The Duty-Free Import Authorisation (DFIA) Scheme is issued under the Foreign Trade Policy. The DFIA License enables duty-free import of inputs used in manufacturing export products, making allowance for wastage, and energy, fuel, catalyst, etc.
To replace the Duty-Free Replenishment (DFRC) Scheme, the DFIA scheme was introduced on 1st May 2006. This scheme has features similar to the of the Advance Authorisation Scheme, however, there are certain distinct features as well.
DFIA is issued specifically for the products that have been notified under the Standard Input and Output Norms (SION). Thus, import entitlement should be according to the limit specified by the SION.
The DFIA License is freely transferable. The license of imported inputs can be transferred or sold beneath the DFIA Scheme.