CBIC Expands MOOWR Scheme — More Industries Eligible for In-Bond Manufacturing Benefits

MOOWR 2019 Scheme Extended to Food Processing and Green Energy Sectors

The Manufacture and Other Operations in Warehouse Regulations (MOOWR) 2019 has been significantly expanded by the Central Board of Indirect Taxes and Customs (CBIC). New Circular 06/2026-Customs brings food processing units, renewable energy equipment manufacturers (solar panels, wind turbine components, battery storage), and defence component manufacturers under the ambit of MOOWR, allowing them to import raw materials and capital goods without upfront customs duty payment.

How MOOWR Works

Under MOOWR, a manufacturer is licensed to operate a Customs Bonded Warehouse at their own factory premises. Imported raw materials and capital goods enter duty-free and are stored in the bonded facility. Customs duty is payable only if goods are cleared for domestic consumption — goods manufactured and exported attract zero duty. This eliminates the need to block working capital in upfront duty payments and provides cash flow benefits equivalent to an interest-free loan on duty amounts.

Key Expanded Categories

• Food processing: Fruit and vegetable processing units, seafood processing plants, and spice/condiment manufacturers producing for export.
• Renewable energy: Solar PV module manufacturers, wind turbine nacelle/blade producers, and lithium-ion battery cell and pack manufacturers.
• Defence and aerospace: Tier-1 and Tier-2 defence component manufacturers supplying to DPSUs or under approved ToT (Transfer of Technology) arrangements.

MOOWR vs. Advance Authorisation

Unlike Advance Authorisation, MOOWR does not require pre-determined input-output norms or export commitments — it is ideal for manufacturers with variable export ratios. Samarth EXIM handles the complete MOOWR licensing application, customs warehouse registration, and ongoing compliance management.