Base oil

Base oil, petroleum-derived lubricant base stocks

PESO CLEARANCE

HSN 2710 19 71 (Base oil) is subject to Petroleum and Explosives Safety Organisation (PESO) licensing under the Petroleum Rules, 2002, administered by the Chief Controller of Explosives. Import is permitted only through ports and places approved by the Ministry of Shipping in consultation with the Chief Controller and declared as customs ports by the Commissioner of Customs, per Rules 16 and 25 of the Petroleum Rules, 2002.

What this is

HSN code

2710 19 71

Chapter

27 · Mineral fuels, mineral oils and products of their distillation; bituminous substances; mineral waxes

Primary regulator

PESO · Petroleum Rules, 2002 (Chief Controller of Explosives licence)

Customs documentation

Import licence from PESO
Approved-port declaration to CBIC
Container specification compliance from PESO

Applicable Partner Government Agencies

PESOPESO·Petroleum and Explosives Safety Organisation

Compliance steps

1
Obtain a petroleum import licence from the Chief Controller of Explosives, Petroleum and Explosive Safety Organisation, Nagpur, covering the class (A, B, or C) and quantity of base oil to be imported. Base oils fall within the Class B or Class C petroleum category; confirm the applicable class before applying for the licence.
Petroleum Rules, 2002 · Chief Controller of Explosives, PESO, Nagpur
2
Route the consignment exclusively through a port or place approved by the Ministry of Shipping in consultation with the Chief Controller and declared as a customs port by the Commissioner of Customs. Diversion to an unapproved port exposes the consignment to seizure under the Petroleum Rules, 2002.
Rules 16 and 25 of the Petroleum Rules, 2002
3
Ensure all storage and transport containers conform to the specifications prescribed under Rules 4, 5 and 6 of the Petroleum Rules, 2002. Be alert to misdeclaration risk: base oil consignments have been flagged under DRI Alert Circular 02/2020-CI dated 23-04-2020 as susceptible to misdeclaration as low aromatic white spirit, hydrocarbon solvents, or IMPS.
Rules 4, 5 and 6 of the Petroleum Rules, 2002 · DRI Alert Circular 02/2020-CI dated 23-04-2020

A word of counsel

The most common error on this tariff line is underestimating the port-approval interlock: a valid PESO licence does not cure the defect of arriving at an unapproved port, and the two conditions are independently enforced. Consignments off-loaded at an unapproved port face detention, ground rent, and potential seizure even when the licence is current. Confirm the approved-port status of the intended discharge port with both PESO and the Commissioner of Customs before the vessel departs.

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Frequently asked

Does HSN 2710 19 71 require BIS certification?

No. Base oil is not covered by any BIS Quality Control Order. Import is governed by Petroleum and Explosives Safety Organisation licensing under the Petroleum Rules, 2002, with the Chief Controller of Explosives as the licensing authority and a mandatory approved-port requirement.

Which petroleum class does base oil fall under, and does that affect the licence required?

Base oil typically falls under Class B or Class C petroleum under the Petroleum Rules, 2002; the applicable class determines the specific licence conditions and container specifications under Rules 4, 5 and 6, so the importer must confirm the flash-point classification of the specific grade before applying to PESO.

What is the misdeclaration risk flagged for this tariff line?

DRI Alert Circular 02/2020-CI dated 23-04-2020 flags the risk of petroleum products being misdeclared as low aromatic white spirit, hydrocarbon solvents, or Industrial Mixture Composition Plus (IMPS); customs officers are instructed to verify product identity, and misdeclaration can attract confiscation and monetary penalty under the Customs Act, 1962.

Last verified against gazette notifications: 2026-05-16. Source: PESO / Indian Customs CUSDATA.