Is IGCR Available for Raw Materials as Well as Finished Goods?

If you’re planning to import under the IGCR (Import of Goods at Concessional Rate of Duty) Rules, 2017, one of the most common questions is — Does the benefit apply only to raw materials, or can finished goods also be brought in under IGCR?

The answer lies in how the imported goods are used, rather than what they are.

✅ Allowed Under IGCR:

IGCR is primarily designed to support manufacturing and value addition. Therefore, the following are clearly eligible:

• Raw materials and consumables like polymers, metals, fabrics, electronic parts, or chemicals used in production.
• Semi-finished or intermediate goods that will undergo further processing.
• Capital goods and machinery required for production or approved service activities.

As long as the goods are used for manufacturing, job work, or eligible services, they qualify for concessional duty.

❌ Not Allowed Under IGCR:

What IGCR doesn’t permit is the import of ready-to-sell finished goods meant purely for trading or resale without any processing. For example, importing fully assembled electronics, garments, or packaged consumer products and selling them as-is does not fall under the scheme.

Final Takeaway

IGCR is available for raw materials, semi-finished inputs, and capital goods — but not for finished products imported solely for trading.
If there’s value addition, processing, or manufacturing involved, IGCR works in your favor. If it’s plain reselling, customs duty at full rate applies.

Learn more about IGCR at https://www.jparks.co/services/apply-for-igcr-clearance/