For Indian exporters, duty drawback is an important government concession that enhances export competitiveness by refunding customs duty incurred on imported inputs. While it is important to file a drawback claim, however, checking its status is equally vital to ensure prompt refunds and fiscal transparency.
This exhaustive blog by Afleo, India’s top duty drawback and export documentation consultancy, will guide you through how to check duty drawback status – under All Industry Rate (AIR), Brand Rate, or Section 74 in case of re-exported goods.
What is Duty Drawback Status?
Duty drawback status indicates the processing or disbursement stage of your drawback claim after submission to customs officials. Duty drawback status assists exporters in monitoring whether their refund application has been sanctioned, approved, or credited to their bank account.
Three major types of duty drawback claims are available in India:
- All Industry Rate (AIR): Based on ad hoc rates fixed by the CBIC Board for designated products.
- Brand Rate: Applicable when no AIR exists or when the actual duty incidence is higher than the notified AIR.
- Section 74: Duty refund for goods that are re-exported without use after import.
Each type has a different method for tracking status, as we’ll explain below.
Steps for Checking the Duty Drawback Status
The most common method to check duty drawback status is via the ICEGATE portal – the online interface for Indian Customs.
Go to ICEGATE: https://www.icegate.gov.in
Details Needed:
- IEC Code (Importer Exporter Code)
- Shipping Bill Number
- Shipping Bill Date
- Registered ICEGATE login (for complete access and alerts)
More info on IEC code visit our blog What is Import Export Code
After you provide this information, the website gives the current status, whether the claim is pending, sanctioned, rejected, or credited.
Check Status of All Industry Rate (AIR) Duty Drawback
AIR is the most frequently claimed drawback type, and its tracking is entirely combined with the ICEGATE platform. So we will discuss this in detail with the help of Screenshots & Step by step Procedure to track the status.
How to Check AIR Duty Drawback Status:
Step 1 – Go to https://www.icegate.gov.in & Login with your credentials
Step 2: After Login, Below screen will appear. Now here select “Icegate Inquiry Service” under the services section.
Step 3: After Step 2, the Below screen will appear. Here you can either select “Drawback Inquiry” or “Drawback Disbursement Status” or “Monthwise Drawback Enquiry” to check the Drawback status.
Step 4: If you select “Drawback Enquiry”, the below screen will appear. Here you have to enter the period i.e. “Date From” & “To” & also the Location name i.e. the name of the port for which you need to check the Drawback Status. “Drawback Pending Status” will give you a list of all the Shipping bills whose drawback is pending to be processed as per the time period given. And alternatively, “Drawback Sanctioned Status” will give the details of shipping bills for which the duty Drawback is already processed.
Bank Credit Timeframe:
The refund will be credited to your registered bank account once the drawback claim is sanctioned, within 3-7 working days, if the bank details are accurate.
Important Tip:
Register your banking details with ICEGATE and provide your email ID and phone number to get disbursement or delay alerts.
Not yet registered? Get ICEGATE Registration done here.
Check the Status of Brand Rate Duty Drawback
If you are shipping products not included under AIR or if the AIR covers input duties partially, then you can claim a Brand Rate drawback. These are case-by-case and sent through the jurisdictional Customs Commissionerate.
Tracking Brand Rate Drawback Status Instruction:
- File application with the concerned Commissionerate
- Get an Acknowledgement Number
- Submit entire documentation, such as costing sheets, declarations, and evidence of duties paid
- Follow up with the officer concerned for processing status updates
Note: As compared to AIR, Brand Rate processing is half-online and involves frequent follow-up with the local customs authority.
Expected Timeline:
Brand Rate claims usually take 2 to 3 months to finalize, depending on the intricacy and completeness of documents.
Section 74 Duty Drawback – How to Check Status
Section 74 duty drawback comes into play when imported products are re-exported either due to defects or a shift in customer requirements. The exporters can claim up to 98% of the customs duty incurred.
How to Check Section 74 Status:
- File the re-export claim via your Customs House Agent (CHA)
- Submit the Bill of Entry, Shipping Bill, and evidence of re-export
- Appear before customs examination if called for
- Status can be obtained by:
- Telephoning the drawback officer concerned
- Logging on to ICEGATE (in certain ports where Section 74 is enabled)
Offline processing for Section 74 could still be done in certain ports. Make sure that all customs records are kept with care.
Key Takeaways
Here’s a brief rundown on how to efficiently monitor your drawback claims:
- AIR Drawback – Completely traceable online through ICEGATE
- Brand Rate – Offline follow-up with Commissionerate is necessary
- Section 74 – Half-offline; directly contact port customs
Notes: Make sure to provide accurate IEC, shipping bill, and bank information for easy processing.
Delays happen most of the time because of document issues, lack of bank details, or improper product classification.
Common Issues When Checking Duty Drawback Status
Here are some of the most common issues exporters encounter while monitoring drawback:
Shipping Bill Not Found
Cause: Customs-not yet processed shipping bill or filed at a non-EDI port.
Solution: Wait for EDI update or ensure port compatibility with ICEGATE.
IEC Not Registered on ICEGATE
Cause: Exporter has not linked their IEC on ICEGATE.
Solution: Register and authenticate IEC with new contact and bank details.
Incorrect or Unlinked Bank Details
Cause: Discrepancy between ICEGATE records and your banking details.
Solution: Correct bank details via ICEGATE’s registration module.
Sanction Delay
Cause: Objection by customs, document discrepancy, or audit.
Solution: Pursue through the official in charge or escalate through written representation.
Why Tracking Your Duty Drawback Status Is Worth It
Delays in duty drawback receipt can drastically affect the working capital of an exporter. If you fail to track it, you risk:
- Expiry of claim window
- Penalties for late responses
- Permanent refund loss due to rejection or audit closure
Advantages of Early Tracking:
- Determine missing documents early
- Prevent compliance penalties
- Enhance cash flow management
- Enhance audit readiness
Tracking also assists you in having a clean compliance history, enhancing future export benefit approvals.