DGFT Revise Import Policy and Policy condition of Umbrellas

The Directorate General of Foreign Trade (DGFT), under the Ministry of Commerce and Industry, has issued a Notification dated 5 February 2026, introducing significant changes to the import policy governing umbrellas and sun umbrellas classified under Chapter 66 of ITC (HS) 2022. 

Under this amendment, the import policy for finished umbrellas falling under HS Code 66019100 (umbrellas with telescopic shaft) and HS Code 66019900 (other umbrellas) has been revised from Free to Restricted. This change reflects the government’s intent to regulate low-value imports and protect domestic manufacturers from price undercutting due to cheaper foreign products.

However, the notification provides an important relaxation. Imports of umbrellas under the above HS codes will continue to be treated as “Free” if the CIF value is Rs. 100 or more per piece. This effectively introduces a Minimum Import Price (MIP) threshold, ensuring that only higher-value imports enter the Indian market without restriction. Further, the DGFT has clarified that the MIP condition will not apply to imports made by Advance Authorisation holders, Export Oriented Units (EOUs), and Special Economic Zone (SEZ) units, provided that such imported umbrellas are not sold in the Domestic Tariff Area (DTA). This exemption supports export-oriented manufacturing and maintains the competitiveness of Indian exporters.