients, raw inputs, components or parts used in the production of another good and physically incorporated into it; (l) “net weight” means the weight of the material or good excluding the weight of any packaging; (m) “non-originating good” or “non-originating material” means a good or material that does not qualify as originating, including those of unprovable origin, in accordance with these rules; (n) “originating good” or “originating material” means a good or material that qualifies as originating in accordance with these rules;

(o) “Party” means the Government of Republic of India or the Government of the United Kingdom of Great Britain and Northern Ireland and jointly as Parties; (p) “producer” means a person who engages in the production of a good; (q) “production” means operations including growing, cultivating, raising, mining, harvesting, fishing, trapping, hunting, capturing, collecting, breeding, extracting, aquaculture, gathering, manufacturing, working, processing or assembling a good other than simple assembly; Explanation: “simple assembly” means an activity which neither requires special skills nor machines, apparatus or equipment especially produced or installed to carry out the activity; (r) “tariff classification” means the classification of a good according to the Harmonized System; (s) “territorial sea” means waters extending up to twelve nautical miles from the baseline as defined by the Parties in line with the United Nations Convention on the Law of the Sea, 1982; and (t) “Working Group on Rules of Origin” means the Working Group on Rules of Origin established in sub-rule (1) of rule 29.

3. Origin Criteria.- Except as otherwise provided in these rules, each Party shall provide that a good is originating, if it is-- (a) wholly obtained or produced entirely in the territory of one or both of the Parties as specified in rule 4; (b) produced entirely in the territory of one or both of the Parties, exclusively from originating materials; or (c) produced entirely in the territory of one or both of the Parties using non- originating materials, provided the good satisfies all applicable requirements of Annexure-A, in each case, provided the good satisfies all other applicable requirements of these rules. Explanation: For greater clarity, final production of a good must have occurred in the exporting Party, except those activities as specified in clause (b) of sub-rule (2) of rule 15.

4. Wholly Obtained.- Each Party shall specify that for the purposes of clause (a) of rule 3 the following goods shall be considered as wholly obtained or produced entirely in one or both of the Parties, if they are-- (a) minerals, mineral goods and other non-living natural resources extracted or taken from there;

(b) plant and plant goods, including fruits, flowers, vegetables, trees, seaweed, and live plants or fungi or algae, grown, harvested, cultivated, picked or gathered there; (c) live animals born and raised there; (d) goods obtained from live animals raised there; Explanation: For greater clarity, this includes heifers imported into a Party and then raised there; (e) goods obtained by hunting, trapping, fishing or aquaculture conducted there, but not beyond the outer limits of a Party’s territorial sea; (f) fish, shellfish and other marine life taken from the sea, seabed or subsoil outside the territorial sea of each Party and outside the territorial sea of non- Parties in accordance with the international law, by vessels that are registered with a Party and entitled to fly the flag of that Party; (g) a good produced from the goods referred to in clause (f) on a factory ship that is registered with a Party and entitled to fly the flag of that Party; (h) minerals, mineral goods and other non-living natural resources, taken or extracted from the seabed or subsoil, outside the territories of the Parties, and beyond areas over which non-Parties exercise jurisdiction; provided that that Party or person of the Party has rights to exploit such seabed or subsoil; (i) a good, excluding precious metals, that is-- (i) waste or scrap derived from consumption or production there; or (ii) waste or scrap derived from used goods collected there, provided that those goods are fit only for the recovery of raw materials; or (j) goods and their derivatives produced there exclusively from goods referred to in clause (a) through (i).

5. Value of the Good.- (1) For the purposes of these rules, each Party shall specify that the value of the good may be ex-works price or free-on-board (FOB) value. (2) The ex-works price is either;- (a) the price paid or payable for the good to the producer at the place where the last production was carried out and shall include the value of all materials; or (b) the price actually paid or payable for the good when sold for export. (3) In case no price is paid or payable or if it does not include the value of all materials, the ex-works price;-

(a) shall include the value of all materials and the cost of production employed in producing the good, calculated in accordance with the generally accepted accounting principles; and (b) may include amounts for general expenses and profit to the producer that can be reasonably allocated to the good. (4) For the purposes of calculating the value of the good in accordance with sub-rule (2) or sub-rule (3), the ex-works price shall;- (a) not take into account any internal taxes which are, or may be, repaid when the good obtained is exported; and (b) exclude any costs incurred subsequent to the good leaving the place where the last production was carried out, such as transportation, loading, unloading, handling or insurance. (5) The free-on-board value shall be the price actually paid or payable to the exporter for a good when loaded onto the carrier at the named port of exportation, including the cost of the product and all costs required to bring the good onto the carrier, not taking into account any internal taxes which are or may be repaid when the good obtained is exported.

6. Qualifying Value Content.- (1) Where Annexure-A specifies a qualifying value content test to determine whether a good is originating, each Party shall provide that the qualifying value content (QVC) shall be calculated using one of the following methods: (a) Build-Down Method: based on the value of non-originating materials value of the good-value of non‐originating materials QVC= × 100;

value of the good (b) Build-Up Method: based on the value of originating materials Value of originating materials QVC =

× 100,

Value of the good where, QVC is the qualifying value content of a good, expressed as a percentage. (2) Each Party shall provide that the value of a material shall be-- (a) for a material imported by the producer of the good, the price actually paid or payable for the material at the time of importation, or other value determined in accordance with the Customs Valuation Agreement, including the costs incurred in transporting the material to the port or place of importation, such as transportation, loading, unloading, handling or insurance; (b) for a material acquired in the territory where the good is produced--

(i) the price paid or payable by the producer in the Party where the producer is located; (ii) the value as determined for an imported material in clause (a); or (iii) the earliest ascertainable price paid or payable in the territory of the Party; or (c) for a material that is self-produced, all the costs incurred in the production of the material, which includes general expenses. (3) For an originating material, the following expenses may be added to the value of the material, if not included under sub-rule (2) :-- (a) the costs of freight, insurance, packing and all other costs incurred to transport the material to the location of the producer of the good; (b) duties, taxes and customs brokerage fees on the material paid in the territory of a Party, other than duties and taxes that are waived, refunded, refundable or otherwise recoverable, which include credit against duty or tax paid or payable; and (c) the cost of waste and spoilage resulting from the use of the material in the production of the good, less the value of reusable scrap or by- product. (4) For a non-originating material or material of undetermined origin, the following expenses, where included under sub-rule (2), may be deducted from the value of the material :-- (a) the costs of freight, insurance, packing and all other costs incurred in transporting the material to the location of the producer of the good; (b) duties, taxes, and customs brokerage fees on the material paid in the territory of one or both Parties, other than duties and taxes that are waived, refunded, refundable or otherwise recoverable, which include credit against duty or tax paid or payable; and (c) the cost of waste and spoilage resulting from the use of the material in the production of the good, less the value of reusable scrap or by- product. (5) If the cost or expense specified in sub-rule (3) or (4) is unknown or documentary evidence of the amount of the adjustment is not available, then no adjustment is allowed for that particular cost or expense. 7. Materials Used in Production.- (1) Each Party shall provide that if a non-originating material undergoes further production such that it satisfies the requirements of these rules, the material is treated as originating when determining the originating status of the subsequently produced good, regardless of whether that material was produced by the producer of the good. (2) Each Party shall provide that if a non-originating material is used in the production of a good, the following may be counted as originating content in determining whether the resulting good meets a qualifying value content requirement:--

(a) the value of processing of the non-originating material undertaken in the territory of the exporting party; and (b) the value of any originating material used in the production of the non- originating material undertaken in the territory of one or both of the Parties. 8. Non-Qualifying Operations.- (1) Each Party shall provide that, notwithstanding anything contained in these rules, a good shall not be considered to be originating merely by undergoing any of the following operations in the territory of that Party:-- (a) operations to ensure the preservation of products in good condition during transport and storage (such as drying, freezing or thawing, keeping in brine, removal of damaged parts) and other similar operations; (b) changes of packaging and breaking up and assembly of packages; (c) washing, cleaning, removal of dust, oxide, oil, paint or other coverings; (d) for textiles: attaching accessory articles such as straps, bands, beads, cords, rings and eyelets; ironing or pressing of textiles; (e) simple painting and polishing; (f) husking, partial or total bleaching, polishing and glazing of cereals and rice; (g) operations to colour sugar or form sugar lumps; (h) peeling and removal of stones and shells from fruits, nuts and vegetables; (i) sharpening, simple grinding or simple cutting; (j) simple operations such as removal of dust, sifting, screening, sorting, classifying, grading or matching; (k) simple placing in bottles, cans, flasks, bags, cases, boxes, fixing on cards or boards and all other simple packaging operations; (l) affixing or printing marks, labels, logos and other like distinguishing signs on products or their packaging; (m) simple mixing of goods, whether or not of different kinds; mixing of sugar or any other sweetening matter to any good; (n) simple assembly of parts of articles to constitute a complete article or disassembly of products into parts; (o) slaughter of animals; (p) simple testing, calibration, inspection or certification; (q) dilution with water or another substance that does not materially alter the characteristics of the good; (r) a production or pricing practice in respect of which it may be demonstrated, on the basis of a preponderance of evidence, that the object was to circumvent the provisions of these rules; or

(s) any combination of two or more operations specified in clauses (a) to (r). (2) For the purposes of this rule, the expression “simple” describes an activity which needs neither special skills nor machines, apparatus or equipment especially produced or installed to carry out the activity. 9. Cumulation.- Each Party shall provide that an originating good or material in the territory of one Party, under the terms of rule 3 (Origin Criteria) and all the other applicable requirements of these rules, that is incorporated in the production of a good in the territory of the other Party is considered to originate in the territory of the other Party. 10. Tolerance.- (1) Each Party shall provide that a good containing non-originating materials that does not satisfy the applicable change in tariff classification requirement or wholly obtained requirement specified in Annexure-A for the good is nonetheless originating, if:-- (a) in the case of a good in Chapters 1 to 3, 5, 6, 10 and 14 of the Harmonized System: (i) the value of those non-originating materials does not exceed 7.5 per cent of the value of the good; or (ii) the net weight of those non-originating materials does not exceed 7.5 per cent of the net weight of the good;

and the good satisfies all other applicable requirements of these rules; (b) in the case of a good in Chapters 4, 7 to 9, 11 to 13 and 15 to 24 of the Harmonized System: (i) the value of those non-originating materials does not exceed 12.5 per cent of the value of the good; or (ii) the net weight of those non-originating materials does not exceed 12.5 per cent of the net weight of the good;

and the good satisfies all other applicable requirements of these rules; or (c) in the case of a good in Chapters 25 to 98 of the Harmonized System, the value of those non-originating materials does not exceed 12.5 per cent of the value of the good and the good satisfies all other applicable requirements of these rules. (2) If a good is also subject to a qualifying value content requirement, the value of those non-originating materials shall be included in the value of non-originating materials for any applicable qualifying value content requirement. 11. Fungible Goods and Materials.- (1) Each Party shall provide that a fungible good or material is treated as originating based on the: (a) physical segregation of each fungible good or material; or (b) use of any inventory management method recognised in the generally accepted accounting principles of the Party where the production is performed, if the fungible good or material is commingled, provided that the

inventory management method selected is used throughout the fiscal year of the person that selected the inventory management method. (2) The inventory management method chosen must:-- (a) allow a clear distinction to be made between originating and non- originating materials including materials of undetermined origin acquired or kept in stock; and (b) ensure that, over the relevant accounting period of twelve months, no more goods or materials receive originating status than would have been the case, if the fungible goods or materials had been physically segregated. (3) For greater certainty and in accordance with clause (b) of sub-rule (1) of rule 25, a producer using an inventory management system shall keep records of the operation of the system that are necessary for the authority of the Party concerned to verify compliance with the provisions of these rules. 12. Accessories, Spare Parts or Tools.- (1) Each Party shall provide that the origin of the accessories, spare parts, tools or instructional or other information materials presented with a good shall be-- (a) disregarded in determining whether a good satisfies a process or change in tariff classification or wholly obtained requirement for the good; and (b) taken into account as originating or non-originating materials, as the case may be, in calculating the qualifying value content of the good, if the good is subject to a qualifying value content requirement. (2) Sub-rule (1) shall apply only in such cases where:-- (a) the accessories, spare parts, tools and instructional or other information materials presented with the good are not invoiced separately from the good; and (b) the quantities and value of the accessories, spare parts, tools and instructional or other information materials presented with the good are customary for that good.

13. Packaging and Packing Materials.- (1) Each Party shall provide that for the purpose of determining whether a good is originating, packaging and packing materials and containers in which a good is packaged for retail sale shall, if classified with the good, be:-- (a) disregarded in determining whether a good satisfies a process or change in tariff classification or wholly obtained requirement for the good; and (b) taken into account as originating or non-originating materials, as the case may be, in calculating the QVC of the good.

(2) Each Party shall provide that packaging and packing materials and containers used for the shipment of a good shall be disregarded in determining the origin of goods.

14. Indirect Materials.- Indirect materials shall neither be considered originating nor non- originating for the purposes of calculating QVC specified in rule 6.
15. Non-Alteration.- (1) Each Party shall provide that an originating good retains its originating status if the good has been transported to the importing Party without passing through the territory of a non-Party. (2) Each Party shall provide that an originating good transported through or stored in a non-Party shall retain its originating status provided it: (a) remains under customs control, such as in a warehouse, and is not released to free circulation or trade in the territory of any non-Party; and Explanation: For greater clarity, free circulation includes trade or consumption; (b) does not undergo further production or any other operation outside the territories of the Parties, other than unloading, reloading, splitting up of loads, separation from bulk, storing, labelling, marking, bottling or any operation necessary to preserve it in good condition; Explanation: For greater certainty, bottling applies only to filling into bottles from bulk of goods of heading 2208 of the Harmonized System and where appropriate mere dilution with water that does not alter the origin of the bottled good. (3) An importer shall provide to the customs authority of the importing Party upon request:-- (a) information, including documentation, demonstrating that the conditions specified in sub-rule (2) have been fulfilled; and (b) where bottling has taken place in a non-Party, transportation documents and commercial documents indicating the entire transport route of the good from the exporting party to the importing party and information including documentation demonstrating that the good remained under customs control, such as a non-manipulation certificate issued by a customs authority in the non-party.
16. Proof of Origin.- (1) Each Party shall provide that a claim for preferential tariff treatment is based on an applicable proof of origin:-- (a) for importers in the United Kingdom, an applicable proof of origin shall be: (i) an origin declaration completed by the exporter or producer; (ii) a certificate of origin issued by an issuing authority; or (iii) the importer’s knowledge that the good is originating; and (b) for importers in India, an applicable proof of origin shall be an origin declaration completed by the exporter or producer. (2) Each Party shall provide that an origin declaration or a certificate of origin: