SION (Standard Input Output Norms) are standard guidelines issued by India’s Directorate General of Foreign Trade (DGFT) that specify the quantity of inputs normally required to produce a particular quantity of an export product. They are used for certain export promotion schemes, including Advance Authorization.
SION helps determine the eligible quantity of imported inputs that an exporter can receive under the applicable scheme. The norms are based on the standard input requirements for different products and help make the authorization process more consistent.
How It Works:
- Exporter identifies the export product.
- Applicable SION is checked.
- Input requirements are calculated.
- Authorization is applied for based on the norms.
- Inputs are used to produce the export product.
Benefits:
- Simplifies input calculations
- Supports Advance Authorization applications
- Provides standard input requirements
- Helps exporters plan imported inputs
Example:
An exporter wants to manufacture 1,000 units of a product for export. The applicable SION specifies the standard quantity of raw material required, which helps determine the eligible input quantity.