Obtaining a Special Valuation Branch (SVB) certificate is a crucial compliance requirement for importers who transact with related foreign entities. Under Indian Customs Valuation Rules, specifically Rule 2(2) of the Customs Valuation (Determination of Value of Imported Goods) Rules, 2007, such transactions are subject to special scrutiny to ensure that the declared transaction value is not influenced by the relationship between the importer and the supplier. If the relationship is disclosed while filing the Bill of Entry, customs may refer the matter to the SVB for further examination.
To initiate the SVB process, the importer must submit a comprehensive set of documents, including Form SVB-I, a detailed questionnaire, commercial agreements, invoices, price lists, past import data, and, if applicable, transfer pricing documentation. A security deposit is also required, and the importer may be called for a personal hearing. These steps help customs determine whether the invoice value is acceptable or needs adjustments.
Once the assessment is completed, the SVB issues an order or certificate, which is typically valid for three years. During this period, subsequent imports from the same related supplier are cleared without repeated valuation checks. For compliance-focused import-export businesses, having an SVB certificate ensures transparency, faster customs clearance, and uninterrupted supply chain operations—making it a vital part of international trade compliance.
