Updated on May 06, 2025 02:36:55 PM
The AIFTA Certificate for Philippines is important to the business entities that are seeking to maximize the advantages of the ASEAN-India Free Trade Agreement (AIFTA). This agreement improves trade between India and the ASEAN countries. It offers lower taxes to some exporters or importers who meet certain conditions, making it easier for both sides to trade. To boost trade under the Free Trade Agreement between India and the Philippines, companies must follow the AIFTA Rules of Origin. They can only issue an AIFTA Certificate of Origin for their products if they meet the FTA conditions.
Getting an AIFTA certificate for Philippines is very helpful for Philippine-based industries that want to enhance their trade relations with India. You must submit important documents, like product origin details, to complete the application. This is necessary for the authorized bodies to verify your information. This certificate helps companies pay lower customs charges when they apply for and receive it. This gives their products a better position in the Indian market. AIFTA helps improve trade and investment between India and the Philippines, making it easier for both countries to work together.
However, there is a challenge in obtaining the certificate in terms of the documentation processes and AIFTA Rules of Origin. This way, businesses can overcome challenges and take advantage of the benefits that come with the ASEAN-India relationship. With the AIFTA Certificate for the Philippines, exporters can lower costs and expand their market share in both India and the Philippines. This helps improve trade and supports economic growth between the two countries.
The AIFTA Certificate is a certificate that will be presented to prove the goods qualify for the low taxes under the AIFTA scheme. It ensures that products to be exported from one country in the member states to the other must meet the rules of origin in the agreement. Through this certificate, exporters and importers can attain either lower or zero taxes for the manufacture and importation of qualifying products between India and ASEAN countries. Developed by the authorized agencies of AIFTA, this certificate is rather important for companies that aim to increase their competitiveness and decrease the cost of international trade in the ASEAN-India area.
The ASEAN-India Free Trade Agreement (AIFTA) certificate provides several benefits for businesses exporting to Philippines. Here are the key advantages:
The ASEAN-India Free Trade Agreement (AIFTA) facilitates trade between India and the Philippines. AIFTA's impact on Philippines businesses enhances economic cooperation and market access. Here are the key products under AIFTA:
Under the ASEAN-India Free Trade Area (AIFTA), an AIFTA Certificate of Origin is issued to confirm that exported products comply with the required origin rules for preferential tariff treatment.
Products that are fully sourced or produced within the exporting country, such as naturally occurring minerals, cultivated crops, or items made solely from these materials, are considered wholly obtained or produced.
For other goods, at least 35% Regional Value Content (RVC) is required, along with a Change in Tariff Classification (CTC) at the 6-digit Harmonized System (HS) code level. This means imported materials used must fall under a different tariff category than the final product.
Some products may have specific rules, so exporters should refer to the AIFTA agreement or relevant authorities for guidance.
In order to avail of the concession available under the AIFTA, the exporter from the Philippines needs to acquire a preferred certificate of origin (CO). The application process involves several key steps:
Registration begins with an online registration form with all the documents needed, including billing data, which is to be prepared properly and scanned.
Once all the required documents and information have been acquired, the AIFTA registration form has to be filled in with the correct data and sent to the respective authorities for consideration.
Once the application form has been filled, enter document details, invoices, trade documents, and other legal documents as needed.
Once the application and the accompanying documents have been reviewed, the Certificate of Origin shall be issued formally, through which companies can avail benefits under AIFTA. .
The AIFTA Certificate of Origin can be issued online as well as offline applications can be filled. Applying for an AIFTA certificate by completing an online form is more convenient, time-saving, and less paperwork. The data submitted by the exporters can be given through the integrated DGFT Common Digital Platform with faster processing and tracking. On the other hand, the offline process entails writing documents and physically delivering the documents to the concerned authorities and is less efficient than the online process.
Here is the list of documents required for an AIFTA Certificate of Origin for Philippines:
The total cost for AIFTA registration is ₹6,235, covering a ₹736 government fee, ₹500 one-time registration fee, ₹2,000 application fee, and ₹2,999 professional fee, ensuring a smooth registration process. Below is the detailed structure:
Particulars | Cost |
---|---|
Government fee | ₹736 |
One-time registration fee | ₹500 |
Application fee | ₹2,000 |
Professional fee | ₹2,999 |
Total cost of registration | ₹6,235/- only |
Conclusion
Getting the AIFTA Certificate for the Philippines is an important process for companies that seek to benefit from tax reduction and increase trade with India. If exporters abide by the guidelines of AIFTA Rules of Origin and register themselves, they can then get entry to lower taxes, which would help them achieve a competitive edge in the export market. It also makes the business process of trading easier between India and the Philippines and strengthens the economic relationship between the two countries. To avoid delays, contact Professional Utilities now. Our expert team will guide you at every step. The provisions under the AIFTA can also be beneficial to ASEAN and India if wisely implemented at the right time.
At Professional Utilities, we leverage our industry knowledge and expertise to help businesses navigate complex regulations, minimize risks, and optimize operations for maximum efficiency and profitability.
Frequently Asked Questions (FAQs)
Visit ICEGATE, which is the Indian Customs online gateway, and provide other required documents to prove the origin consideration for AIFTA certification.
AFTA stands for ASEAN Free Trade Area, and this organization tends to reduce the tariffs within ASEAN countries like the Philippines for enhancing regional trade.
AIFTA means ASEAN-India Free Trade Agreement, which is an agreement providing preferential tariff treatment about the code of customs between India and ASEAN countries.
The AIFTA entails a scheme of lowering tariffs or eliminating the customs duties on products originating from India and ASEAN countries in fulfillment of the rules of origin.
It usually takes around 7 to 10 working days after applying and required documents, depending on the authorities' review process.
Yes, you can apply offline by submitting documents physically, but the online process is faster and more efficient.
The AIFTA certificate is issued by authorized agencies in both the exporting and importing countries, such as trade chambers or relevant government bodies.
No, the AIFTA certificate applies only to qualifying goods that meet the ASEAN-India Free Trade Agreement's rules of origin requirements.
Speak Directly to our Expert Today
Reliable
Affordable
Assured
Industries Served by
Professional Utilities
Apparels
Footwear
Furniture
Gems and Jewellery
Tourism & Hospitality
Consumer Electronics
Chemicals
Telecom
Oils & Gas
Hotel
Railways
Liquor
Health & Medical
Food Processing
Dangerous/ Haz. Goods
Tea & Coffee
Capital Goods
Recycling
Rubber
NGOs
Silk
Handloom
IT & BPM
Steel
Automobile
Tobacco
Constructions