9911796707
TMI BlogDuty Exemption / Remission SchemesX X X X Extracts X X X X X X X X Extracts X X X X ..... vance Authorisation Applicant shall file application online in ANF 4A. Same form is applicable where Standard Input Output Norms (SION) have been notified or on the basis of adhoc norms or on self-declaration basis as per paragraph 4.07 of Hand Book of Procedures. 4.05 Advance Authorisation for items which are otherwise prohibited for export (i) Items covered under Chapter 7 and Chapter 15 of ITC (HS) Schedule 2, which are prohibited for export, may be allowed to be exported under the Advance Authorisation scheme, unless specifically disallowed. Export shall be allowed subject to pre-import condition under notified SION/prior fixation of norms by Norms Committee in terms of paragraph 4.06 of Hand Book of Procedures. Import and Export would be permitted only through EDI enabled ports. (ii) The Export Obligation Period (EOP) of Advance Authorisations issued for such items shall be 90 days from the date of clearance of import consignment and no extension in EOP shall be allowed. Such import shall be subject to actual user condition and no transfer of imported raw material, for any purpose, including job work, shall be permitted. In case of non-fulfilment of EO/ non-achievement of stip ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e decisions of Norms Committees shall be available on the website of DGFT (http://dgft.gov.in) periodically and the applicants shall update themselves the status of norms fixation in respect of Authorisation obtained by them. (iii) Exporters / EPC shall provide data to the Norms Committee concerned for the fixation of SION/Adhoc Norms for an export product. Norms Committee shall endeavour to fix SION or adhoc norms on receipt of complete data. Any adhoc norm fixed under this para, on the basis of an application made by an exporter shall be valid for one authorisation for which such application is made and no repeat authorisations shall be issued. However, Norms Committee can specify extended validity period, not more than two years from the date of fixation of such adhoc norms, for grant of further authorisations under such norm. (iv) Norms Committees shall also function as recommendatory authority for notification of SION and DGFT may notify such norms from time to time. (v) It is mandatory for industry / manufacturers/ EPCs to provide production and consumption data etc. for the past three years, as may be required by DGFT for fixation of SION. Otherwise, applicants shall not be ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... shall be treated as final. Ratification of the same by NC is not required. (v) Applicant or his supporting manufacturer/co-licensee shall maintain a proper account of consumption and utilization of duty free imported/ domestically procured inputs against each authorisation, as prescribed in Appendix-4H. Application for EODC shall be submitted in prescribed format along with Appendix-4H to the Regional Authority concerned. Regional Authority shall compare the details of Appendix-4H, with that of the inputs allowed in the Authorisation. Such records shall be preserved by the authorisation holder/manufacturer for a period of three years from the date of Export Obligation Discharge Certificate. (vi) Production and consumption records of the export item under this scheme shall be audited by concerned Norms Committee. Such audit may be conducted within three years from the date of issue of Authorisation based on Risk Based Management System (RBMS). Exporters shall be required to provide necessary facility to verify Books of Accounts or other documents and assistance as may be required for timely completion of the audit. Concerned Norms Committee shall constitute the audit teams and speci ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ts; bovine, ovine and caprine embryos, ova or semen; and pet food products of animal origin has been sought as an input under Advance Authorisation, the Regional Authority, while issuing Advance Authorisation shall endorse a condition that before effecting imports of any of these inputs, Sanitary Import Permit shall be obtained from the Department of Animal Husbandry, Dairying and Fisheries(DAHDF). (ii) Regional Authority shall also endorse a copy of authorisation to DAHDF, Krishi Bhawan, New Delhi. 4.10 Advance Authorisation for applicants with multiple units 3 [ (i) Transfer of any duty-free material imported or procured against Advance Authorisation from one unit of a company to another unit for manufacturing purpose shall be done with prior intimation to jurisdictional Customs Authority . In case of transfer of duty free imported or indigenously procured materials, on which GST has been paid, between the units located in same or different States, the availment of Input Tax Credit shall be governed as per the provisions of the GST law the rules made thereunder.] (ii) Imported duty free inputs can be taken from the port / domestic supplier s premises to the factory or the premise ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Adhoc Norms Fixed category to the Regional Authority concerned. 1 [ Norms ratified by any Norms Committee (NC) in the O/o DGFT on or after 01.04.2023 in respect of any Advance Authorisation obtained under paragraph 4.07 shall be valid for a period of three years from the date of ratification. However, the Norms ratified by any Norms Committee (NC) on or after 01.04.2015 in respect of any Advance Authorisation obtained under paragraph 4.07 of HBP, 2015-2020 shall also be valid further upto 31.03.2026. Since all decisions of the Norms Committees are available in the form of minutes on the DGFT website, all other applicants of Advance Authorisation are also eligible to apply and get their authorisations based on such ratified norms on repeat basis during validity of these norms. This para is not applicable for authorisations applied for items listed under Appendix 4P. ] (vii) Wherever an applicant has applied for components on net-to-net basis with accountability clause and such cases fall under paragraph 6 of General Note for all Export Products, the same need not be referred to Norms Committee for fixation of norms. However, exporters shall indicate clearly details of such componen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n customs duty/taxes/cess by the domestic supplier. (iii) Applicant shall deposit amount as per paragraph 4.49(a)(ii) of HBP in case the inputs were not freely importable. This amount is in addition to the amounts in sub-paragraph (i) above. 4.16 Fixation of norms by Norms Committees (i) All Norms Committees would endeavour for earliest fixation of norms. (ii) In case application for fixation of adhoc norms / SION is rejected on ground of non-furnishing of required documents/ information to Norms Committee or technical authority represented in Norms Committee, authorisation holder shall be liable to pay customs duty with interest as notified by DoR and amount as per paragraph 4.49(a)(ii) of HBP. In case SION for the said product is notified, SION would be made applicable for deciding wastage norms and Export Obligation. (iii) In cases where entitlement of the applicant for grant of Advance Authorisation as per paragraph 4.12 of HBP was lower than the quantity of input applied by the applicant under Advance Authorisation and export obligation is completed while fixation of norms by Norms Committee is pending, entitlement for authorisation as given in paragraph 4.12 of HBP may be re- ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Committee and the inputs and export product so allowed by Regional Authority shall be treated as input combinations permitted under NI Process. 4.20 Redemption of Authorisation issued under paragraph 4.18 of HBP Provisions contained in paragraph 4.49 of HBP, except sub-paragraph (f), shall be applicable. Regional Authority shall compare the details of Appendix 4-I, duly verified and certified by the jurisdictional Customs Authority, or by the Chartered Engineer (Chemical) along with cross attestation by the Chartered Accountant who shall both independently verify the inputs consumed in the process, with that of the inputs made/allowed in the authorisation, before allowing redemption or Bondwaiver against individual Advance Authorisation issued for pharmaceutical product(s) manufactured through NI process. As a result of the verification process, in case, it is found that the authorisation holder has consumed lesser quantity of inputs than imported, authorisation holder shall be liable to pay customs duty on unutilized imported material, along with interest thereon as notified by DoR, or effect additional export within the EO period to account for the export of the material remainin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... item or input or quantity of input under SION or under ad-hoc Norms shall be filed online in ANF 4B. (ii) Applicant would give justification for seeking amendment and Regional Authority would consider it with specific approval of Head of Office. In case of any major change in input or request for more wastage to that allowed under SION or ad-hoc norm, same should be referred to Norms Committee for ratification. 4.25 Revision of SION by NC Norms Committee may identify SIONs which in its opinion are required to be reviewed. Exporters are required to submit revised data in ANF 4B for such revision. It is mandatory for industry / exporter(s) to provide production and consumption data etc. as may be required by DGFT / EPC for revision of SION. Otherwise, applicant shall not be allowed to take benefit of Advance Authorisation scheme. 4.26 Description of an Advance Authorisation An Advance Authorisation shall, inter-alia, specify: (a) Names and description of items including specifications, where applicable, to be imported and exported/supplied; (b) Quantity of each item to be imported or wherever quantity cannot be indicated, value of item shall be indicated. Wherever, quantity and value ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ding an Advance Authorisation or DFIA. Regional Authority concerned shall consider such requests. (b) Advance Authorisation or DFIA for Intermediate supply shall be issued after making Authorisation of ultimate exporter invalid for direct import of item, to be supplied by intermediate manufacturer. In such case, a copy of the invalidation letter will be given to ultimate exporter holding Authorisation and copy thereof will be sent to intermediate supplier as well as Regional Authority of intermediate supplier. Intermediate Authorisation holder in such case has an option either to supply intermediate product to the holder of Advance Authorisation (i.e ultimate exporter) or DFIA or to export (physical / deemed) directly. Intermediate supplier can also supply the product(s) directly to the port for export by the ultimate exporter (holder of Advance Authorisation or DFIA). In such cases, shipping bill shall be in the name of the ultimate exporter with the name of intermediate supplier endorsed on it. (c) A suitable documentary evidence indicating the available quantity under Advance Authorisation shall be submitted along-with the application for invalidation. The above stated evidence ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion, he may apply. Such endorsement shall be mandatory where prior import before export is a condition for availing Advance Authorisation scheme and authorisation holder desires to have material processed through any other manufacturer or jobber. (b) Upon such endorsement made by Regional Authority, authorisation holder and co-authorisation holder shall jointly and severally be liable for completion of EO. Any one of co-authorisation holders may import goods in his name or in joint names. BG/LUT shall also be furnished in their joint names. (c) If authorisation holder is registered under GST Act, he has an option of getting names of jobber endorsed by jurisdictional Customs authority as per CGST/SGST/UT GST Rules in lieu of Regional Authority s endorsement. In case manufacturer exporter holding authorisation is not registered / not required to be registered under GST Act, job work may be allowed after endorsement of supporting manufacturer s name in the authorisation from Regional Authority concerned. However, authorisation holder shall be solely responsible for imported items and fulfilment of Export Obligation. 4.34 Execution of BG/LUT (a) Authorisation holder shall execute Bank ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ipalem, Guntur District (AP), Miraj, Moradabad, Nagpur, Nasik, Pimpri (Pune), Pitampur (Indore), Patli (Gurgaon), Pondicherry, Raipur, Rewari, Rudrapur (Nainital), Salem, Singanalur, Surajpur, Surat, Talegoan (District Pune), Thudiyalur (Tamil Nadu), Tirupur, Todiarpet (TNPM), Tuticorin, Udaipur, Vadodara, Varanasi, Veerapandi (Tamil Nadu), Waluj (Aurangabad), Hosur (Tamil Nadu) and Nattakkam (Kottayam Taluk and District) LCS: Agartala, Amritsar Rail Cargo, Atari, Chengrabanda, Dawki, Ghojadanga, Hilly, Jogbani, Mahadipur, Nautanva (Sonauli), Nepalganj Road, Petrapole, Ranaghat, Raxaul, Singhabad, Sutarkhandi. SEZ: As notified by Central Government any SEZ can be a specified port for import and export. (b) Commissioner of Customs may permit imports and exports from any other seaport/airport/ICD or LCS. (c) For imports from Airport / Seaport / ICD / LCS other than port of registration, a TRA shall be issued by the customs authority at the port of registration to customs authority at port of import. However, this requirement of TRA shall not be required if the port of registration and port(s) of imports are EDI enabled and the authorisation holder has registered its authorisation. (d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... arliest authorisation shall not be acceptable for clubbing. ] (vii) Exports made during initial or extended EO period of individual authorisations (after payment of composition fee as per provisions of Para 4.40 of HBP) shall be clubbed. (viii) Upon clubbing, if shortfall in value or quantity is noticed, the same shall be regularized under the provisions of Para 4.49 of HBP. (ix) Clubbing of Authorisations issued with different EO periods shall also be allowed. (x) Inputs which are common in all Authorisations shall be clubbed and duty free inputs shall be accounted for as per SION/Ad-Hoc Norms fixed by NC. In other words all inputs covered in all Authorisations need not be same. (xi) Minimum value addition as prescribed in FTP and Procedures for the export product will be required to be maintained on clubbing. (xii) After clubbing, Authorisations shall for all purposes, be deemed to be one Authorisation. The value addition would be calculated on the basis of total CIF and total FOB arrived at after clubbing the Authorisations. (xiii) All cases clubbed, as per earlier provisions would not be reopened. (xiv) No clubbing shall be permitted in respect of Authorisations where misrepres ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion of Authorisation (a) Validity period for import of Advance Authorisation shall be 12 months from the date of issue of Authorisation. (b) Validity of Advance Authorisation for supplies under Chapter-7 of FTP shall be co-terminus with contracted duration of project execution or 12months from the date of issue of Authorisation, whichever is later. (c) For Advance Authorisations not covered under Para 4.39(b) above, only one revalidation for twelve months from expiry date shall be allowed. No further revalidation would be allowed for such authorisations. Applications for any such revalidation may be submitted online to the concerned Regional Authority. 4.40 Export Obligation (EO) Period and its Extension (a) Period for fulfilment of export obligation under Advance Authorisation shall be 18 months from the date of issue of Authorisation. Period of EO fulfilment under an Advance Authorisation shall commence from date of issue of Authorisation, unless otherwise specified. (b) In cases of supplies to projects in India under Chapter-7 of FTP or projects abroad, the Export Obligation period shall be co- terminus with contracted duration of the project execution or 18 months whichever is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... extended for a period equivalent to the duration of ban, without any composition fee. (h) The revised composition fee for EOP extension under para 4.40 of HBP (2023) will only be applicable for the requests made on or after 01.01.2023. However, existing/pending applications shall be governed by the earlier provision of HBP (2015-20). (i) For all Advance Authorisations where the Export Obligation Period is expiring between 01.02.2020 and 31.07.2020, the Export Obligation Period stands automatically extended by six months from the date of expiry. No separate application with composition fee, amendment/endorsement is required for this purpose. The option to avail further validity extensions under this para beyond this period would remain available for these authorisations as per eligibility. (j) (a) For Advance Authorisations, where original or extended Export Obligation (EO) period is expiring during the period between 01.08.2020 and 31.07.2021, the Export Obligation period would be extended till 31.12.2021 without any composition fees. However this extension is subject to 5% additional export obligation in value terms (in free Foreign Exchange) on the balance Export Obligation on t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n case of deemed exports/Tax invoices for supplies prescribed under CGST/SGST/UT GST rules. (d) In case of non EDI shipping bills and supplies under Chapter-7 of FTP, exporter shall file relevant details manually on the website of the DGFT within two months from the date of expiry of Export Obligation period. Copies of shipping bills shall be submitted to Regional Authority concerned for verification within two months from date of expiry of export obligation period. In case an applicant is not able to upload any prescribed document then such documents may be submitted in physical form to the concerned authority. (e) e-BRC/ export realisations from RBI's EDPMS wherever available in DGFT IT system shall be linked with these shipping bills within six months from the date of expiry of export obligation/realisation or as per the time period prescribed for realization of foreign exchange by RBI. Regional Authority shall not take action for non linking/ submission of e-BRC/ export realisations from RBI's EDPMS wherever available in DGFT IT system before expiry of said period, provided other documents substantiating fulfilment of Export Obligation have been furnished by the exporte ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ibed in Para 4.04A of Foreign Trade Policy. (ii) Provisions of Para 4.05, 4.06, 4.07, 4.10, 4.11, 4.12(v) (vi), 4.21, 4.24, 4.25, 4.26, 4.29, 4.33, 4.34, 4.35, 4.37, 4.38, 4.39, 4.40, 4.41, 4.42, 4.43, 4.46 , 4.47(b), 4.49, 4.50, 4.51 of Handbook of Procedures shall be applicable to this scheme in so far as they are not inconsistent with this scheme. 4.46 Fulfilment of Export Obligation Authorisation holder shall file online application in ANF 4F to Regional Authority concerned and upload prescribed documents in support of fulfilment of Export Obligation. 4.47 Redemption/No Bond Certificate (a) Bond Waiver: In case Authorisation holder exports first (before effecting imports) by using imported inputs/indigenously procured inputs, in that case the Authorisation holder can seek waiver of Bond condition by submitting evidence of export made and payment realised to that extent. If exports made are less than the export obligation stipulated in the Authorisation, request for waiver of bond condition, on pro-rata basis, can also be considered. (i) For such a request, an applicant has to file online application attaching Shipping Bills and e-BRC/ export realisations from RBI's EDPMS wh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ty to Customs at the Port of Registration eventually through EDI mode thereby obviating the need for further calling of documents and its examination by concerned Customs Authority. (c) Ordinarily, redemption of BG / LUT shall not preclude customs authority from conducting random checks and from taking action against Authorisation holder for any misrepresentation, mis- declaration and default detected subsequently as per the Customs Act. (d) Regional Authority shall take action against Authorisation holder in case of non-submission of Appendix 4H 4-I duly filled in, as stipulated in paragraph 4.51 below or for any misrepresentation, misdeclaration and default detected subsequently in details declared and furnished in Appendix 4H 4-I. An endorsement to this effect shall be made by Regional Authority in the redemption certificate. 4.48 Transitional Arrangement for Authorisations issued upto 31.03.2023 (a) Advance Licences including Advance Licence for Annual Requirement issued up to 31.03.2023 shall be governed by respective provisions contained in Chapter-7 of HBP v1(RE-2001), Chapter 4 of HBP v1 (2002-2007) as Notified on 31.03.2002, Chapter 4 of HBP v1 (20042009) as notified on 31 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d both in terms of quantity and value, the Authorisation holder shall, for the regularisation, pay as per a), b) and c) above. (e) In case an exporter is unable to complete Export Obligation undertaken in full and he has not made any import under Authorisation, Authorisation holder will also have an option to get the Authorisation cancelled and apply for drawback after obtaining permission from Customs authorities for conversion of shipping bills to Drawback Shipping Bills. (f) Regional Authority shall compare relevant portion of Appendix 4H duly verified and certified by Chartered Accountant / Cost Accountants with that of norms allowed in Authorisation(s) and actual quantity imported against Authorisation(s) in the beginning of licensing year for all such Authorisations redeemed in preceding licensing year. In this verification process, in case it is found that Authorisation holder has consumed lesser quantity of inputs than imported, Authorisation holder shall be liable to pay customs duty on unutilized value of imported material, along with interest thereon as notified, or affect additional export within the Export Obligation period. (g) Regularization of Bona fide default in t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... per procedure laid down by DoR, which would be adjusted at the time of closure of the case. (b) Mode of payment: Online through ICEGATE Payment Gateway (c) Exporter shall produce documentary evidence of online payment to Regional Authority along-with duty calculation sheet at the time of regularization of their case. (d) Regional Authority shall verify the quantity of excess import before redeeming the case. Regional Authority may direct license holders to pay balance amount of customs duty after informing the reasons of the difference in the liability worked out by Authorisation holder and the calculations by Regional Authority. In such case, the balance amount of duty and interest, if any shall be paid by Authorisation holder within 30 days, for regularization of the matter. (e) The interest shall be paid Online through ICEGATE Payment Gateway at the rate applicable on the date of payment of delayed duty amount to the Customs Authority. (f) On receipt of said documentary evidence from Authorisation holder, Regional Authority shall redeem the case, and endorse details of duty paid on the EODC/Redemption Letter and inform details of recovery/ deposits made to the Customs Authority ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f Customs to the extent of 95% of CIF value debited against DFIA containing amount and description of exported goods and the details of original DFIA. (ii) Based on the certificate, a fresh DFIA shall be issued by Regional Authority concerned. Fresh DFIA, so issued, shall have same port of registration and shall be valid for a period equivalent to balance period available on date of import of such defective/unfit goods. 4.56 Maintenance of proper accounts of import and its utilisation Original DFIA holder shall maintain a true and proper account of consumption and utilisation of duty free imported / domestically procured goods against each authorisation as prescribed in Appendix 4H. These records are required to be filed online to Regional Authority concerned along with request for transferability. GEMS AND JEWELLERY SECTOR 4.57 General Provision Policy relating to Gem Replenishment Authorisation and scheme for gold/ silver/platinum jewellery is given in FTP. Application in respect of export promotion scheme for gems jewellery sector shall be made to concerned Regional Authority as per Appendix 4A. 4.58 Application for Replenishment Authorisation (a) Application for REP Authorisati ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dings and mountings manufactured by mechanized process 0.90% 0.90% h) Gold religious' idols (only gods and goddess) of 8 carats and above (upto 24 carats) i. Handcrafted/Studded idols ii. Plain idols 4.00% 2.00% 4.00% 2.00% Note: 1. Weight of mountings findings of gold or silver, if imported and used in Export Products, will not be included for determining net content of gold silver in Export Product. 2. The export or mechanized plain and studded jewellery also includes some manual process. ] 4.60 Value Addition Under scheme for export of jewellery, value addition shall be calculated as per Paragraph 4.37 of FTP. Minimum Value Addition shall be: Sl.No. Items of export Minimum Value Addition a) Plain gold / platinum / silver jewellery and Articles and ornaments like Mangalsutra containing gold and black beads / imitation stones, except in studded form of jewellery. 3.5% b) All types of Studded gold / platinum / silver Jewellery and articles thereof. 6.0% (for those studded with coloured Gemstones) and 7.0% (for those studded with diamonds). c) Any jewellery / articles manufactured by fully mechanized process (not applicable under Advance Authorisation) 2% d) Gold / silver / plat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , its purity, weight of gold/ silver/ platinum content, wastage claimed thereon, total weight of gold/ silver/ platinum content plus wastage claimed and its equivalent quantity in terms of 0.995/0.999 fineness for gold / silver and in terms of 0.9999 fineness for platinum and its value, FOB value of exports and value addition achieved. If purity of gold/silver/platinum used is same in respect of all or some of items made out from each of these metals for export, exporter may give total weight of gold/silver/platinum and other details of such similar items which are of same purity. In case of studded items, shipping bill shall also contain description, weight and value of precious / semi-precious stones / diamonds / pearls used in manufacture and weight / value of any other precious metal used for alloying gold/silver 4.66 Conditions of Exports Exports shall be allowed by customs authorities provided endorsement made on shipping bill and invoice are correct and value addition achieved is not below minimum prescribed in FTP. 4.67 Proof of Exports a) Exporter has to furnish the proof of exports, wherever required for export of gold / silver / platinum jewellery and articles thereof, b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... only. Any balance of gold/ silver/ platinum shall be available to exporter along with his future entitlement. Gold/ silver shall be released by the nominated agencies in terms of 0.995 fineness or more and platinum in terms of 0.900 fineness or more. 4.70 Terms of payment Export of gold / silver / platinum jewellery and articles thereof shall be against irrevocable letter of credit, payment of cash on delivery basis, Documents against Acceptance (DA) basis or advance payment in foreign exchange or replenishment of gold/silver/platinum content in exported jewellery / articles. 4.71 Port of Export 13 [ Exports under schemes of gold /silver/platinum jewellery and articles thereof shall be allowed by airfreight and Foreign Post Office through the Customs House at Mumbai, Kolkata, Chennai, Delhi, Jaipur, Bengaluru, Kochi, Coimbatore, Ahmedabad, Dabolin Airport, Goa, Hyderabad, Surat (Surat Hira Bourse) and Amritsar Airport. Export by courier shall also be allowed through Custom Houses at Mumbai, Kolkata, Chennai, Kochi, Coimbatore, Delhi, Jaipur, Bengaluru, Ahmedabad and Hyderabad upto FOB value of Rs.20 lakh per consignment. ] 4.72 Export by Post Policy for export of gems and jewellery ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tached by GIA (or any other approved agency) along with the shipping bill at the time of shipment, for matching of the imports to that of the exports as per the documents and GIA (or any other approved agency)certificate. (b) GIA (or any other agency approved in this regard) shall obtain GR waiver as per the procedure laid down by RBI, in all such cases. (c) Re-export of the imported diamonds, shall be completed within a maximum time period of 3 months from the date of import(s). At the time of import, the agency shall give an undertaking to the customs to this effect. GIA (or any other agency approved in this regard) shall furnish a quarterly report to the customs authority at the port of import by 25th of the month, succeeding the end of the quarterly period, to ensure that the exports are effected within the stipulated time period. 4.75 Enlistment /Authorisation of Laboratories for Certification/ Grading of Diamonds of 0.25 carat and above Applications for enlistment of laboratories should be submitted to Gems and Jewellery Promotion Council (GJEPC) for scrutiny of the application for fulfillment of the norms prescribed. GJEPC will forward the application after verification of b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... exporter. Even where export order is received by an Associate, goods shall be cleared through Customs by nominated agency only and not by Associate. Associate shall, in such cases, authorise Nominated Agency to act as its agent to file Bill of Entry and Shipping Bill. (c) At the time of export, shipping bill presented to Customs shall also contain the following: (i) Name and address of associate /exporter; (ii) An endorsement by Nominated Agency that export is made against an order received by concerned associate, its date of registration with nominated agency. In case of exports by exporter, a self declaration shall be provided to this effect; (iii) Name of Customs House through which gold/ silver/ platinum/plain semi-finished gold/ silver/ platinum jewellery was imported and corresponding Bill of Entry No. and date and date of import. (d) Each shipping bill shall be valid for exports only through Customs House located at the place where office of Nominated Agency / exporter concerned is situated. It shall be valid for shipment for a period of seven days including the date on which endorsement was made by nominated agency in case of exports through nominated agency. If exports ca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... years from date of exports. 4.79 Export through Exhibitions/Export Promotion Tours/ Export of Branded Jewellery (a) Nominated Agencies shall produce to Customs Authorities letter in original or its certified copy, containing Government s approval for holding exhibition/export of branded jewellery. Any other person shall produce to the Asst. Commissioner, customs letter in original or its certified copy containing GJEPC s approval for holding exhibitions/ export promotion tour/export of branded jewellery. (b) In case of re-import, such items, on arrival, shall be verified along with export documents before clearance. (c) Exports under this scheme shall be subject to following conditions for following modes of export: (i) Export of Gems and Jewellery for holding/participating in overseas exhibition. (a) Items not sold abroad shall be re- imported within 60 days of close of exhibition. However in case exporter is participating in more than one exhibition within 45 days of close of first exhibition, then 60 days shall be counted from date of close of last exhibition. In case of exhibition in USA, the time period shall be 90 days instead of 60 days mentioned above. In case of personal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... atinum shall be imported as replenishment by nominated agencies within 60 days from close of exhibition. (f) Nominated Agencies shall maintain a complete account of exports made, goods sold abroad, goods re-imported, and metals purchased abroad and imported into India. Such account shall be maintained for a minimum period of three years from date of close of exhibition. 4.80 Export against supply by Nominated Agencies Exporter may obtain gold/silver/ platinum on following basis: (i) Replenishment basis after completion of exports; (ii) Outright purchase basis in advance; (iii) Loan basis. 4.81 Replenishment Basis (a) Exporter may apply to Nominated Agency for booking of precious metal gold/silver/platinum. Quantity of precious metal booked with nominated agency shall be equivalent to precious metal content in the export product and admissible wastage. (b) Applicant shall at the time of booking deposit an earnest money for a minimum amount of 20% of notional price of precious metal, which shall be adjusted at actual sale. Exports shall be effected within a period of 120 days from date of booking and drawal of precious metal shall be completed within a period of 150 days from date of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ld taken on loan basis at the rate as may be specified. (c) Export has to be completed within a maximum period of 90 days from date of release of gold on loan basis. No extension for fulfilment of EO shall be allowed. (d) (i) Exporter shall be permitted to export jewellery on the basis of a notional rate certificate to be issued by nominated agency/ GJEPC. This rate will be based on prevailing Gold /US$ rate and the US$/INR rate in notional rate certificate. Certificate issued by nominated agency/GJEPC should not be older than 7 working days of date of shipment. (ii) VA will have to be achieved on rate as may be got fixed with buyer and Nominated Agency. (iii) Exporter shall have flexibility to fix the price and repay Gold Loan within 180 days from date of export. This price shall be communicated to nominated agencies who will issue a certificate showing final confirmation of the rate to the bank negotiating documents, to ensure export proceeds are realized at this rate. (e) Nominated agencies may accept payment in dollars towards cost of import of precious metal from EEFC account of exporter. 4.84 Exports against Advance Authorisation (a) Procedure applicable to Advance Authorisat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... crips issued under FTP. The interest / penalty shall be required to be paid in cash. In case of Advance Authorisation, the provisions as given in paragraph 4.49 above shall apply. This shall be without prejudice to any action that may be taken against exporter under FT(D R) Act, Order or Rules issued hereunder as amended from time to time. 4.86 Replenishment Authorisation for Import of Consumables etc. Application for import of consumables etc., as given in paragraph 4.35 of FTP shall be filed online to the concerned Regional Authority in ANF 4H. 4.87 Personal Carriage of Gems Jewellery Export Parcels (a) Personal Carriage of gems jewellery parcels by Foreign Bound Passengers from all EOU/SEZ units and all firms in DTA through Airports in Delhi, Mumbai, Kolkata, Chennai, Kochi, Coimbatore, Bangalore, Hyderabad, and Jaipur is permitted. Procedure for Personal Carriage of exports shall be as prescribed by Customs. Export proceeds shall, however, be realised through normal banking channel. (b) For claiming Replenishment in case of Personal Carriage of Exports by Foreign Bound passenger, documents shall be same as mentioned under paragraph 4.81(c) of HBP. Authorised Courier Companies a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y RBI for this purpose): (i) Every Nominated Agency is required to maintain records of imports of precious metal (both quantity and value) and its distribution for the purpose of exports of value added product as well as for the purpose of domestic consumption as per the format given in Appendix 4-M of Hand Book of Procedures. Nominated Agencies will also have to follow the guidelines/ rules/procedures /directions as prescribed by RBI and DGFT. Failure to comply will render Nominated Agency Certificate liable to be cancelled in addition to action under FT (DR) Act 1992, as amended, after affording opportunity of personal hearing. (ii) Monitoring by Gems Jewellery Export Promotion Council: Monitoring in respect of Nominated Agencies Handicraft and Handlooms Exports Corporation Ltd, MSTC Ltd, Diamond India Limited will be by Gems Jewellery Export Promotion Council (G J EPC). Nominated Agencies shall file half yearly return as per format given in Appendix 4-M of Hand Book of Procedures, to the Gems Jewellery Export Promotion Council (GJEPC), Mumbai within 15 days of every completed half year. In turn, G J EPC shall compile the half yearly return and the figures submitted by the Nomina ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... need to be maintained for a period of five (5) years which may be produced before the concerned authority assessing the ARR. 5. ARR filings may also be periodically assessed for necessary due diligence and presented before RoDTEP Committee for suitable revision of rates including for the consideration of higher rates wherever warranted. 6. Certain ARR cases may also be identified by the IT-assisted risk-based criteria, for further scrutiny to assess the nature of inputs used in export production and the amount of actual taxes duties incurred, as permissible under Para 4.54 of FTP. After due assessment is made by the concerned authority, who has been mandated in this regard, the RODTEP scrip holder will be liable to refund/surrender any excess claims based on the order passed after the scrutiny under the relevant customs head. Failure to regularise the excess claims within a specified time frame will lead to stopping of further benefits under the Scheme. ] ************ NOTES:- 1 . Substituted vide Public Notice No. 09/2023 dated 25-04-2023 before it was read as, (vi) Norms ratified by any Norms Committee (NC) in the O/o DGFT on or after 01.04.2023 in respect of any Advance Authoris ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... wellery and articles thereof 5.0 % 5.0 % c) Mountings and findings manufactured (by nonmechanized process) indigenously 2.5 % 3.2 % d) Any jewellery/ articles manufactured by a fully mechanised process and unstudded. (not applicable under Advance Authorisation) 0.9 % 0.9 % e) Mountings, whether imported or indigenously procured/manufactured, used in studded jewellery 1.8 % 1.8 % f) Gold / silver / platinum medallions and coins (excluding coins of nature of legal tender)(not applicable under Advance Authorisation) 0.2% 0.2% g) Findings and mountings manufactured by mechanized process 0.9% 0.9% h) Gold religious idols (only gods and goddess) of 8 carats and above (upto 24 carats) Plain Gold idols- 2.5% Studded Gold idols-5% 8 . Substituted vide Public Notice No. 14/2024-25 dated 16-07-2024 before it was read as, (b) If the Export Obligation is fulfilled in quantity but there is shortfall in value, no penalty shall be imposed if Authorisation holder has achieved minimum Value Addition prescribed. However, if Value Addition falls below the minimum Value Addition prescribed, Authorisation holder shall be required to deposit an amount equal to 3% of shortfall in FOB value in Indian Rupee ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ly mechanised process and unstudded. (not applicable under Advance Authorisation) 0.2 % 0.2 % e) Mountings indigenously manufactured, used in studded jewellery 0.1 % 0.1 % f) Gold / silver / platinum medallions and coins (excluding coins of nature of legal tender) (not applicable under Advance Authorisation) 0.1% 0.1% g) Findings and mountings manufactured by mechanized process 0.1% 0.1% h) Gold religious idols (only Gods and Goddess) of 8 carats and above (upto 24 carats) Plain Gold idols- 0.5% Studded Gold idols- 0.75% ] 13 . Substituted vide Public Notice No. 32/2024-25 dated 13-11-2024 before it was read as, Exports under schemes of gold /silver/platinum jewellery and articles thereof shall be allowed by airfreight and Foreign Post Office through the Customs House at Mumbai, Kolkata, Chennai, Delhi, Jaipur, Bengaluru, Kochi, Coimbatore, Ahmedabad, Dabolin Airport, Goa, Hyderabad and Surat (Surat Hira Bourse). Export by courier shall also be allowed through Custom Houses at Mumbai, Kolkata, Chennai, Kochi, Coimbatore, Delhi, Jaipur, Bengaluru, Ahmedabad and Hyderabad upto FOB value of Rs.20 lakh per consignment. - - statute, statutory provisions legislation, law, enactment, Ac ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
