DGFT (Directorate General of Foreign Trade)
The Directorate General of Foreign Trade (DGFT), under India's Ministry of Commerce and Industry, formulates and implements the country's Foreign Trade Policy (FTP). It issues the Import Export Code (IEC), administers export-promotion schemes such as Advance Authorisation, EPCG and RoDTEP, and manages licences, quotas and trade notifications.
DGFT sits alongside Customs in the trade ecosystem: while Customs (CBIC) controls goods at the border through ICEGATE, DGFT governs the policy, entitlements and licences that determine what can be traded and what incentives apply. The two are integrated electronically so that authorisations flow to Customs at the time of clearance.
DGFT decides the rules of the game for Indian foreign trade — who can trade (IEC), under what policy (FTP), and with what incentives (Advance Authorisation, EPCG, RoDTEP). Understanding DGFT schemes is how exporters legally reduce duty costs and stay competitive, so it is essential knowledge for any India trade operation.
What is the Foreign Trade Policy?
The DGFT-issued policy framework that governs India's imports and exports, including the export-promotion schemes and their conditions.
How is DGFT different from Customs?
DGFT sets trade policy and issues licences and the IEC; Customs (CBIC) controls the physical movement of goods at the border via ICEGATE.