Amending List 34A and 34B

## Policy Analysis Report: Amendment to Customs Tariff Act Notification No. 502017 **1. Executive Summary:** This report analyzes an amendment to the Government of India's Notification No. 502017-Customs, published on June 30, 2017, concerning the Customs Tariff Act, 1975. The amendment, dated April 28, 2025, specifically modifies the Annexure to the Table within the original notification by substituting Lists 34A and 34B. These lists pertain to entities, likely banks, with validity from April 1, 2025, to March 31, 2026. The amendment appears to update the specific entities eligible for certain customs-related benefits or exemptions, impacting financial institutions involved in international trade. **2. Introduction:** This report aims to provide a detailed overview and analysis of the amendment to Notification No. 502017-Customs, as published in the Gazette of India on April 28, 2025. The analysis is based solely on the provided text and aims to inform affected parties about the changes introduced. **3. Policy Overview:** * **Original Policy:** The amendment modifies the original Notification No. 502017-Customs, dated June 30, 2017. * **Core Objective(s):** The original notification, based on the amendment text, appears to be related to customs duties and tariffs, with the aim of promoting the public interest. The specific objective of the original notification is not clear solely from the provided amendment text. **4. Background and Rationale:** The amendment revises specific lists (34A and 34B) of entities, likely financial institutions, within the Annexure of the original notification. The rationale for this amendment is not explicitly stated in the text. However, a likely reason is to update the list of eligible banks, possibly due to changes in banking regulations, performance, or strategic government decisions related to international trade facilitation. The periodic updating suggests a dynamic aspect to the original policy, reflecting market conditions or government priorities. **5. Key Provisions / Changes:** This amendment focuses on replacing Lists 34A and 34B within the Annexure to the Table of the original Notification No. 502017-Customs. * **Specific Part Changed:** The Annexure to the Table, specifically Lists 34A and 34B. * **New Rule/Provision:** * **List 34A:** Now contains the following entities: Axis Bank Limited, Bank of India, Federal Bank Limited, HDFC Bank Limited, Industrial and Commercial Bank of China Limited, ICICI Bank Limited, IndusInd Bank Limited, Kotak Mahindra Bank Limited, Karur Vysya Bank Limited, Punjab National Bank, RBL Bank Limited, State Bank of India, Yes Bank Limited. This list is valid from April 1, 2025, to March 31, 2026. * **List 34B:** Now contains the following entities: Indian Overseas Bank, Union Bank of India. This list is valid from April 1, 2025, to March 31, 2026. * **Difference/Effect of Change:** The amendment replaces the previous lists 34A and 34B with new lists. Banks previously included may no longer be eligible, and new banks may now be included. The effect of this change is to alter which banks are entitled to whatever customs benefits or exemptions are linked to these lists within the original policy. **6. Target Audience and Stakeholders:** The primary target audience consists of the banks listed in Lists 34A and 34B, as well as other financial institutions that may have previously been on those lists. Other stakeholders include businesses involved in international trade who utilize the services of these banks for customs-related transactions and the Central Government and relevant departments. **7. Implementation Aspects (Inferred):** * **Responsible Agency/Bodies:** The Ministry of Finance, Department of Revenue, is responsible for implementing this amendment. The Customs department is likely responsible for enforcing the changes. * **Timelines:** The amendment is effective from April 1, 2025, and valid until March 31, 2026, indicating a one-year period of applicability. Banks must ensure compliance with the updated lists within this timeframe. The text does not specify procedures for enforcement, but it can be inferred that customs officials will verify that only banks on the valid lists receive the associated benefits. **8. Expected Outcomes / Impact of Changes:** The intended outcome of this amendment is to ensure that only the designated banks are eligible for certain customs benefits or exemptions, potentially leading to a more controlled or targeted approach to trade facilitation. The impact of these changes is potentially significant for affected banks, influencing their competitive position and the volume of customs-related transactions they handle. Businesses using these banks may also experience changes depending on how the banks pass on the costs or benefits associated with the customs modifications. **9. Conclusion:** The amendment to Notification No. 502017-Customs, as detailed in the provided text, represents an update to the list of eligible banks (Lists 34A and 34B) for specific customs-related benefits or exemptions. This amendment is valid for a limited period (April 1, 2025, to March 31, 2026) and highlights the dynamic nature of customs regulations. Affected banks and businesses involved in international trade should carefully review the updated lists and ensure compliance. While the precise nature of the benefits isn't defined in this amendment, its impact is clearly significant, altering the financial landscape for the involved institutions.

Key Entities Referenced