Government Notifies Customs Duty and IGST Exemption for Temporary Import of Animals under India–UK CETA:

The Government of India has issued this notification to provide full exemption from Basic Customs Duty (BCD) and Integrated GST (IGST) on certain animals that are temporarily imported into India from the United Kingdom under the India–UK Comprehensive Economic and Trade Agreement (CETA).

The exemption applies only to animals imported for temporary use in activities such as shows, exhibitions, competitions, demonstrations, entertainment events, public service demonstrations (such as police or sniffer dogs), and guide dog programs. These animals must be brought into India only for participating in these events and must be taken back (re-exported) after the event.

To claim the exemption, the importer must submit a declaration to the Customs authorities at the time of filing the Bill of Entry. The declaration must confirm that the imported animals are intended to be used only for the specified event and must include details such as the event name, venue, and duration.

The importer is also required to execute a bond equal to the value of the imported animals and provide a bank guarantee or cash deposit equal to 110% of the customs duty that would have been payable if the exemption were not available. However, this requirement does not apply when the importer is the Central Government, State Government, Union Territory Administration, a Diplomatic Mission in India, or an International Organization notified under the United Nations (Privileges and Immunities) Act, 1947.

The imported animals cannot be removed from the event venue without prior permission from the Deputy Commissioner or Assistant Commissioner of Customs. The importer must also ensure that the animals remain properly identifiable so that Customs can verify that the same animals are re-exported. Any identification procedure prescribed by Customs must be followed.

The animals must be re-exported within six months from the date on which Customs allows their clearance for import. In the case of imports made by the Government, Diplomatic Missions, or notified International Organizations, the Commissioner of Customs may extend this period by six months at a time, up to a maximum total period of two years, if a request is made.

If the importer decides not to re-export the animals and instead wants to keep them in India permanently, this is allowed before the re-export period expires. In that case, the importer must pay all the applicable customs duties and taxes (which were originally exempted), along with any applicable interest, in accordance with the law.

This notification comes into force on 15 July 2026 and is intended to facilitate the temporary import of animals from the UK for eligible events while ensuring that Customs has adequate safeguards through declarations, bonds, identification requirements, and mandatory re-export conditions.