India’s Directorate General of Foreign Trade (DGFT) has introduced an automated mechanism for issuing Free Sale and Commerce Certificates (FSCs) through its online portal, a move aimed at reducing processing times and easing compliance for exporters. The change was announced through Trade Notice No. 24/2026-2027 dated August 31, 2026.
Under the new system, eligible FSC applications will be processed automatically in line with the prevailing regulatory framework, without being routed to DGFT Regional Authorities for mandatory manual scrutiny. The government expects the automated process to significantly reduce turnaround times for a substantial category of applications.
Faster and paperless processing
Previously, exporters could submit FSC applications online, but the applications were subsequently sent to the concerned DGFT Regional Authority for analysis, verification and approval. This manual process could add to the time required to obtain the certificate.
The new system shifts eligible applications to an automated, rule-based workflow. Applications that require additional verification or do not meet the parameters for automated processing can still be referred to the relevant Regional Authority for manual examination.
What is the Free Sale and Commerce Certificate?
An FSC is a trade document confirming that specified products are freely sold or marketed in India. DGFT issues these certificates under the Foreign Trade Policy for eligible products, including items that are not covered by the Drugs & Cosmetics Act, 1940.
The certificate can be useful when overseas authorities or buyers require evidence that a product is legally sold in the exporting country. Manufacturer exporters as well as merchant exporters can benefit from the facility.
DGFT’s existing framework requires exporters seeking the certificate to have an active Importer Exporter Code (IEC), along with other specified requirements such as a valid Digital Signature Certificate and relevant Registration-Cum-Membership Certificate (RCMC) details.
Ease of doing business
The automation is part of the government’s broader effort to digitise trade-related services and reduce procedural hurdles for exporters. By removing manual scrutiny from routine, eligible applications, the initiative is expected to lower compliance costs and provide faster access to documentation needed for international trade.
For exporters, particularly those dealing with regular overseas shipments that require FSC documentation, the new mechanism could improve predictability and reduce delays associated with certificate processing. The move also supports India’s wider push towards paperless and technology-driven export procedures.
The DGFT’s latest measure therefore represents another step towards simplifying export documentation while retaining manual intervention for applications that require additional regulatory checks.