MOOWR Scheme

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Get Hassle-Free Approvals for Your Business with Expert MOOWR Registration Services

The Manufacture and Other Operations in Warehouse Regulations (MOOWR) Scheme was introduced by the Central Board of Indirect Taxes and Customs (CBIC) under Section 65 of the Customs Act, 1962. It is designed to make manufacturing in India globally competitive by allowing businesses to defer customs duties on imported capital goods and raw materials until clearance into the domestic market. Unlike other schemes, the MOOWR Scheme does not impose export obligations, making it flexible for both domestic and export-oriented businesses.

At SOFTEX Consultancy Services, we act as your trusted MOOWR Consultant, helping companies understand the scheme’s benefits, manage compliance requirements, and obtain approvals without unnecessary delays. Our MOOWR Registration Services are tailored for businesses across sectors, ensuring you can maximise savings and simplify operations under this duty deferment model.

Why the MOOWR Scheme Matters

For manufacturers, duty costs and working capital lock-ins often reduce competitiveness. The MOOWR Scheme provides a solution by allowing deferment of import duties and GST on capital goods and inputs until they are used in the domestic market.

Key highlights include:

  • No export obligation: You can sell in the domestic market without mandatory exports.
  • No minimum investment or location restriction: Applicable to businesses of all sizes, anywhere in India.
  • Flexibility in sourcing: Import materials or buy them locally, even from SEZs or FTWZs.
  • Duty is deferred, not exempted: Import duty is paid only when goods are sold in the domestic market.
  • Tax credit on local inputs – GST credit can be claimed on materials bought within India.

With the right guidance from a MOOWR Scheme Consultant, companies can streamline compliance, reduce costs, and keep operations flexible.

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Benefits of the MOOWR Scheme

The scheme has been widely adopted by manufacturers across industries such as electronics, automotive, engineering, pharmaceuticals, and consumer goods. Some of the major benefits include:

  • Improved cash flow: No upfront duty on imports until goods are cleared for the Domestic Tariff Area (DTA).
  • Operational flexibility: Import, store, manufacture, and sell without restrictions on output destination.
  • Export competitiveness: Finished goods exported incur no customs duty on imported inputs.
  • Ease of compliance: One-time verification, simplified record-keeping, and periodic reporting requirements.
  • Tax credit facility: Inputs sourced domestically come with credit benefits, reducing overall tax burden.

By engaging experienced MOOWR Services, businesses can ensure they take full advantage of these benefits while avoiding compliance errors.

Frequently Asked Questions

1. What is the MOOWR Scheme?

It’s a duty deferment scheme under Section 65 of the Customs Act, 1962, allowing businesses to import capital goods and raw materials without upfront duty.

2. Who can apply for MOOWR Registration?

Any business engaged in manufacturing or other operations in India can apply, regardless of size or location.

3. Is there any export obligation under MOOWR?

No. Businesses can sell goods in the domestic market or export as per demand without mandatory export commitments.

4. What are the key benefits of MOOWR Services?

Duty deferment, flexibility in sourcing inputs, no minimum investment requirement, and eligibility for tax credits on domestic inputs.

5. How does duty payment work under MOOWR?

Duties are payable only when finished goods are cleared into the DTA. No duty is payable if goods are exported.

6. How long does MOOWR Registration take?

With proper documentation, approval usually takes a few weeks, depending on the jurisdiction and verification process.