Trade in Goods  
     
 

The following modality shall apply for the elimination / reduction of basic customs duties by India:

(a) List of Products for Early Harvest Programme
On the originating goods of Singapore provided in this list, the duties shall be eliminated entirely.
(b) List of Products for Phased Elimination in Duty
On the originating goods of Singapore provided in this List, the duties shall be removed in five stages beginning from 1st August 2005 and such goods shall receive duty free entry into India from Singapore, effective 1st April 2009.
(c) List of Products for Phased Reduction in Duty
On the originating goods of Singapore provided in this List, the duties shall be reduced in five stages beginning 1st August 2005 and such goods shall receive entry into India at concessional duties.
(d) List of Products excluded from any concession in Duty
No concessions in duties shall be offered on goods provided in this List. Such goods whether originating or otherwise, shall enter into India from Singapore on the applied MFN duties.

An additional list of tariff concessions was released on 15 January 2008. Under the agreement, goods such as base metal, machinery and mechanical appliances, chemicals, plastic and rubber articles and textile and textile articles will enjoy reduced tariffs.

The Margin of Preference (MOP) offered by India to Singapore on specific products, shall be calculated on the Most Favoured Nation (MFN) import duty applicable on the date of import. For example, if the MFN duty on a particular product is 20%, and India offers a MOP of 10% to Singapore, the duty reduction for import from Singapore will become 20% - 10% of 20% = 2%. Hence, the applicable rate of duty for that particular originating product coming from Singapore will be 20 - 2 = 18%. If the MOP of 100% is offered to Singapore, then such originating goods shall receive duty free entry into India from Singapore.