The Foreign Trade (Development and Regulation) Act, 1992

Section 9. Issue, suspension and cancellation of licence.

The Foreign Trade (Development and Regulation) Act, 1992

Bare Act

(1) The Central Government may levy fees, subject to such exceptions, in respect of such person or class of persons making an application for 1 [licence, certificate, scrip or any instrument bestowing financial or fiscal benefits] of in respect of any 1 [licence, certificate, scrip or any instrument bestowing financial or fiscal benefits] granted or renewed in such manner as may be prescribed.

2 [(2) The Director General or an officer authorised by him may, on an application and after making such inquiry as he may think fit, grant or renew or refuse to grant or renew a licence to import or export such class or classes of goods or services or technology as may be prescribed and, grant or renew or refuse to grant or renew a certificate, scrip or any instrument bestowing financial or fiscal benefit, after recording in writing his reasons for such refusal.]

(3) A 1 [licence, certificate, scrip or any instrument bestowing financial or fiscal benefits] granted or renewed under this section shall--

(a) be in such form as may be prescribed;

(b) be valid for such period as may be specified therein; and

(c) be subject to such terms, conditions and restrictions as may be prescribed or as specified in the 1 [licence, certificate, scrip or any instrument bestowing financial or fiscal benefits] with reference to the terms, conditions and restrictions so prescribed.

(4) The Director General or the officer authorised under sub-section (2) may, subject to such conditions as may be prescribed, for good and sufficient reasons, to be recorded in writing, suspend or cancel any 1 [licence, certificate, scrip or any instrument bestowing financial or fiscal benefits] granted under this Act:

Provided that no such suspension or cancellation shall be made except after giving the holder of the 3 [licence, certificate, scrip or any instrument bestowing financial or fiscal benefits] a reasonable opportunity of being heard.

(5) An appeal against an order refusing to grant, or renew or suspending or cancelling, a 3 [licence, certificate, scrip or any instrument bestowing financial or fiscal benefits] shall lie in like manner as an appeal against an order would lie under section 15.

Judgments on Section 9

  • M/S Jindal Fine Indus vs Union Of India And Ors — Punjab-Haryana High Court, 5 Dec 2025. Unless and until the licensing authority (DGFT) cancels a duty exemption scrip such as a DFRC, Customs/DRI cannot deny the benefit of the exemption notification or demand the duty foregone on an allegation of…
  • Sameer Industries vs Kandla — CESTAT, 10 Jul 2026. There is no bar on the simultaneous imposition of penalty on a partnership firm and its partner under the Customs Act, 1962, provided the partner's active knowledge and involvement in the acts leading to contravention…
  • Reckitt Benckiser India Private Limited vs Union Of India And Ors — Delhi High Court, 28 Mar 2026. Where the adjudicating authority possesses subject-matter jurisdiction and power under Section 13 of the FT(DR) Act, 1992, an order at most amounting to an 'erroneous exercise of jurisdiction' cannot be assailed by…
  • Interglobe Enterprises Private… vs Commissioner Of Customs-New Delhi — CESTAT, 20 Nov 2025. Once an Export Obligation Discharge Certificate (EODC) has been issued by the DGFT, it is determinative and deemed to be completion of all export obligations, and customs cannot confirm a duty demand where no evidence…
  • M/S. Vinayak Oil And Fats Pvt. Ltd vs Union Of India And Ors — Calcutta High Court, 8 Apr 2026. An order refusing a licence, which entails civil consequences and prejudice, cannot properly be passed without prior notice and an opportunity of hearing, and such an order is prima facie liable to be stayed.
  • M/S.G.G.Steels vs Union Of India — Madras High Court, 8 Jan 2026