Published: 1 Oct 2026
India Introduces Minimum Import Price for PVC Resin Under DGFT Notification 25/2026-27
Omega QMS Compliance Insights
Omega QMS
The Directorate General of Foreign Trade (DGFT) has introduced a price-based import restriction on Suspension Grade PVC Resin (S-PVC) under ITC (HS) Code 39041020.
Under DGFT Notification No. 25/2026-27 dated 24 July 2026, the import policy for the specified PVC resin has been amended from “Free” to “Restricted”, subject to a CIF-value threshold.
Imports remain permissible without restricted-import authorization where the CIF value exceeds USD 0.766 per kilogram. Imports at or below this threshold fall under the restricted import policy and require the applicable authorization.
The measure takes immediate effect and remains in force for six months from the date of publication.
Key Highlights of the DGFT PVC Resin Notification
| Particular | Details |
|---|---|
| Product | Suspension Grade PVC Resin (S-PVC) |
| ITC (HS) Code | 39041020 |
| Previous import policy | Free |
| Revised import policy | Restricted, subject to price condition |
| CIF threshold | More than USD 0.766/kg |
| Imports above threshold | Free |
| Imports at or below threshold | Restricted; authorization required |
| Effective date | 24 July 2026 |
| Duration | Six months from publication |
| Exemptions | 100% EOUs, SEZ units and Advance Authorisation imports, subject to conditions |
What Has Changed for PVC Resin Imports?
Before this notification, PVC resin under ITC (HS) 39041020 was “Free” under the import policy. DGFT has now introduced a price-linked condition:
CIF Value Above Threshold
Import remains Free.
CIF Value At or Below Threshold
Import is Restricted and requires the applicable authorization.
The notification does not prohibit PVC resin imports altogether. It differentiates between consignments based on CIF import value per kilogram. For importers, accurately determining and documenting the CIF value becomes particularly important for consignments close to the threshold.
What Is Suspension Grade PVC Resin?
Suspension Grade PVC Resin (S-PVC) is a major industrial polymer used as a raw material across a wide range of downstream applications, including:
- Pipes and fittings
- Electrical cables and wires
- Construction materials
- Profiles and sheets
- Packaging applications
- Flooring and other industrial products
Because PVC resin is an upstream input for several manufacturing industries, changes to its import policy can have implications across multiple downstream sectors.
How Does the Minimum Import Price Mechanism Work?
The notification sets a price threshold based on CIF value per kilogram:
| Import value | Import policy |
|---|---|
| More than USD 0.766/kg | Free |
| Exactly USD 0.766/kg | Restricted |
| Less than USD 0.766/kg | Restricted |
Importers should not consider only the product description and HS classification. The declared CIF value and quantity also determine whether a shipment is unrestricted or restricted. Commercial invoices, purchase documentation, freight details and customs declarations should appropriately support the declared transaction value.
Exemptions for EOUs, SEZs and Advance Authorisation Imports
The notification exempts certain export-oriented imports from the price condition. It does not apply to imports by:
100% Export-Oriented Units
Exempted, subject to the applicable conditions.
Units in Special Economic Zones
SEZ units are also covered by the exemption.
Imports Under Advance Authorisation
Exempted from the price condition, subject to the applicable requirements.
No diversion into the Domestic Tariff Area (DTA). The exemptions are conditional on the imported PVC resin not being diverted into the DTA. Eligible businesses should keep records showing compliance with the conditions attached to their export-oriented status or authorization.
Six-Month Validity Period
Price-based restriction applicable forSix months from 24 July 2026
Businesses should monitor any subsequent DGFT notification before the period ends, including a possible:
- Extension of the measure
- Modification of the price threshold
- Change in product coverage
- Withdrawal of the restriction
- Other amendment to the import policy
The six-month period should not be read as meaning the measure will automatically continue or lapse thereafter.
Impact on PVC Resin Importers
Import Authorization May Be Required
Where the CIF value is at or below the threshold, importers may need to obtain the applicable DGFT authorization before importing.
Import Cost Planning
Importers buying PVC resin at prices close to the threshold should factor the revised policy into procurement and landed-cost calculations.
Documentation Becomes More Important
Maintain supporting documentation for the declared CIF value and quantity, particularly where the value is close to the threshold.
Supply-Chain Planning
Manufacturers dependent on imported PVC resin may need to review procurement arrangements, supplier pricing and shipment structures.
Impact on Downstream Industries
An import-policy change affecting S-PVC may have implications beyond direct importers. Potentially affected manufacturers include those making:
- PVC pipes and fittings
- Electrical cables
- Construction products
- Plastic profiles
- Sheets and other PVC products
- Other PVC-based industrial applications
The actual commercial impact will depend on the import price, sourcing arrangement, eligibility for exemptions and each business’s dependence on imported resin.
Is This an Anti-Dumping Duty?
The new DGFT measure is distinct from a conventional anti-dumping duty. It changes the import policy for the specified HS code by introducing a price-based restriction, and does not by itself impose a duty in the form of a customs duty rate. It operates through the DGFT import-policy framework, with imports at or below the threshold moving into the restricted category.
Refer to the specific DGFT notification and applicable customs/import procedures rather than treating the measure as an anti-dumping duty.
What Should Importers Do Now?
- Verify the HS classification of the imported product
- Check the CIF value per kilogram against the USD 0.766/kg threshold
- Determine whether the shipment is Free or Restricted
- Check eligibility for an EOU, SEZ or Advance Authorisation exemption
- Ensure exempted imports are not diverted into the DTA
- Review invoices and supporting documents against the declared import value
- Assess whether DGFT authorization is required before shipment
- Monitor further DGFT notifications during the six-month period
How Omega QMS Can Help
At Omega QMS, we assist businesses with India’s import-export regulatory framework, including DGFT import authorisations, restricted imports, customs-related regulatory requirements and trade-remedy matters. For businesses importing PVC resin, our team can assist with:
- ITC (HS) classification and import-policy assessment
- Review of DGFT restrictions and conditions
- Restricted-import authorization requirements
- Advance Authorisation-related compliance
- Import documentation and regulatory review
- Coordination with relevant authorities
- Monitoring of subsequent DGFT amendments
- Assessment of the impact of import-policy changes
With the PVC resin price-based restriction in place, businesses should assess individual shipments against the threshold and the exemption conditions before proceeding with imports.
Conclusion
DGFT Notification No. 25/2026-27 dated 24 July 2026 introduces a price-based import restriction for S-PVC under ITC (HS) 39041020.
Imports stay Free where CIF value exceeds USD 0.766/kg. Imports at or below the threshold are Restricted and need the applicable authorization.
100% EOUs, SEZ units and Advance Authorisation imports are exempt, subject to conditions and non-diversion into the DTA.
Verify HS classification, assess CIF value per kilogram, determine exemption eligibility and monitor DGFT developments during the six-month period.
Importing PVC Resin into India?
Need help checking CIF thresholds, DGFT authorization or exemption eligibility?
Source: Directorate General of Foreign Trade, Notification No. 25/2026-27 dated 24 July 2026.
Disclaimer: This article is for general regulatory information only and does not constitute legal, customs or trade advice. Businesses should review the applicable DGFT notification and obtain case-specific professional advice before undertaking imports.
