Import duty on poly(vinyl chloride) binders for pigments from Dubai (UAE) to India
HS 39041010 · Dubai / UAE → India · POLYMERS OF VINYL CHLORIDE OR OF OTHER HALOGENATED OLEF
Data last updated: · MFN duty & IGST verified against ICEGATE (Indian Customs EDI). CEPA preferential rate per the India–UAE CEPA schedule. Verify your exact HS line before filing.
CEPA benefit is quota-limited
The India–UAE CEPA concession on this line is a tariff-rate quota, not an open rate: 5% basic customs duty applies within the annual quota — a volume shared across HS 39041010, 39041020, 39041090, 39042100 — and imports beyond it pay the 7.5% rate shown below. Annex 2A modality: "TR (Year-wise TRQ)" (Annex 2A-83); Year 5 of the schedule is calendar 2026. Annex 2A names the quota but states no volume for it. source ↗
Duty breakdown on a ₹10,00,000 shipment
Enter your own value to recalculate the table below.
| Component | Standard (MFN) | CEPA |
|---|---|---|
| Basic customs duty | ₹75,000 | ₹75,000 |
| Social Welfare Surcharge | ₹7,500 | ₹7,500 |
| IGST | ₹1,94,850 | ₹1,94,850 |
| Total duty | ₹2,77,350 | ₹2,77,350 |
CEPA duty saving on this example: ₹0 (no basic-duty benefit at these rates). Run your own numbers in the import-duty estimator. New to BCD, SWS and IGST? See the glossary.
What drives the rate
Importing poly(vinyl chloride) binders for pigments (HS 39041010) from the UAE to India attracts a 7.5% MFN basic customs duty, and India–UAE CEPA reduces it only inside a tariff-rate quota — 5% within the annual quota, and 7.5% beyond it. PVC binder grades are used in pigment dispersions, coatings and specialty formulations. Annex 2A puts this line inside a year-wise tariff-rate quota shared with suspension-grade PVC (39041020), other PVC (39041090) and non-plasticised PVC (39042100): 5% basic customs duty within the quota against 7.5% outside it. The agreement does not publish the volume for this group, which is itself worth knowing — the opportunity cannot be sized from the schedule, so confirm the allocation with DGFT. The 18% IGST is recoverable. PVC is heavily anti-dumping-exposed, and unlike a CEPA claim an anti-dumping duty cannot be avoided by documentation. Two further points. Because Annex 2A names the quota without publishing a volume for this vinyl group, an importer cannot size the opportunity or judge how much has been drawn — the allocation has to come from DGFT rather than the schedule. And origin is a separate test from the quota: a sub-heading change plus 40% value addition, which UAE polymerisation meets and drumming or blending imported resin does not. Inside the quota the preference is worth 2.75% of assessable value — the 2.5-point basic-duty gap plus the 10% surcharge that rides on it — and nothing at all outside it, which is what makes the allocation, not the paperwork, the binding constraint here. Social Welfare Surcharge adds 10% on the basic duty, not on the goods, and IGST of 18% then applies to the CIF + BCD + SWS total — IGST is recoverable as input tax credit, so the durable benefit is the basic duty alone. Confirm the live rate on ICEGATE before filing; ₹10,00,000 is only the worked example above.
Import compliance & clearances
Beyond duty, importing poly(vinyl chloride) binders for pigments (HS 39041010) into India requires the following regulatory clearances. The CEPA preferential rate does not waive any of these — they apply regardless of origin.
- DGFT Valid IEC (Importer-Exporter Code) required; ITC(HS) import policy: Free source ↗
Indicative and non-exhaustive — verify the current DGFT / BIS / FSSAI / CDSCO notification for your exact 8-digit HS line before importing. Not customs or legal advice.
Frequently asked questions
- What is the import duty on poly(vinyl chloride) binders for pigments from the UAE to India?
- The standard MFN basic customs duty is 7.5%. India–UAE CEPA gives this line a tariff-rate quota rather than an open rate: 5% within the annual quota, and 7.5% beyond it. SWS adds 10% on the basic duty and 18% IGST applies on the CIF + BCD + SWS base.
- How much can CEPA save on poly(vinyl chloride) binders for pigments?
- Outside the quota there is no basic-duty saving — the landed duty matches the MFN route. Inside it the rate falls to 5%, so the saving depends entirely on securing an allocation.
- What do I need to claim the CEPA rate on poly(vinyl chloride) binders for pigments?
- A valid preferential Certificate of Origin (eCoO 2.0) proving UAE origin under the Rules of Origin. Without it, customs charges the 7.5% MFN rate.