Major Amendments in EXIM Policy -Measuring to facilitate Export - DGFT - 18 (PN) 1997-2002

Major Amendments in EXIM Policy -Measuring to facilitate Export Public Notice No.18(PN) 1997-2002 dated the 17th June, 1997 In exercise of powers conferred under paragraph 4.11 of the Export and Import Policy,1997-2002, the Director General of Foreign Trade hereby makes following amendments in the Handbook of Procedures (Voi.1). 1. In the last sentence of paragraph 4.8, after the word and expression Exchanged Control Department of the RBI' the following shall be inserted "in terms of Appendix 36" 2. The words and expression 'paragraph 4.19' appearing in paragraph 6.4 shall be corrected to read as 'paragraph 4.15'. 3. The following shall be added after the table given in paragraph 6.11 (b): (c) The licence holder under Zero duty EPCG Scheme for agriculture and allied sectors as given in paragraph 6.2 of the Policy 1997-2002 shall fulfilled the export obligation over the specified period in following proportions. Period from the date of issue export licence Proportion of total obligation Block of 1st and 2nd Year 15% Block of 3rd and 4th Year 35% Block of 5th and 6th Year 50% 4. Paragraph 6.12 shall be substituted by the following: - The licence holder shall submit to the licensing authority, report o the progress made in fulfilment of export obligation against the licence issued to him. The report shall be submitted in the form given in Appendix 10C. The periodicity of the report shall be year wise/block of year wise as the case may be in terms of paragraph 6.11. 5. The word 'Advance Intermediate Licence and connected DEEC (Part-I); appearing in Para. 6.13 (b) (i) shall be deleted, 6. The following shall be added at the end of paragraph 7.4 (a): However, in the case of export of gold/silver/platinum jewellery and articles thereof, the application shall be made to the licensing authority as given in Appendix 29 and the quantity, wastage, and value addition norms shall be as given In Chapter 8 of the Policy, and Chapter 8 of this Handbook. 7. The paragraph 7.15 (b) (iii) may be corrected to read as paragraph 7.15 (c) 8. At the end of paragraph 7.28 A (ii) (b), the following shall be added. However, the provision of this sub-paragraph (b) shall not be applicable if the unutilised Imported material was freely importable on the date of its import.' 9. The following shall be added at the end of paragraph 7.45: An exporter holding DEPB on Pre export basis shall not be entitled for DEPB on Post export basis till the time as completes exports against DEPB on Pre export basis for the purpose of setting of export obligation. 10. The expression Appendix-10E' appearing in paragraph 7.47 (a) shall be corrected to reads as Appendix-11E.' 11. The expression 'as given in Appendix-29' shall be added in paragraph 8.2 , 8.11, 8.21 and 8.79 after the worlds 'licensing authority concerned' 12. In paragraph 8.32 (i) after the words 'may be given' the expression 'to the licensing authority concerned as given in Appendix-29' shall be added. 13. The following shall be added at the end of paragraph 8, 78: "However, if the EOU/EPZ units make repayment of gold taken on loan basis within a period of 60 days from the date of issue of gold on loan basis, the unit has to fulfill the export obligation against such gold within a maximum period of 150 days from the date of release of gold on loan basis. 14. The words and expression paragraph 10.2(b)(d) (e) (f) and (g) appearing in paragraph 10.4 may be substituted by paragraph 10.2 (b) (d) (e) and (f) 15. The last sentence of 'paragraph 10.10 shall be corrected to read as 'Supplies of capital good (excluding office machinery howsoever described) and spares upto 10% of the FOR value of such capital goods alone shall be eligible for deemed export benefits.' 16. The paragraph 10.15 (ii) shall substituted by the following 'The claim shall be filed against payment received on monthly basis/quarterly basis/half yearly basis'. 17. The paragraph 10.15 (iii) shall be substituted by the following: 'The application shall be filed within a period of six months from the end of the monthly/quarterly/half yearly period as per the option of the applicant. However, in the case of supplies made to categories 10.2 (d) (e) (f) and (g) of the Policy, the application shall be filed within a period of twelve months from the end of the monthly/quarterly half year period as per the option of the applicant. Such claims may also be find even where part payment have been received. 18. In paragraph 1 O.15(v) the expression '1971' shall be corrected to read as '1995'. 19. In paragraph 12.7 (a) the expression 'against exports made on after 1st April 1997 shall be added after 'Special Import Licence (SIL)' 20. The first sentence of the NOTE: 'appearing after paragraph 12,7 (e)' shall be corrected to read as 'the SIL rate on FOB basis for export products covered by Chapter 8 of the policy shall be 50% of the normal rate' 21. The following shall be added in paragraph 12.8A after the existing paragraph 12.8: 'The exporters who were holding recognition certificates for the period 1996-97 under Export Import Policy 1992-97 and have also obtained recognition certificate under the current Policy have an option to claim SIL based on exports made during proceeding licensing year subject to following conditions: (a) The irrevocable option shall be exercised at the time of filing the application for, recognition which shall be endorsed on the certificate at the time of its issuance; (b) The exports made prior to 1st April 1997 shall be entitled for SIL in accordance with the provisions contained in Export Import Policy 1992-97 and in accordance with the rate and procedure prescribed in Handbook of Procedure (Vol.1 ) 1992-97; (c) Application against exports made on or after 1st April 1997 shall be filed in the form given in Appendix 200 and shall be entitled for SIL against export proceeds realised on an annual basis during proceeding licensing year; (d) The application for SIL shall be filed within a period of six months from the end of the licensing year or 90 days following the grant of renewal/recognition certificate whichever is later; (e) The provisions contained in paragraph 12.8 (e) shall also be applicable 22. In the first sentence of paragraph 12.10 the word and expression '/jeep(s) and land rover type vehicle (s)' shall be added after the word 'car (s)' 23. In the first sentence of paragraph 15.4 the word 'address' shall be added after the word name. 24. The paragraph 15.14, 15.15, 15.16 and 15.17 shall be corrected to read as 15.13, 15.14, 15.15 and 15.16. 25. The word 'Bank' appearing in Sr. No of Appendix-2A, shall be deleted. 26. The expression '(Dy.DGFT)' appearing in Appendix-2A under '(SPACE for OFFICE USE ONLY)' shall be deleted. 27. The word 'NRI' appearing in Note: 1 of Appendix -2A shall be replaced by the word 'Non Resident' 28. In Appendix 3A at SI No.10(d), the words 'quarterly returns of exports' shall substituted by 'monthly returns of exports' 29. In Appendix -4, the following shall be added in the 'Documents to be enclosed with the application form;' 2. Two passport size photographs of the person in whose favour identity card is to be issued. 3. Copy of RCMC duly attested by Partner/Proprietor/Director.' 30.In SI No (a) (i) of Appendix 1 O-A, the word '15% EPCG Scheme' shall be substituted by '10% EPCG Scheme' 31. The paragraphs (i) to (ix) appearing after 'Declaration/undertaken' given in Appendix 10-A and 10-B shall be deleted and consequently, SI No (x) to (xv) shall be renumbered as (i) to (vi). 32. In SI No. 5 of Appendix 11-A, the following shall be added after the word 'manufacturer/supporting manufacturer: (of proceeding three licensing years duly certified by the Chartered Accountant Cost and Work Accountant) 33. The word 'Duty Exemption Pass Book' appearing in heading of Appendix 11-C and 11-D shall be corrected to read as 'Duty Entitlement Pass Book'. 34. In Appendix 11-D, the following shall be inserted as SI. No 10: 10. Factory address of manufacturer-exporter/supporting manufacturer' 35. SI No.7 in Appendix 11 E shall be deleted. Consequently, SI.No.8 and 9 shall be renumbered as SI.No.7 and 8. 36. The following correction shall be made in Appendix 19: (a) The expression 'SI No. 15 appearing in SI No (i) shall be corrected to read as SI.No.7;' (b) SI.No. (iii) shall be covered to read as follows: (iii) The net foreign exchange has been arrived at by deducting the following from the fob value :- (applicable for the fob NFE Criterion only) CIF value of all licences issued (licensing yearwise) except EPCG licences and freely transferable Sp .al Import Licence and licences surrendered within the period of their validity. To this effect, 'I/We have examined and verified all Import licences as specified in statement at S.No. 8'. (c) the expression 'SI. No. 15/16' appearing in SI.No. (v) shall be corrected to read as 'SI. No. 7/8'. (d) In SI.No. (ix) the words in the bracket 'excluding the last six months of the preceding licensing year' shall be corrected to read as 'excluding the export made during last six months from the date of filling of the application'. 37. The Note 2 given in Appendix -25 may be corrected to read as under "F.O.B. value actually realised and date of realisation of export proceeds are to be given only in case of export made under Chapter-8 of the Policy/Handbook of Procedures (Vol. 1 ). This shall also be required under Chapter- 7 of the Policy Procedures (Vol. 1) where exports are made on consignment basis to warehouses setup abroad. 38. In Appendix-27, the Telephone No. against S.NO. 8 may be corrected to read as '0183-213879'. 39. In paragraph (d) of Appendix-39, the word 'Special Rupee Escrow Account' shall be corrected to read as 'Special Rupee Account'. This issues in public interest. Sd/- (S.B. Mahapatra) Director General of Foreign Trade Issued by: Government of India Ministry of Commerce. New Delhi F.No. PRU/AS/97098/HB,