DGFT Clarifies Silver Imports Under ITC(HS) 71069221: A Valid Authorisation Is Enough

DGFT has settled a question that was holding up silver clearances: if you hold a valid DGFT Import Authorisation for silver under ITC(HS) 71069221, that authorisation by itself is enough to import — you do not separately need to be a Nominated Agency, an IFSCA Qualified Jeweller, or an EOU, and you do not have to route the import through the India International Bullion Exchange (IIBX), unless your own authorisation says so. For bullion dealers, refiners and jewellery importers who had been uncertain whether extra eligibility gates applied, this removes a real friction point.

What Happened

Through Policy Circular No. 02/2026-27 dated 9 October 2026, DGFT clarified the import conditions for silver falling under ITC(HS) 71069221 (silver of 99.9% or higher purity). Silver under this code is classified as "Restricted" under Notification No. 17/2026-27 (16 May 2026), which means it can be imported against a valid DGFT Import Authorisation issued under paragraph 2.08 of the Foreign Trade Policy, 2023.

The circular makes two things explicit. First, holding a valid Import Authorisation is a sufficient eligibility condition — Nominated Agency, IFSCA Qualified Jeweller or EOU status is not an additional requirement, unless the specific authorisation imposes one. Second, import through the IIBX is not mandatory for code 71069221 unless the particular authorisation requires it. The circular distinguishes this from Notification No. 19/2026-27 (2 June 2026), whose IIBX and Qualified-Jeweller conditions apply to the other silver codes (71061000, 71069110, 71069120 and 71069190), not to 71069221.

Why / Background

Over 2026 the government progressively tightened the silver import regime, moving various silver forms from "Free" to "Restricted" to bring import regulation in line with customs-duty treatment and to channel bullion flows through recognised routes. As those changes landed, confusion arose at the clearance stage about whether an authorisation holder also needed Nominated Agency or Qualified Jeweller status, or had to import specifically via the IIBX. The Policy Circular resolves that ambiguity for code 71069221, telling customs and regional authorities to process clearances on the strength of a valid authorisation and its own conditions.

Who's Affected

Importers of high-purity silver under ITC(HS) 71069221 — bullion dealers, refiners and jewellery manufacturers — are the direct beneficiaries. Anyone who had deferred shipments for fear of an additional Nominated Agency or IIBX requirement can now proceed on their authorisation. Customs house agents handling precious-metal consignments should update their clearance checklists, and the distinction from the other silver codes (where IIBX/Qualified-Jeweller conditions do apply) matters for anyone importing across multiple silver lines.

Operational Detail

The circular is addressed to customs authorities, DGFT Regional Authorities and trade and export promotion councils. Customs are directed to process silver clearances under 71069221 in line with the circular and the conditions written into each authorisation. Importantly, the clarification does not dilute the authorisation requirement itself — silver remains "Restricted," so a valid Import Authorisation is still needed — nor does it waive any condition that a specific authorisation carries. Holders must still comply with the terms of their own authorisation and all other applicable import requirements.

What Importers and CHAs Should Do Now

Confirm your silver tariff line: the clarification is specific to ITC(HS) 71069221. The other 7106 codes continue to carry the IIBX/Qualified-Jeweller conditions of Notification 19/2026-27.
If you hold a valid Import Authorisation for 71069221, proceed to import in your own name, subject only to that authorisation's conditions.
Read your authorisation closely: if it specifies Nominated Agency status or IIBX routing, that condition still binds you.
Brief your CHA to clear 71069221 consignments on the authorisation, and to keep the code-wise distinction clear to avoid wrongful holds.
Keep documentation ready to show the authorisation and its conditions at the time of clearance.

The Bigger Picture

This is a clean example of a clarificatory circular doing useful work: it does not change policy, but it removes a layer of uncertainty that was slowing legitimate trade. The underlying direction — silver as a "Restricted" item requiring authorisation, with tighter channels for certain forms — remains intact. Importers should expect the authorities to keep aligning bullion import rules with customs-duty policy, and should treat the authorisation and its conditions as the operative rulebook for each consignment.

Frequently Asked Questions

Do I still need an Import Authorisation for silver under 71069221? Yes. Silver under 71069221 is "Restricted," so a valid DGFT Import Authorisation is required. The circular clarifies that the authorisation alone is sufficient eligibility.

Must I be a Nominated Agency or Qualified Jeweller to import? No, not as an additional condition — unless your specific authorisation imposes it. The authorisation holder may import in their own name.

Is IIBX routing mandatory? Not for code 71069221, unless your authorisation requires it. The IIBX and Qualified-Jeweller conditions of Notification 19/2026-27 apply to the other silver codes.

Does this apply to all silver codes? No. The clarification is specific to ITC(HS) 71069221. Importers of 71061000, 71069110, 71069120 and 71069190 should follow the conditions applicable to those codes.

Conclusion

For high-purity silver under ITC(HS) 71069221, a valid DGFT Import Authorisation is enough — no separate Nominated Agency, Qualified Jeweller or IIBX requirement unless the authorisation itself says so. Confirm your code, read your authorisation's conditions, and clear accordingly.

This article is a practical summary and not legal advice. Verify the conditions against DGFT Policy Circular No. 02/2026-27 and the relevant import-policy notifications before acting.