What is DFIA?
DFIA stands for Duty Free Import Authorization which falls under Chapter 4 of Foreign Trade Policy viz., Duty Exemption Scheme (DES).
DFIA is a Post Export conditioned License which which is Transferrable but in some cases it’s Actual User Condition.
Benefits of DFIA can be availed in cases when exporter doesn’t want to import raw material on it’s own or Exporter doesn’t want to get the burden of Export Obligation which is linked to Advance License. The Exporter exports first and then get Duty Credit Scrip proportionately to import raw material listed in Standard Input Output Norms (SION) fixed by DGFT and Condition Sheet.