What are Norms? What is Fixation of Norms?

Norms are specifications issued and developed by the Directorate General of Foreign Trade (DGFT) in consultation with industry stakeholders and technical experts. These norms specify the quantity of inputs that are required to produce a unit of output in various industries.

Norms are issued for various products and industries, and are based on the best practices and technologies available in the industry. They are revised from time to time to ensure that they reflect the current technological and industrial practices.

Norms help in calculating the duty drawback (refund of duties paid on inputs used in the export product) and to fix the export obligation (EO) for Advance Authorization (AA)/DFIA Scheme and Export Promotion Capital Goods (EPCG) schemes.

There are cases where norms have not been notified by the DGFT or where the applicant wants to get their ad-hoc norms fixed before making an application for Advance Authorization. This is called as Norms Fixation.

Categories of Norms

There are two categories of norms including – Standard Input-Output Norms (SION) and Ad-hoc norms

Standard Input Output Norms (SION) Norms

Sion Norms are published by DGFT to specify the required number of inputs needed to produce a unit of outputs for exporting under Advance Authorization Scheme or DFIA Scheme. Advance licenses/DFIA Licenses are issued on the basis of inputs and export items given under SION published by DGFT.

Ad-hoc Norms

In case there are no SION norms for a particular export product, then the exporter has to approach the norms committee in DGFT and get the norms fixed for his particular export product. These norms are fixed by the exporter and hence these are called ad-hoc norms.

Documents Required for Trademark Registration:

Copy of IEC

DGFT Digital Signature Certificate (DSC)

Application form ANF - 4B

Valid RCMC

GST Certificate

Appendix - 4E (Technical Details)

Appendix 4K (Chartered Engineer Certificate)

Application fee Receipt

Production & Consumption data of the last 3 financial years

Copy of Advance License (if available)

Details of earlier licenses obtained (if any) for the product during the licensing years for the past two years

Copy of Udyam Registration

Detailed technical Notes on manufacturing process along with technical justification for wastage claimed at each stage of the process

The Norms Fixation Procedure

The Norms Fixation Procedure involves the following steps:

Step 1

  • Apply for the Advance Authorisation with the required documents and apply for the request of <b> Norms Fixation.</b>

Step 2

  • Get the Advance Authorisation from the DGFT Regional Authority.

Step 3

  • Import of Duty-Free Raw Materials under Advance Authorisation for manufacturing.

Step 4

  • Manufacture the finished product using the raw materials imported and export it.

Step 5

  • Complete the Norms Fixation Procedure by approaching the Norms Committee, New Delhi.

Step 6

  • Proceed for the process of EODC / Redemption of Advance Authorisation from the DGFT, RA.

Step 7

  • Obtain EODC / Redemption against the Advance License from the DGFT, RA.

Step 8

  • Submit the EODC / Redemption with the Customs for Bond Cancellation / BG Release.

How can we help you?

Documentation

Collection of the required documentation from the clients.

Preparation and Submission

Verification of the documents and preparation of application as per the DGFT and Norms Committee mandates.

Follow up

Follow-up with DGFT and the Norms Committee, if the process is delayed or slowed down.

Quick Assistance

For Future related Licenses and queries.

Frequently Asked Questions

All you need to know before applying for Norms Fixation:

Standard Input-Output Norms (SION) under DGFT, it specifies the required amount of input to produce the output for export

Ad-hoc norms are specific Input-Output norms for an export product for which there is no SION (Standard Input Output Norms).

Norms Committee is the Committee in the DGFT for endorsing the Input Output norms that are notified by the Director General of Foreign Trade.

There are 7 Norms Committee looking after various groups of products under Norms Fixation.

There are cases where norms have not been notified by the DGFT or where the applicant wants to get their ad-hoc norms fixed before making an application for Advance Authorization. This is called as Norms Fixation.

No, Norms Fixation is not required for EPCG Scheme.

Yes. Norms Fixation will not be required in these cases:

1. If the exporter applies for Advance Authorisation License against which SION Norms exist.
2. If the exporter applies for Self Ratification of SION Norms. An exporter can apply for Self Ratification only if the exporter has a 2 Star Export House Status Holder Registration or an AEO T2 Registration applicants.

No. EPR registration and Norms Fixation are not related at all. EPR Registration is compulsory if importing a product in plastic packing.

Yes, Norms Fixation will be required for AEO T1 registered companies. Only AEO T2 registered companies have self-ratification of Norms and hence only AEO T2 registered companies can avoid fixation of Norms.

No, LMPC (Legal Metrology Packaged Commodities) Registration is not directly related to Norms Fixation under DGFT. Norms Fixation deals with determining the quantity of raw materials required to produce a unit of export product, while LMPC governs labeling and packaging compliance for goods sold in India. However, if the importer also sells packaged commodities domestically, LMPC Registration would be needed separately for those products.

While Norms Fixation focuses on establishing input-output ratios for export manufacturing under DGFT schemes, EPR (Extended Producer Responsibility) ensures environmental accountability for waste management. Both are independent processes — but an exporter or manufacturer who imports materials under Advance Authorisation or EPCG and also deals in plastic, electronic, battery, or tyre products must comply with EPR regulations in addition to fulfilling export obligations under Norms Fixation.

An AEO T1 (Authorised Economic Operator – Tier 1) certified company enjoys faster Customs clearance, reduced document scrutiny, and priority handling, which indirectly supports the Norms Fixation process. Since AEO T1 exporters are considered low-risk, their applications for Ad-hoc Norms or SION Norms ratification at DGFT are processed more efficiently, improving credibility and reducing delays in obtaining Advance Authorisations.

With AEO T2 status, companies receive enhanced Customs facilitation such as deferred duty payment, direct port delivery, and reduced physical inspections. This helps exporters demonstrate a strong compliance framework to DGFT during the Norms Fixation process, which can lead to faster approval of Ad-hoc Norms and streamlined verificationof technical data and production processes.

AEO T3, being the highest level of Customs recognition, reflects a company’s robust internal controls, compliance reliability, and international credibility. DGFT and Customs authorities are more likely to trust the input-output data and manufacturing process submissions of AEO T3 companies, which can expedite Norms Fixation approvals and minimize post-verification requirements. It enhances both procedural ease and the company’s reputation in export facilitation.

Norms Fixation is an integral part of the Advance Authorisation Scheme. When no SION (Standard Input Output Norms) exist for a particular export product, an exporter must apply for Ad-hoc Norms Fixation to determine the eligible quantity of inputs required for manufacturing. DGFT then approves these norms, enabling the exporter to import raw materials duty-free under Advance Authorisation. Hence, Norms Fixation is the foundation for duty exemption eligibility.

In the EPCG (Export Promotion Capital Goods) Scheme, Norms Fixation is not mandatory, but the concept of input-output correlation still applies. Exporters importing capital goods under EPCG must achieve a specific export obligation linked to the duty saved. Having well-defined norms for production helps in maintaining accurate export records and demonstrating compliance during EPCG redemption or EODC filing. Therefore, understanding norms ensures transparency in both Advance Authorisation and EPCG operations.

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