What IGCR means
IGCR stands for the Customs (Import of Goods at Concessional Rate of Duty or for Specified End Use) Rules, 2022. Whenever a duty exemption notification says the benefit is subject to these rules, the importer must follow the IGCR procedure.
When you need it
- Inputs imported at concessional duty for manufacturing a specified product (for example, certain electronics, auto parts or renewable energy goods)
- Capital goods imported under end-use conditions
- Goods sent to a job worker for processing under these notifications
The steps
- Check the notification: confirm the serial number, conditions and the duty saved.
- Give prior information online: intimate customs on ICEGATE about the goods, quantity and intended use.
- Execute a continuity bond with the jurisdictional customs officer.
- Import at the concessional rate by quoting the IGCR details in the Bill of Entry.
- Use the goods as declared and record receipt, use and job-work movement.
- File periodic returns online.
- Close out: unused goods are re-exported or cleared on payment of the duty difference with interest, and the bond is closed.
What goes wrong without IGCR
If the intimation, bond, records or returns are missing, the department can deny the concession and demand the full duty with interest and penalty, sometimes years later in an audit.
IGCR vs MOOWR
| Point | IGCR | MOOWR |
|---|---|---|
| Purpose | Claim a lower duty rate for a specified end use | Defer duty by operating in a bonded premises |
| Duty | Reduced or nil rate paid at import | Duty deferred; paid only on domestic clearance |
| Main obligation | Use goods for the stated purpose | Keep goods and records in the bonded unit |
Some businesses use both, depending on the goods.
Frequently asked questions
Can IGCR goods be sent for job work?
Yes, with proper intimation and records as provided in the rules.
What if I cannot use all the imported goods?
Unused goods can generally be re-exported or cleared on payment of the duty difference with interest, as the rules provide.
Are returns mandatory under IGCR?
Yes. Periodic returns on receipt and use of goods must be filed online.
This article is general information, not legal advice. Rules and rates change; talk to our team before acting on it.