Government Eases Air Cargo Rules to Boost India's Fruit and Vegetable Exports
Exporting fruits, vegetables, and other perishables from India is now simpler. The Central Board of Indirect Taxes and Customs (CBIC) has introduced reforms to streamline air cargo processesbenefiting farmers, exporters, and logistics providers.
Aligned with the 2025-26 Union Budget, the changes aim to speed up and lower the cost of moving goods like grapes, mangoes, onions, and processed foods through airports.
Key Changes:
No Transhipment Fee: From April 24, 2025, fees for transhipment permits are scrapped, saving time and money.
Simpler Handling of ULDs: Airlines and logistics agents can now manage Unit Load Devices (ULDs) via a Continuity Bond, easing movement of perishables like fruits, vegetables, and medicines.
Nationwide Transhipment Bond: Airlines can now use a single All-India Transhipment Bond instead of submitting multiple bonds at each customs station, cutting paperwork.
Online Applications via ICEGATE: The process for cargo movement permits is now fully digital, eliminating the need for physical visits.
Growing Export Potential
These reforms come as India’s fruit and vegetable exports grew over 5% to $3.39 billion in 2024-25. With production of 112 million tonnes of fruits and 204 million tonnes of vegetables last year, India is positioned to be a major food exporter.
India already leads the world in producing bananas, mangoes, papayas, onions, and okra, with key markets including Bangladesh, the UAE, the Netherlands, the UK, and Saudi Arabia.
While India's global market share is about 1%, rising demand, better infrastructure, and investments are helping strengthen its position. Experts say these reforms will especially benefit small and medium exporters by cutting costs and delays, and CBIC is encouraging full use of these new measures.
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