Transferability of goods imported I procured by debiting duty in SFIS scrips - Customs - PUBLIC NOTICE No. 02/2016

OFFICE OF THE CHIEF COMMISSIONER (BHOPAL ZONE), CUSTOMS, CENTRAL EXCISE SERVICE TAX 48, ADMINISTRATIVE AREA, ARERA HILLS. HOSHANGABAD ROAD. BHOPAL F. No. (16)50/Tech/CCO/BZ/2016/9998 Dated 07.11.2016 PUBLIC NOTICE No. 02/2016 Subject: - Transferability of goods imported I procured by debiting duty in SFIS scrips - reg. Attention of the Customs, Central Excise Service Tax Assesses, Importers, Exporters, Manufacturers, Service Providers and other members of Industry and Trade in the State of Madhya Pradesh Chattisgarh is invited to CBECs Circular No. 49/2016 - Cus regarding transferability of goods imported / procured by debiting duty in SFIS scrips issued vide F.No. 605/17/2013 - DBK dated 27 th October, 2016. 2. The Board has considered transferability of goods imported / procured by debiting duty in SFIS scrips in the context of reconciling the Department of Commerce Notification No. 30/2009 - 2014 dated 01.08.2013 that amended FTP 2009 - 14 to provide that goods imported/ procured under SFIS can be alienated on completion of 3 years from the date Of import / procurement, the judgment dated 23.05.2016 of Hon'ble High Court in Writ Petition (C) No. 1809/2016 in the matter of Greatship (India) Ltd. and Notification nos. 92/2004 - Cus and 91/2009 - Cus or 34 / 2006 CE. The Board has also consulted DGFT. 3. After examining the matter, CBEC Board has clarified that - 3.1. The goods imported / procured utilizing SFIS Scrip issued in terms of FTP 2009 - 14 may be sold / transferred on completion of 3 years from the date of clearance of import/procurement in terms of the Department of Commerce notification no. 30 dated 01.08.2013. 3.2. In the light of Hon'ble High Court's order and absence of specific amendment by Dept. of Commerce to the FTP 2004 - 09, requests for sale / transfer of goods imported / procured utilizing SFS scrip issued in terms of FTP 2004 - 09 shall be considered by DGFT in terms of para 2.5 of FTP 2004 -09 on merits keeping in view the spirit of the Hon'ble High Court's order to the effect that transferability of goods that have completed 3 years is not deniable only on the ground that imports were in terms of the FTP 2004 - 09. 3.3. In view of DGFT conveying interpretation under para 2.3 of FTP 2004-09/2009-14 that the provision of transferability after 3 years is not applicable to consumables (including food items and alcoholic beverages) since such consumables are meant to be consumed in the course of day to day business of the applicant, such consumables are non - transferable even after 3 years. Hence these shall be exception to (a) and (b) above. 4. DGFT would also consider, on merits under para 2.5 of FTP 2004-09/2009-14 requests for export sale of goods any time after import/procurement. subject to such export being without claim for any export incentive, rebate, refund, drawback and / or re-credit of incentive and the bringing back into India being treated as fresh import. 5. Hindi version follows. (Authority: CBEC's F. No. 605/17/2013-DBK dated 27.10.2016) (Hemant A. Bhat) Chief Commissioner (BZ)