Section3
The Foreign Trade (Development and Regulation) Act, 1992

Powers to make provisions relating to imports and exports

In force From 19 Jun 1992 Act 22 of 1992 As on 17 Oct 2026

Act 22 of 1992 Ministry Commerce and Industry Enacted 07 Aug 1992 In force 19 Jun 1992 Cited by 2 provisions Instruments 5

Section 3 of the Foreign Trade (Development and Regulation) Act, 1992 deals with powers to make provisions relating to imports and exports. 1 Powers to make provisions relating to imports and exports.--(1) The Central Government may, by Order published in the Official Gazette, make provision for the development and regulation of foreign trade by facilitating imports and increasing exports. The Act came into force on 19 Jun 1992.

1 Powers to make provisions relating to imports and exports.--(1) The Central Government may, by Order published in the Official Gazette, make provision for the development and regulation of foreign trade by facilitating imports and increasing exports.

(2) The Central Government may also, by Order published in the Official Gazette, make provision for prohibiting, restricting or otherwise regulating, in all cases or in specified classes of cases and subject to such exceptions, if any, as may be made by or under the Order, the 2 [import or export of goods or services or technology]:

3 [Provided that the provisions of this sub-section shall be applicable, in case of import or export of services or technology, only when the service or technology provider is availing benefits under the foreign trade policy or is dealing with specified services or specified technologies.]

(3) All goods to which any Order under sub-section (2) applies shall be deemed to be goods the import or export of which has been prohibited under section 11 of the Customs Act, 1962 (52 of 1962) and all the provisions of that Act shall have effect accordingly.

3 [(4) Without prejudice to anything contained in any other law, rule, regulation, notification or order, no permit or licence shall be necessary for import or export of any goods, nor any goods shall be prohibited for import or export except, as may be required under this Act, or rules or orders made thereunder.]

Section 3, The Foreign Trade (Development and Regulation) Act, 1992 (Act 22 of 1992).

Cross-references

Extracted from the operative text of the enactments themselves. Every destination below exists in our corpus.

Related judgements & precedents

These are some judgments that construed this section, and hold precedence value. They hold authority on how to read, interpret and use this section.

  1. Commissioner of Customs vs Atul Automation Pvt. LTD

    Supreme Court of India 24 Jan 2019 Binding (SC) Marked not reportable

    Court's Decision & Legal Precedent

    A harmonious reading of the Foreign Trade Act, 1992 (particularly Sections 11(8)-(9) and 3(3)) with Section 125 of the Customs Act, 1962 establishes that restricted goods imported without authorization can be redeemed on payment of market value as redemption charges, rather than being confiscated. There exists a fundamental distinction between prohibited items (which cannot be imported under any circumstances) and restricted items (which can be imported only with authorization). When restricted items are imported without the required authorization, they do not acquire the character of prohibited items; instead, they remain redeemable goods subject to payment of market value as redemption charges. The discretionary power vested in customs authorities under Section 125 of the Customs Act must be exercised in harmony with the Foreign Trade Act and the Foreign Trade Policy framed thereunder.

    On this section: Section 3(3) provides that prohibition orders under Foreign Trade Act apply mutatis mutandis as deemed made under Customs Act Section 11. Section 11(8)-(9) provides for confiscation of goods in contravention but permits release on payment of redemption charges equivalent to market value. Section 18A clarifies Foreign Trade Act is in addition to and not in derogation of other laws. Sections 3 and 5 relate to framing of Foreign Trade Policy.

    Read the full order on eCourts India

  2. NPM Associates v. Union of India

    High Court 07 Jan 2025 Persuasive (High Court) — FTDR s.3 Central Government powers to regulate foreign trade; MPEDA cannot substitute WP(C) 18633/2022 (Kerala HC); Judgment 07.01.2025

    Court's Decision & Legal Precedent

    Contrasted MPEDA moratorium with FTDR s.3 Central Government power to develop/regulate foreign trade and to prohibit/restrict imports/exports; no Gazette notification under FTDR restricting fish meal/oil; MPEDA lacks parallel power.

    On this section: Cited s.3 as the statutory locus of Central Government foreign-trade prohibit/regulate power versus MPEDA circular.

    Read the full order on eCourts India

  3. Marksmen Aquatic Products LLP v. Union of India

    High Court 07 Jan 2025 Persuasive (High Court) — FTDR s.3 (companion CNR) Central Government foreign-trade power WP(C) 18634/2022 (Kerala HC); Judgment 07.01.2025

    Court's Decision & Legal Precedent

    Same common judgment: FTDR s.3 Central Government Gazette powers contrasted with MPEDA moratorium; petitions allowed.

    On this section: Companion CNR applying same s.3 ratio to Marksmen Aquatic fish-meal registration challenge.

    Read the full order on eCourts India

The holding above is the ratio decidendi as extracted from the judgment by eCourts India, reproduced unaltered — it is a rendering of the court's reasoning, not a substitute for its words. Read the order itself before relying on it.

Made under this section, and citing it

5 instruments name this provision in its title or its text without being made under it.

All subordinate legislation

Questions about Section 3

What have the courts held on Section 3 of the Foreign Trade (Development and Regulation) Act?

Commissioner of Customs vs Atul Automation Pvt. LTD (24 Jan 2019) is the leading judgment on this section among those set out below: Section 3(3) provides that prohibition orders under Foreign Trade Act apply mutatis mutandis as deemed made under Customs Act Section 11. Section 11(8)-(9) provides for confiscation of goods in contravention but permits release on payment of redemption charges equivalent to market value. Section 18A clarifies Foreign Trade Act is in addition to and not in derogation of other laws. Sections 3 and 5 relate to framing of Foreign Trade Policy. Another 2 judgments on this section are set out below, 1 of them from the Supreme Court. They run from 2019 to 2025.

How do I find court cases under Section 3 of the Foreign Trade (Development and Regulation) Act?

In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Foreign Trade (Development and Regulation) Act 3, section 3 Foreign Trade (Development and Regulation) Act, section 3 of the Foreign Trade (Development and Regulation) Act. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome. 3 reported judgments on this section are set out on this page, beginning with Commissioner of Customs vs Atul Automation Pvt. LTD (24 Jan 2019).

What should I read with Section 3 of the Foreign Trade (Development and Regulation) Act, and has it changed?

2 other provisions in this corpus refer back to it. 5 instruments name it without being made under it, most recently Foreign Trade (Regulation)(Amendment) Rules, 2015 (2015), then The Safeguards Measures (Quantitative Restrictions) Rules 2012 (2012).

When did Section 3 of the Foreign Trade (Development and Regulation) Act come into force?

Section 3 of the Foreign Trade (Development and Regulation) Act, cited as Foreign Trade (Development and Regulation) Act 3, came into force on 19 Jun 1992, having been enacted on 07 Aug 1992. It is in force as at the date shown on this page.

Other sections of this Act

Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Text as in force on 17 Oct 2026. This page is not a substitute for legal advice.