India Increases Duty-Free Allowance for Arriving Passengers Under New Baggage Rules 2026

New Duty-Free Limits Implemented

India's Ministry of Finance has announced a substantial increase in the duty-free allowance for international travelers, effective from February 2, 2026. These changes, introduced under the new Baggage Rules 2026, aim to modernize customs procedures and reflect contemporary economic realities. The rules were officially notified in an extraordinary gazette on February 1, 2026, replacing the decade-old Baggage Rules 2016.

Under the revised regulations, the duty-free threshold for Indian residents, persons of Indian origin, and foreigners holding non-tourist visas arriving by air or sea has been raised from ₹50,000 to ₹75,000. Foreign tourists will now benefit from an increased allowance of ₹25,000, up from the previous limit of ₹15,000. These allowances apply to articles carried on the person or in bona fide accompanied baggage, excluding arrivals via land borders.

Key Revisions and Enhanced Facilitation

Beyond the general duty-free allowance, the Baggage Rules 2026 introduce several other significant provisions designed to enhance passenger convenience and transparency:

• Jewellery Allowance: The rules have rationalized jewellery limits, moving from value-based to weight-based allowances. Women who have resided abroad for at least one year can now bring up to 40 grams of gold jewellery duty-free, while other passengers are permitted up to 20 grams.
• Laptop Import: Passengers aged 18 years and above are now explicitly allowed to bring one new laptop, including a notepad, free of duty in their bona fide baggage.
• Electronic Declarations: The introduction of electronic and advance baggage declarations is expected to significantly reduce paperwork and expedite customs clearance processes at Indian airports.
• Reduced Customs Duty: For personal imports exceeding the duty-free limits, the general customs duty has been halved from 20% to a flat 10%, effective April 1, 2026, as part of the Union Budget 2026.
• Other Inclusions: New provisions for temporary import/re-import have been added, and the duty-free import of pets is now incorporated, subject to prescribed rules.

However, certain high-duty items such as tobacco, alcohol (beyond two litres), firearms, large quantities of cartridges, televisions, and unstudded precious metals continue to be excluded from these concessions.

Rationale Behind the Changes

The Ministry of Finance stated that the reform is a response to 'current economic realities, rising travel volumes, and passenger expectations'. The government's objective is to streamline border formalities, reduce unexpected costs for travelers, and enhance India's appeal as a globally connected and tourism-friendly destination. The changes were formulated after extensive consultations with various stakeholders, including other ministries, airport operators, and feedback from passengers.