Procedure for granting factory stuffing permission (FSP) –reg - Customs - 24 /Cus/2012

Ministry of Finance, Department of Revenue Customs (Preventive) Commissionerate, The Mall, Amritsar C. No: VIII-48(8) Tech/FS/Misc/2011 Dated: 9.8.12 Public Notice No. 24 /Cus/2012 SUB: Procedure for granting factory stuffing permission (FSP) reg Attention of the exporters, CHAs and the trade at large is invited to the Public Notices No. 5/93 dated 05.08.93 of erstwhile Chandigarh Commissionerate, 17/98 dated 27.09.98 and 16/2012 dated 13.06.12 of this Commissionerate on the above subject. With a view to consolidating existing instructions and simplifying the procedure in accordance with the instructions of the Board and the suggestions of the trade on the subject, the issue has been re-visited and accordingly in supersession of all these Public Notices, the procedure for granting factory stuffing permission (FSP) shall be as given below:- 2. All the exporters who seek FSP shall submit their application in duplicate, in Annexure-A of this Public notice, directly to jurisdictional Assistant/Deputy Commissioner, Central Excise Division requesting him to forward the feasibility report to the A.C./D.C. of Customs (Technical), Customs (Preventive) Commissionerate, Amritsar. The exporter shall fill in all details in the Annexure A and write not applicable if any field is not applicable to him. The exporter shall also furnish a list of Customs stations from where he intends to export his goods. Copies of following documents should be submitted along with the application:- (i) IEC issued to them by DGFT (ii) PAN Card and Central Excise Registration Certificate (if applicable) (iii) Status Holder Certificate (if any) (iv) RCMC certificate for non-excisable goods, if any All of these documents shall be duly certified by authorised signatory of the exporter. 3. The jurisdictional Assistant/Deputy Commissioner, Central Excise Division shall forward the feasibility/verification report regarding the genuineness of the existence and functioning of the factory furnished by the exporter, in Annexure-B of this Public Notice. While forwarding the feasibility/verification report and recommending the factory stuffing permission, the jurisdictional Deputy/Assistant Commissioner, Central Excise Division is required to sign all the pages of the feasibility report. The feasibility/ verification report shall be forwarded directly to the Assistant/Deputy Commissioner (Technical), Customs Preventive Commissionerate, The Mall, Amritsar in a sealed cover along with one copy of the complete application of the exporter. The report to the Assistant/Deputy Commissioner (Technical), Customs Preventive Commissionerate, The Mall, Amritsar may be furnished within seven working days from the receipt of the application from the exporter by the jurisdictional Deputy/Assistant Commissioner, Central Excise Division. 4. In case the feasibility/verification report furnished by the Central Excise authorities is satisfactory, the Assistant/Deputy Commissioner (Technical), Amritsar shall issue the FSP, in Annexure C , of the Public Notice to the exporter within seven working days of the receipt of the feasibility/verification report. All the permissions shall be given a unique running serial number to keep a track of such permissions granted. 5. The letter conveying FSP shall be addressed not only to the applicant exporter but also to the Jurisdictional Deputy/Assistant Commissioner, Central Excise Division formation who has recommended the permission. A copy each of the same shall also be circulated to all the Custom Houses for which the permission has been sought by the exporter. The letter shall mention the contact details of Central Excise formation concerned and the officer granting FSP for real time verifications, if required. 6. The Central Excise officers supervising the examination and stuffing of the cargo are required to follow the Examination Order and INSTRUCTIONS TO THE FACTORY STUFFING SUPERVISING OFFICERS OF CENTRAL EXCISE as given in Annexure D to this Public Notice. The Central Excise officer shall furnish a detailed examination report duly certified in the proforma in Annexure E to this Public notice. 7. The exporters clearing goods under the factory stuffing permission shall invariably produce, at the time of goods registration at the port of export, a copy of the letter of FSP duly attested by the jurisdictional Central Excise officer along with the ARE-1 and other documents. 8. The attention of the exporters, CHA, and the trade at large is also invited to the following:- (i) A single factory stuffing permission shall be granted which shall be valid for all the customs stations from where the exporter proposes to export. ( Circular 20/2010-Cus dated 22.7.2010 of the CBEC refers). The permission shall be granted by the Deputy/Assistant Commissioner (Technical), Customs Preventive Commissionerate, the Mall, Amritsar who shall issue letter of FSP to all the eligible exporters. (ii) In terms of Board s Circular No 860/18/2007-CX dated 22.11.2007 self- sealing of export of goods has been made mandatory for the manufacturer - exporters (whether status holder or not) who export such goods under free shipping bills. The self-sealing/ certification facility has also been extended to units engaged in the export of non-excisable agricultural products who export such goods under free shipping bills under Board s Circular No 892 /12/ 2009-CX dated 23.7.2009 . Therefore, they are not required to obtain permission for factory stuffing from Customs for export under free shipping bills. They can self-seal the goods. Hence, letter of FSP will not be granted to the manufacturer-exporters exporting goods under free shipping bills. However, they can opt for factory stuffing of export goods for export under export incentive schemes. (iii) In all cases, the letter of FSP will be granted only on receipt of verification report/No Objection Certificate from the jurisdictional Central Excise authorities regarding deputing officers for supervising the export stuffing and confirming genuineness of the existence and functioning of the exporter, their manufacturing unit or of the supporting manufacturer its manufacturing unit. (iv) In case of merchant-exporters, the permission shall be granted for the following goods:- a) All goods in the factory of production whether or not such goods are excisable; b) Perishable frozen sea foods/fish/meat/similar items and agricultural/ horticulture and similar goods; c) Articles of foods and pharmaceutical goods which require specialized packing in order to be protected from contamination, deterioration, etc; d) Glassware and similar articles of fragile nature. (v) In case of merchant exporters exporting from a port in this commissionerate for the first time, as a preventive measure, the genuineness of the merchant exporters shall be re-verified at the time of export by the Assessing Officer by the scrutiny of any three of following documents, of which will have to be submitted by the exporter or his Clearing Agent (CHA) to the Assessing Officer concerned. The documents are: (i) Copy of VAT/Sales Tax Registration/Exemption certificate. (ii) A certificate from the Bank with whom the Bank Account is being maintained for the purpose of remittance of foreign exchange to the effect that account is being maintained satisfactorily. (iii) Where the bank account is less than 3 months old, details of other bank account held by the merchant exporter. (iv) Details of past exports made from other ports if any. (v) Balance sheet of the previous year. (vi) Copy of the last Income Tax Return/VAT or Sales Tax Return filed. (vi) Though the FSP granted to manufacturer -exporters and others is one time permission, their track record will be monitored and reviewed periodically. The FSP may be cancelled forthwith in cases of misuse and where any proceedings under Customs, Excise, Service Tax or any other allied Acts are initiated against the exporter. 9. The FSP shall be granted for stuffing under the Central Excise supervision only. All the FSPs granted in the past under the supervision of Customs shall be deemed to be withdrawn on 30.9.2012. The trade is, therefore, advised to apply for factory stuffing permission under the supervision of the central excise officers in accordance with the procedure prescribed above. 10. In case of any difficulty, the matter may be brought to the notice of Deputy/Assistant Commissioner (Technical), Customs Preventive Commissionerate, Amritsar. -Sd- (K.K.Sharma) Commissioner of Customs ANNEXURE -A to Public Notice 24/Cus/2012 APPLICATION FORM FOR OBTAINING FACTORY STUFFING PERMISSION 1.IEC Details i. IEC Number ii. Date of issue iii. Issuing Authority 2. Applicant Firm Details i. Name ii. Address (Registered Office in case of companies and Head Office in case of others) iii. Address of Factory where goods are manufactured iv. Telephone Nos. v. Email address 3. Nature of Concern (please tick) i. Government Undertaking ii. Public Limited Company iii. Private Limited Company iv. Proprietorship v. Partnership vi. Others 4. Details of Proprietor/ Partners/ Directors of the applicant firm i. Name ii. Father s Name iii. Residential Address iv. Telephone 5. Type of Exporter (please tick) i. Merchant Exporter ii. Manufacturer Exporter iii. Merchant cum manufacturer Exporter iv. Other (please specify) 6. Industrial Registration Details i. SSP/IEM/LOl or IL Registration Number ii. Date of issue iii. Issuing Authority iv. Products for which registered 7. RCMC Details i. RCMC Number ii. Date of issue iii. Issuing Authority iv. Valid upto v. Products for which registered 8. Status House Details i. One/Two/Three/Four/Five Star ii. Certificate Number iii. Date of Issue iv. Issuing Authority v. Validity Date 9. PAN and Bank Details i. Pan Number ii. Issuing Authority iii. Name of the Bank iv. Account No. v. Type of Account 10. Excise Details i. Excise Registration Number ii. ii. Issuing Authority iii. Range Address Phone Number iv. Division Address Phone Number v. Commissionerate address Phone Number 11. VAT Details i. VAT Registration Number ii. Issuing Authority 12. Turnover details for the preceding three Financial Years(FY) FY Annual Domestic Turnover (Rs. Lakhs) Annual Export Turnover (Rs. Lakhs) 13. Factory Stuffing Premises Details i. Name ii. Address iii. Name Telephone No of CEO/GM iv. Email address 14. Details of goods for which permission is sought i.Nature and description of export goods with RITC Nos ii.Scheme under which goods being exported iii.Nature of packing material used in the export of goods 15. List of Customs Stations from where the goods shall be exported i. ii. 16. Please provide details of proceedings initiated under Customs / Excise / Service Tax, if any, during past three years (in a separate sheet) Place Date Signature of the Exporter 17. DECLARATION/UNDERTAKING 1. I/We hereby declare that the particulars and the statements made in this application are true and correct to the best of my / our knowledge and belief and nothing has been concealed or withheld therefrom. 2. I/We fully understand that any information furnished in the application if found incorrect or false will render me / us liable for any penal action or other consequences as may be prescribed in law or 3. I/We hereby certify that the firm/Company for whom the application has been made has not been penalized under Customs Act/Allied Acts. 4. I hereby certify that I am authorized to verify and sign this declaration in terms of Power of Attorney vested in me by the Firm / company. Place: Date: Signature of the Authorised Signature of Exporter Name: Designation: Official Address: Residential Address Email Address Telephone No. Mobile No. ANNEXURE -B to Public Notice 24/Cus/2012 1. Name address of the exporter. 2. Goods being manufactured by the exporter. 3. Central Excise Reg. No. of the exporter (if applicable) 4. Name address of the supporting manufacture (if applicable) 5. Goods being manufactured by the supporting manufacturer. 6. C. Excise Regn. No. of the supporting Manufacture(if applicable) 7. Whether anything adverse noticed against the exporter/supporting manufacturer. 8. Whether the goods are of sensitive nature 9. Whether examination of the goods is of specialized nature. 10. If reply of (8 9) above is yes, whether the requisite expertise is available with the jurisdiction Central Excise Range. 11. Whether the container can move freely in the premises. 12. Whether the declaration by the exporter has been verified and found correct. 13. Whether factory stuffing is warranted in view of the nature of the goods and proximity of exporter to CFS/ICD. 14. Whether the required staff to supervise the factory stuffing is available and do they have time for the same 15. Whether recommended for factory stuffing or not Inspector Central Excise with name contact No. Superintendent Central Excise with name contact no. Deputy/Asstt. Commissioner Central Excise FACTORY STUFFING PERMISSION No ..of .(Year) This factory stuffing permission( FSP) is hereby granted to (the applicant) M/s---------------------------------------------------------having their factory/supporting manufacturer (strike out one not applicable) at ------------------------------------------------------- and bearing the IEC.No---------------------------- the Central Excise Registration No---------------------------------------(if applicable) issued by the Division---------of the Commissionerate of -------------. 2. This FSP permits factory stuffing of only those goods that are mentioned in the schedule below and is subject to the fulfillment of the conditions therein prescribed. 3. This follows recommendation letter C.No. dated of DC/AC, Central Excise Division .of .Commisssionerate. 4. The FSP is valid for export from the following customs stations:- i) ii) SCHEDULE Sr.No. Description of export goods R.I.T.C. CONDITIONS 1) This FSP is not transferable. 2) The FSP is valid for factory stuffing of goods only in the premises (address) 3) No correction/changes/amendment in the FSP will be valid unless the request for any correction/change/amendment is applied for and approved by the competent authority i.e. AC/DC(Technical), Commissionerate of Customs (Preventive) Amritsar. 4) This FSP shall remain valid till the permission-holder carries on the activity for which it has been issued or surrenders it or till it is revoked/suspended by the competent authority. 5) The Unit shall provide necessary assistance co-operation as may be required by the Central Excise authorities to carry out the examination as per norms laid down in this permission. 6) This FSP is not valid for free shipping bills, as the export under free shipping bills is required to be done by manufacturer exporter under self-sealing procedure. Deputy/Assistant Commissioner of Customs (Technical) ANNEXURE -D to Public Notice 24 /Cus/2012 MODEL EXAMINATION ORDER i. Examine as per the instructions under Board s Circular 6/2002-Customs dated 23.1.2002 , as amended; ii. Verify that the goods are as per particulars in invoice and packing list; iii. Inspect container no. (as declared on invoice) ; verify empty container iv. inspect lot, check marks and numbers and ensure they match the declaration in invoice and packing list; examine 10% after selection (or as applicable in terms of Circular above); v. check description, classification, quantity, weight, value and quality, specification, technical characteristics, grade size, weight, thickness, items nos., part nos., make model, composition etc.; vi. draw representative sample in duplicate and forward the same to the CFS/ICD/port concerned duly sealed; vii. ensure one time tamper proof bottle sealing in terms of the Board s circular no. 1/2006 dated 02.01.2006 (F.no. 450/86/2005-cus-iv); viii. verify ISPM No. 15 compliance(see Board s circular No. 14/2009-cus dated 6.5.2009 ); ix. verify eligibility and correctness of incentive claimed under any Export Promotion scheme( refer various export promotion schemes in the prevailing Foreign Trade Policy and corresponding Customs duty exemption notification); x. Verify and ensure that the goods being exported/ stuffed are not part/components of arm/ammunition and do not contain any prohibited items (see prevailing Export Policy in ITC(HS) Classifications of Export Import Items). INSTRUCTIONS TO THE FACTORY STUFFING SUPERVISING OFFICERS OF CENTRAL EXCISE 1. Package numbers opened and examined by the officers must be recorded in the examination report. 2. Net weight/quantity of the goods and their classification under Customs Tariff/Central Excise Tariff, actually ascertained by the examining officers must be recorded in the examination report. 3. Invoice and packing list should also be authenticated by way of signatures by the officers on the obverse of such documents. 4. Please ensure that there is no prohibition/restriction on export of goods either by DGFT or CBEC or any other Department as on the date of stuffing. This permission does not confer any right to export any restricted or prohibited goods without complying with the relevant conditions, imposed under any Notification/Export Policy/Rules/Law. 5. Wherever necessary, Central Excise Certified copy of the exporter s in house test/analysis report must be enclosed with examination report. Representative sealed sample in duplicate must however be forwarded to A/C Export, invariably for future reference/record. 6. Any discrepancy sought to be brought to the notice of Customs Authorities must be mentioned boldly in Red Ink/Typing. 7. The factory stuffing permission No. and date issued to the exporter must be cited in examination report. The permission for factory stuffing is valid for the description of goods mentioned in the permission letter. 8. The Pre - Shipment Inspection Certificate issued by the Export Inspection Agency under the Export (Quality Control Inspection) Act, 1963, if applicable, is to be verified. 9. Whenever the goods are exported under Advance License/DEEC scheme, Chartered Engineer s Certificate is to be verified to the effect that the goods under Exports are manufactured out of exempt materials as per SION norms. 10. If anything adverse is noticed against the exporter/supporting manufacturer, the same may be brought to the notice of Deputy/Assistant Commissioner (Tech), Amritsar. 11. PHO/PQ certificate or any other certificate as applicable shall be produced at the time of examination / stuffing of goods. 12. Please compulsorily verify as to whether the raw or solid wood packaging material(SWPM) used for packing of the export goods are treated and marked as per the provisions of International Standards for Phytosanitary Measures( i.e ISPM No. 15) or the export goods are accompanied by a Phytosanitary Certificate issued by agencies accredited or certified by Department of Agriculture and Cooperation(DAC).(see http://agricoop.nic.in). In case of non-compliance, the matter may be referred to the Plant Quarantine authorities for proper treatment of export goods before their release, as required under Board s Circular No. 14/2009-Cus dated 06.05.09 under intimation to this office. 13. The examination report is required to be furnished in the proforma E annexed to this PN (annexure C1 of the board s circular 6/2002 customs dated 23.1.2002 refers). 14. The contact telephone number of the examining officer should also be mentioned in the export report for seeking clarification if necessary. ANNEXURE -E to Public Notice 24 /Cus/2012 (see Annexure C1 of Board s 6/2002 customs dated 23.1.2002 ) OFFICE OF THE SUPERINTENDENT OF CENTRAL EXCISE RANGE ... Tel No: Fax DIVISION Tel Fax COMMISSIONERATE ... C.No. Date Shipping Bill No.* Date EXAMINATION REPORT FOR FACTORY SEALED PACKAGES/CONTAINER 1. Name of Exporter : 2. a) IEC No. : b) Branch Code : c) BIN (PAN based Business Identification: Number of the exporter : 3. Name of the manufacturer (if different from the exporter) : 4. Factory address : 5. Date of examination : 6. Name designation of the examining officer Inspector/EO/PO : 7. Name designation of the supervising officer- Appraiser/Superintendent : 8. (a) Name of Commissionerate/Division/Range : (b) Location Code** : 9. Particulars of export Invoice : (a) Export Invoice No. : (b) Total No. of packages : (c) Name and address of the consignee abroad : 10. (a) Is the description of the goods, the quantity and their value as per particulars furnished in the export invoice? : : Yes/No (b) Whether sample is drawn for being forwarded to Port of export? : Yes/No (c) If yes, the number of the seal of the package containing the sample : 11. Central Excise/Customs Seal Nos. : (a) For Non-containerized cargo Seal Nos. No. of packages : (b) For Containerized Cargo : Container Number Size Seal No. No. of Packages stuffed in container (1) (2) (3) (4) SIGNATURE OF EXPORTER SIGNATURE OF INSPECTOR/EXAMINER SIGNATURE OF APPRAISER/ SUPERINTENDENT NAME___________________________ NAME_________________________ NAME________________________ DESIGNATION____________________ DESIGNATION__________________ DESIGNATION _________________ STAMP STAMP STAMP Note: 1. Invoice(s) and any other document accompanying this document should be attested by the officer supervising the examination. 2.*To be filled in by the exporter before filing of this document at the time goods registration in the export shed. 3. **Revised 6 digit code as assigned by the Directorate of S I, XXYYZZ XX Commissionerate YY Division ZZ Range