India-UAE CEPA Preferential Customs Duty Rates Revised via Notification No. 18/2026-Customs

Overview of the Amendment

The Central Government has taken a significant step in recalibrating the preferential customs duty framework governing imports under the India–United Arab Emirates Comprehensive Economic Partnership Agreement (India-UAE CEPA). Through Notification No. 18/2026-Customs dated 12th May, 2026, the Ministry of Finance (Department of Revenue) has introduced targeted amendments to the existing concessional tariff structure laid down under Notification No. 22/2022-Customs dated 30th April, 2022.

This revision forms part of an ongoing series of customs adjustments being undertaken by the Government in relation to bilateral trade concessions, particularly in the context of precious metals and related categories of imports.

The amendment has been issued by the Central Government in the exercise of powers vested under sub-section (1) of Section 25 of the Customs Act, 1962 (52 of 1962). This provision empowers the Central Government to grant exemptions from customs duty, either wholly or partially, when it is satisfied that doing so is necessary in public interest.

The relevant portion of the notification reads as follows:

"G.S.R. 357(E).— In exercise of the powers conferred by sub-section (1) of section 25 of the Customs Act, 1962 (52 of 1962), the Central Government, on being satisfied that it is necessary in the public interest so to do, hereby makes the following amendments in the notification of the Government of India, Ministry of Finance (Department of Revenue), No. 22/2022-Customs, dated the 30th April, 2022..."

The invocation of Section 25(1) of the Customs Act, 1962 confirms that the amendment is rooted in public interest considerations, aligning with the Government's trade policy objectives under the bilateral CEPA framework.

Background: India-UAE CEPA and Notification No. 22/2022-Customs

What Is the India-UAE CEPA?

The India-UAE CEPA is a landmark bilateral trade agreement entered into between the Republic of India and the United Arab Emirates. The agreement was designed to: