{"id":"F2022L01504","name":"Customs (Indian Rules of Origin) Regulations 2022","slug":"customs-indian-rules-of-origin-regulations-2022","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":441604,"registerId":"F2022L01504-fast-fetch-1775956868493","compilationNumber":null,"startDate":"2026-04-12","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Customs (Indian Rules of Origin) Regulations 2022","content":"---\nmeta-content-style-type: text/css\nmeta-content-type: application/xhtml+xml; charset=utf-8\nmeta-generator: Aspose.Words for .NET 22.10.0\n---\n\n?xml version=\"1.0\" encoding=\"utf-8\" standalone=\"no\"?>\n\n![Commonwealth Coat of Arms of Australia](image.001.jpeg)\n\n \n\nCustoms (Indian Rules of Origin) Regulations 2022\n\nI, General the Honourable David Hurley AC DSC (Retd), Governor‑General of the Commonwealth of Australia, acting with the advice of the Federal Executive Council, make the following regulations.\n\nDated 24 November 2022\n\nDavid Hurley\n\nGovernor‑General\n\nBy His Excellency’s Command\n\nClare O’Neil\n\nMinister for Home Affairs\n\n \n\n \n\n \n\n \n\n \n\n \n\nContents\n\nPart 1—Preliminary\n\n1 Name\n\n2 Commencement\n\n3 Authority\n\n4 Definitions\n\nPart 2—Tariff change requirement\n\n5 Change in tariff classification requirement for non‑originating materials\n\nPart 3—Qualifying value content requirement\n\n6 Prescribed qualifying value content requirements\n\n7 Build‑down method\n\n8 Build‑up method\n\nPart 4—Determination of value\n\n9 Value of goods that are originating materials or non‑originating materials\n\n10 Value of accessories, spare parts, tools or instructional or other information materials\n\n11 Value of packaging material and container\n\nPart 5—Record keeping obligations\n\n12 Exportation of goods to India—record keeping by exporter who is not the producer of the goods\n\n13 Exportation of goods to India—record keeping by the producer of the goods\n\nPart 1—Preliminary\n\n \n\n1  Name\n\n  This instrument is the Customs (Indian Rules of Origin) Regulations 2022.\n\n2  Commencement\n\n (1) Each provision of this instrument specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.\n\n \n\n- Commencement information\n- Column 1 Column 2 Column 3\n- Provisions Commencement Date/Details\n- 1. The whole of this instrument The later of:(a) the day after this instrument is registered; and(b) the day on which Schedule 1 to the Customs Amendment (India‑Australia Economic Cooperation and Trade Agreement Implementation) Act 2022 commences. 29 December 2022(paragraph (b) applies)\n\n\nNote: This table relates only to the provisions of this instrument as originally made. It will not be amended to deal with any later amendments of this instrument.\n\n (2) Any information in column 3 of the table is not part of this instrument. Information may be inserted in this column, or information in it may be edited, in any published version of this instrument.\n\n3  Authority\n\n  This instrument is made under the Customs Act 1901.\n\n4  Definitions\n\n  In this instrument:\n\nAct means the Customs Act 1901.\n\nAgreement has the meaning given by subsection 153ZML(1) of the Act.\n\nAgreement on Implementation of Article VII of the General Agreement on Tariffs and Trade 1994 means the Agreement of that name:\n\n (a) set out in Annex 1A of the Marrakesh Agreement establishing the World Trade Organization, done at Marrakesh on 15 April 1994; and\n\n (b) as in force for Australia from time to time.\n\nNote: The Marrakesh Agreement establishing the World Trade Organization is in Australian Treaty Series 1995 No. 8 ([1995] ATS 8) and could in 2022 be viewed in the Australian Treaties Library on the AustLII website (http://www.austlii.edu.au).\n\nAustralian originating goods has the meaning given by subsection 153ZML(1) of the Act.\n\ncertificate of origin has the meaning given by subsection 153ZML(1) of the Act.\n\nHarmonized System has the meaning given by subsection 153ZML(1) of the Act.\n\nnon‑originating materials has the meaning given by subsection 153ZML(1) of the Act.\n\noriginating materials has the meaning given by subsection 153ZML(1) of the Act.\n\nproduction has the meaning given by subsection 153ZML(1) of the Act.\n\nterritory of Australia has the meaning given by subsection 153ZML(1) of the Act.\n\nterritory of India has the meaning given by subsection 153ZML(1) of the Act.\n\nPart 2—Tariff change requirement\n\n \n\n5  Change in tariff classification requirement for non‑originating materials\n\n  For the purposes of subsection 153ZMN(4) of the Act, a non‑originating material used in the production of goods that does not satisfy a particular change in tariff classification is taken to satisfy the change in tariff classification if:\n\n (a) it was produced entirely in the territory of India, or entirely in the territory of India and the territory of Australia, from other non‑originating materials; and\n\n (b) each of those other non‑originating materials satisfies the change in tariff classification, including by one or more applications of this section.\n\nPart 3—Qualifying value content requirement\n\n \n\n6  Prescribed qualifying value content requirements\n\n  For the purposes of paragraph 153ZMN(3)(b) of the Act, the prescribed qualifying value content requirements for goods is that the goods satisfy either or both the following:\n\n (a) the requirement that the qualifying value content of the goods under the build‑down method, worked out under this Part, is not less than 45%;\n\n (b) the requirement that the qualifying value content of the goods under the build‑up method, worked out under this Part, is not less than 35%.\n\n7  Build‑down method\n\n (1) For the purposes of paragraph 153ZMN(6)(b) of the Act, the qualifying value content of goods under the build‑down method is worked out using the formula:\n\n![start formula start fraction Customs value minus Value of non-originating materials over Customs value end fraction times 100 end formula](image.002.png)\n\nwhere:\n\ncustoms value means the customs value of the goods worked out under Division 2 of Part VIII of the Act.\n\nvalue of non‑originating materials means the value, worked out under Part 4, of the non‑originating materials used in the production of the goods.\n\n (2) Qualifying value content must be expressed as a percentage.\n\n8  Build‑up method\n\n (1) For the purposes of paragraph 153ZMN(6)(b) of the Act, the qualifying value content of goods under the build‑up method is worked out using the formula:\n\n![start formula start fraction Value of originating materials over Customs value end fraction times 100 end formula](image.003.png)\n\nwhere:\n\ncustoms value means the customs value of the goods worked out under Division 2 of Part VIII of the Act.\n\nvalue of originating materials means the value, worked out under Part 4, of the originating materials used in the production of the goods.\n\n (2) Qualifying value content must be expressed as a percentage.\n\nPart 4—Determination of value\n\n \n\n9  Value of goods that are originating materials or non‑originating materials\n\n (1) For the purposes of subsection 153ZML(2) of the Act, this section explains how to work out the value of originating materials or non‑originating materials used in the production of goods.\n\n (2) The value of the materials is as follows:\n\n (a) for materials imported into the territory of India by the producer of the goods:\n\n (i) the price paid or payable for the materials at the time of importation; or\n\n (ii) if the value of the materials cannot be determined under subparagraph (i)—the value of the materials worked out in accordance with the Agreement on Implementation of Article VII of the General Agreement on Tariffs and Trade 1994;\n\n (b) for materials acquired in the territory of India—one of the following chosen by the importer of the goods:\n\n (i) the price paid or payable for the materials by the producer of the goods;\n\n (ii) the value of those materials worked out under paragraph (a) on the assumption that those materials had been imported into the territory of India by the producer of the goods;\n\n (iii) the earliest ascertainable price paid or payable for the materials in the territory of India;\n\n (c) for materials that are produced by the producer of the goods—all the costs incurred in the production of the materials, including general expenses.\n\n (3) For the purposes of paragraph (2)(a), in working out the value of particular materials, the costs of insurance and freight incurred in delivering the materials to the port of importation in India must be included.\n\n (4) In working out the value of particular originating materials under subsection (2), the following may be included, to the extent that they have not been taken into account under that subsection:\n\n (a) the costs of freight, insurance, packing and all other transport related costs incurred to transport the materials to the location of the producer of the goods;\n\n (b) duties, taxes and customs brokerage fees on the materials that:\n\n (i) have been paid in either or both of the territory of India and the territory of Australia; and\n\n (ii) have not been waived or refunded; and\n\n (iii) are not refundable or otherwise recoverable;\n\n  including any credit against duties or taxes that have been paid or that are payable;\n\n (c) the costs of waste and spoilage resulting from the use of the materials in the production of the goods, reduced by the value of reusable scrap or by‑products.\n\n (5) In working out the value of particular non‑originating materials under subsection (2), the following may be deducted:\n\n (a) the costs of freight, insurance, packing and all other transport related costs incurred to transport the materials to the location of the producer of the goods;\n\n (b) duties, taxes and customs brokerage fees on the materials that:\n\n (i) have been paid in either or both of the territory of India and the territory of Australia; and\n\n (ii) have not been waived or refunded; and\n\n (iii) are not refundable or otherwise recoverable;\n\n  including any credit against duties or taxes that have been paid or that are payable;\n\n (c) the costs of waste and spoilage resulting from the use of the materials in the production of the goods, reduced by the value of reusable scrap or by‑products.\n\n10  Value of accessories, spare parts, tools or instructional or other information materials\n\n  If paragraphs 153ZMN(7)(a), (b), (c) and (d) of the Act are satisfied in relation to goods:\n\n (a) the value of the accessories, spare parts, tools or instructional or other information materials must be taken into account for the purposes of working out the qualifying value content of the goods under Part 3 of this instrument; and\n\n (b) if the accessories, spare parts, tools or instructional or other information materials are originating materials—for the purposes of sections 8 and 9 of this instrument, those accessories, spare parts, tools or instructional or other information materials must be taken into account as originating materials used in the production of the goods; and\n\n (c) if the accessories, spare parts, tools or instructional or other information materials are non‑originating materials—for the purposes of sections 7 and 9 of this instrument, those accessories, spare parts, tools or instructional or other information materials must be taken into account as non‑originating materials used in the production of the goods.\n\n11  Value of packaging material and container\n\n  If paragraphs 153ZMP(1)(a) and (b) of the Act are satisfied in relation to goods and the goods must have a qualifying value content of not less than a particular percentage worked out in a particular way:\n\n (a) the value of the packaging material or container in which the goods are packaged must be taken into account for the purposes of working out the qualifying value content of the goods under Part 3 of this instrument; and\n\n (b) if that packaging material or container is an originating material—for the purposes of sections 8 and 9 of this instrument, that packaging material or container must be taken into account as an originating material used in the production of the goods; and\n\n (c) if that packaging material or container is a non‑originating material—for the purposes of sections 7 and 9 of this instrument, that packaging material or container must be taken into account as a non‑originating material used in the production of the goods.\n\nPart 5—Record keeping obligations\n\n \n\n12  Exportation of goods to India—record keeping by exporter who is not the producer of the goods\n\n (1) For the purposes of subsection 126AMF(1) of the Act, an exporter of goods mentioned in that subsection, who is not also the producer of the goods, must keep the following records:\n\n (a) records of the purchase of the goods by the exporter;\n\n (b) records of the purchase of the goods by the person to whom the goods are exported;\n\n (c) evidence that payment has been made for the goods;\n\n (d) evidence of the classification of the goods under the Harmonized System;\n\n (e) if the goods include any accessories, spare parts, tools or instructional or other information materials that were purchased by the exporter:\n\n (i) records of the purchase of the accessories, spare parts, tools or instructional or other information materials; and\n\n (ii) evidence of the value of the accessories, spare parts, tools or instructional or other information materials;\n\n (f) if the goods include any accessories, spare parts, tools or instructional or other information materials that were produced by the exporter:\n\n (i) records of the purchase of all materials that were purchased for use or consumption in the production of the accessories, spare parts, tools or instructional or other information materials; and\n\n (ii) evidence of the value of the materials so purchased; and\n\n (iii) records of the production of the accessories, spare parts, tools or instructional or other information materials;\n\n (g) if the goods are packaged for retail sale in packaging material or a container that was purchased by the exporter:\n\n (i) records of the purchase of the packaging material or container; and\n\n (ii) evidence of the value of the packaging material or container;\n\n (h) if the goods are packaged for retail sale in packaging material or a container that was produced by the exporter:\n\n (i) records of the purchase of all materials that were purchased for use or consumption in the production of the packaging material or container; and\n\n (ii) evidence of the value of the materials so purchased; and\n\n (iii) records of the production of the packaging material or container;\n\n (i) a copy of the certificate of origin for the goods.\n\n (2) The records must be kept for at least 5 years starting on the date the certificate of origin for the goods is issued.\n\n (3) The exporter:\n\n (a) may keep the records at any place (whether or not in Australia); and\n\n (b) must ensure that:\n\n (i) the records are kept in a form that would enable a determination of whether the goods are Australian originating goods; and\n\n (ii) if the records are not in English—the records are kept in a place and form that would enable an English translation to be readily made; and\n\n (iii) if the records are kept by mechanical or electronic means—the records are readily convertible into a hard copy in English.\n\n13  Exportation of goods to India—record keeping by the producer of the goods\n\n (1) For the purposes of subsection 126AMF(1) of the Act, a producer of goods mentioned in that subsection, whether or not the producer is the exporter of the goods, must keep the following records:\n\n (a) records of the purchase of the goods;\n\n (b) if the producer is the exporter of the goods—evidence of the classification of the goods under the Harmonized System;\n\n (c) evidence that payment has been made for the goods;\n\n (d) evidence of the value of the goods;\n\n (e) records of the purchase of all materials that were purchased for use or consumption in the production of the goods and evidence of the classification of the materials under the Harmonized System;\n\n (f) evidence of the value of those materials;\n\n (g) records of the production of the goods;\n\n (h) if the goods include any accessories, spare parts, tools or instructional or other information materials that were purchased by the producer:\n\n (i) records of the purchase of the accessories, spare parts, tools or instructional or other information materials; and\n\n (ii) evidence of the value of the accessories, spare parts, tools or instructional or other information materials;\n\n (i) if the goods include any accessories, spare parts, tools or instructional or other information materials that were produced by the producer:\n\n (i) records of the purchase of all materials that were purchased for use or consumption in the production of the accessories, spare parts, tools or instructional or other information materials; and\n\n (ii) evidence of the value of the materials so purchased; and\n\n (iii) records of the production of the accessories, spare parts, tools or instructional or other information materials;\n\n (j) if the goods are packaged for retail sale in packaging material or a container that was purchased by the producer:\n\n (i) records of the purchase of the packaging material or container; and\n\n (ii) evidence of the value of the packaging material or container;\n\n (k) if the goods are packaged for retail sale in packaging material or a container that was produced by the producer:\n\n (i) records of the purchase of all materials that were purchased for use or consumption in the production of the packaging material or container; and\n\n (ii) evidence of the value of the materials so purchased; and\n\n (iii) records of the production of the packaging material or container;\n\n (l) a copy of the certificate of origin for the goods.\n\n (2) The records must be kept for at least 5 years starting on the date the certificate of origin for the goods is issued.\n\n (3) The producer:\n\n (a) may keep the records at any place (whether or not in Australia); and\n\n (b) must ensure that:\n\n (i) the records are kept in a form that would enable a determination of whether the goods are Australian originating goods; and\n\n (ii) if the records are not in English—the records are kept in a place and form that would enable an English translation to be readily made; and\n\n (iii) if the records are kept by mechanical or electronic means—the records are readily convertible into a hard copy in English.\n","sortOrder":0}],"analysis":{"flash_summary":{"complexity_score":5,"scope_assessment":{"changed":false,"description":"The instrument implements rules of origin for preferential entry under the India–Australia trade agreement by prescribing origin tests, valuation methods and record‑keeping procedures to be applied under the Customs Act. It does not expand beyond setting those operative methods and obligations."},"complexity_factors":["Two alternative value‑content methods with different thresholds (build‑down 45%, build‑up 35%) (s6–8)","Technical formulas requiring customs valuation as the denominator (s7(1), s8(1))","Detailed valuation rules for imported, acquired or self‑produced materials with inclusions/deductions (s9(2)–(5))","Recursive tariff‑change exception allowing multi‑stage satisfaction of tariff‑classification tests (s5)","Specific treatment of accessories, spare parts, packaging and containers that can be originating or non‑originating (ss10–11)","Extensive documentary record‑keeping requirements, retention period and format/translation/convertibility rules (ss12–13)","Cross‑references to the Customs Act and WTO valuation rules (s3, s9(2)(a)(ii)) which add interpretive dependence on other instruments"],"plain_english_summary":"These regulations set the mechanical tests that decide when goods qualify as Australian originating for preferential treatment under the India–Australia trade agreement. They prescribe tariff‑change and value‑content tests (two calculation methods and thresholds), detailed rules for valuing materials, packaging and accessories, and mandatory record‑keeping.\n\nThe rules primarily affect Australian producers and exporters, who must calculate qualifying value content, choose valuation approaches, maintain supporting records for five years (ss6–11, 12–13) and make origin declarations for customs to verify under the Customs Act."},"flash_summary_failed":{"failed":true,"reason":"A positive credit balance is required for all requests, including BYOK, so fallback providers remain available. Add credits at https://vercel.com/d?to=%2F%5Bteam%5D%2F%7E%2Fai%3Fmodal%3Dtop-up to continue.","source":"analysis-cron"},"kimi_summary":{"content_quality":"ok","complexity_score":6,"scope_assessment":{"changed":false,"description":"The regulations remain tightly focused on their original purpose: operationalising the rules of origin provisions of the India-Australia Economic Cooperation and Trade Agreement. The scope covers tariff classification changes, qualifying value content calculations, valuation methodologies, and record-keeping obligations—all directly necessary to implement the treaty's origin requirements. There is no significant mission creep beyond implementing the AI-ECTA's origin provisions."},"complexity_factors":["Multiple calculation methods (build-down vs build-up) with different percentage thresholds (45% vs 35%) that producers must choose between","Extensive cross-referencing to the Customs Act 1901 (particularly subsections 153ZML, 153ZMN, 153ZMP, and 126AMF) requiring parallel reading of parent legislation","Nested conditional logic in Part 4 for valuing materials depending on origin (imported vs acquired vs produced) and location (India vs Australia)","Asymmetrical treatment of originating vs non-originating materials in sections 9(4) and 9(5) (addbacks vs deductions)","Recursive definition in section 5 allowing multiple applications of the tariff change exception","Detailed record-keeping obligations spanning 13 categories for producers and 9 categories for non-producer exporters with 5-year retention requirements","Incorporation by reference of the WTO Valuation Agreement (GATT 1994 Article VII) for determining material values when primary methods fail"],"plain_english_summary":"These regulations set the tests and record-keeping rules to determine when goods exported from Australia to India qualify as \"Australian originating\" for preferential tariffs under the AI‑ECTA. They specify content and value-change requirements, how to calculate local value, proof and retention obligations, and exceptions. Australian manufacturers, producers and exporters must follow them to secure reduced duties for Indian importers — or risk denied preferences, duties and penalties."}},"importantCases":[],"_links":{"self":"/api/acts/customs-indian-rules-of-origin-regulations-2022","history":"/api/acts/customs-indian-rules-of-origin-regulations-2022/history","analysis":"/api/acts/customs-indian-rules-of-origin-regulations-2022/analysis","conflicts":"/api/acts/customs-indian-rules-of-origin-regulations-2022/conflicts","importantCases":"/api/acts/customs-indian-rules-of-origin-regulations-2022/important-cases","documents":"/api/acts/customs-indian-rules-of-origin-regulations-2022/documents"}}