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TMI Blog2025 (1) TMI 1386X X X X Extracts X X X X X X X X Extracts X X X X ..... , rejected by Respondent No. 3 under the impugned order is incorrect and would have to be rectified.
Conclusion - Under the FTP 2015-2020, exporters could be registered with either FIEO or EPCES to claim MEIS benefits. The requirement for exclusive registration with EPCES was introduced only in the subsequent FTP 2023. The impugned order rejecting the Petitioner's MEIS applications set aside.
Petition disposed off. X X X X Extracts X X X X X X X X Extracts X X X X ..... ng India's export competitiveness. 6. Under the MEIS, exports of notified goods/products with ITC (HS) code, to notified markets as listed in Appendix 3B to the Foreign Trade Policy 2015-20, were rewarded. Appendix 3B further provided that the rate of rewards on notified products would be calculated on the realized FOB value of exports in free foreign exchange, or on the FOB value of exports as given in the Shipping Bills in freely convertible foreign currencies, whichever is less, unless otherwise specified. 7. The Petitioner exported ropes of various types by classifying the same under CTH 56079090. According to the Petitioner, the said ropes exported by it are notified products eligible for rewards/duty credit scrips under the MEIS under Serial No. 2364 of Appendix 3B. The rate of reward under the MEIS in respect of the goods classified under CTH 56079090 is 5% of the FOB value. Since in the present case the Petitioner is a 100% EOU, the jurisdictional Regional Authority to examine and thereafter issue the rewards/scrips under the MEIS is Respondent No. 3. 8. In compliance with the provisions of the Foreign Trade Policy 2015-20, the Petitioner, at the relevant time, was holdi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ng Authority for issue of RCMC. (a) Export Promotion Councils (EPCs) are organizations of exporters, set up with the objective to promote and develop Indian exports. Each council is responsible for promotion of a particular group of products/projects/services as given in Appendix 2T of AANF. (b) EPCs are also eligible to function as Registering Authorities to issue Registration-cum-Membership Certificate (RCMC) to its members. The criteria for EPCs to be recognized as Registering Authorities for issue of RCMC to its members are detailed in para 2.92 of the Handbook of Procedures". (emphasis supplied) 12. Thereafter paragraph 2.56 talks about the Registration-cum-Membership Certificate (RCMC) and stipulates that any person applying for an authorization to import/export or any other benefit or concession under the FTP, shall be required to furnish or upload on DGFT's website in the Importer Exporter Profile, the RCMC granted by the Competent Authority in accordance with the procedure specified in the Hand Book of Procedure (for short "HBP") unless specifically exempted under the FTP. Paragraph 2.56 of the FTP reads thus:- "2.56 Registration-cum-Membership Certificate (RCMC) ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t product is not covered by any Export Promotion Council/Commodity Board etc., RCMC in respect thereof is to be obtained from FIEO. Further, in case of multi product exporters, not registered with any EPC, where main line of business is yet to be settled, the exporter has an option to obtain RCMC from Federation of Indian Exporters Organization (FIEO). (c) In respect of multi product exporters having their head office/registered office in the North Eastern States, RCMC may be obtained from Shellac & Forest Products Export Promotion Council (except for the products looked after by APEDA, Spices Board and Tea Board). (d) In respect of exporters of handicrafts and handloom products from the State of Jammu & Kashmir, Director, Handicrafts, Government of Jammu & Kashmir is authorised to issue Registration Cum Membership Certificate (RCMC)." (emphasis supplied) 15. Since paragraph 2.91 refers to Appendix 2T, and which is the list of notified Registering Authorities, we have also perused Appendix 2T which was prevalent during the time of the Foreign Trade Policy 2015-20. This can be found at page 134 of the paper book. Item No. 11 of Appendix 2T is the Export Promotion Council for ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Bandra-East, Mumbai Tel:91-22-26544600 Fax:91-22-26524764 Website:www.gjepc.org Email:[email protected] Exhibition Cell:[email protected] Exhibition Cell G-6, Radhe Vallabh CHS (Modi Chambers) French Bridge Corner, Opp. Opera House Mumbai-400004 Tel:022-23894957/20532896/23802788 Fax:022-23804958 Website: www.iijs.org, www.gjepc.org.intl E-mail:[email protected]; [email protected] * Polished & processed Peals (real or culture) * Cut & Polished Diamonds * Cut & Polished Coloured Gemstones * Jewellery containing gold, silver, platinum, or palladium and studded with diamonds, coloured gemstones, real or cultured pearls or synthetic/imitation stones * Cut and Polished Synthetic Stones * Costume/Fashion Jewellery * Silver Filligree Jewellery & Silver Filligree * Rough Diamonds 14. ..... 15. ..... 16. ..... 17. ..... 18. ..... 19. ..... 20. ..... 21. ..... 22. ..... 23. ..... 24. ..... 25. ..... 26. ..... 27. ..... 28. ..... 29. ..... 30. ..... 31. ..... 32. ..... 33. ..... 34. ..... 35. ..... 36. ..... 37. ..... (emphasis supplied) 16. It appears from the impugned order that the only g ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hich is EPCES in the instant case) for claiming any benefits under FTP (MEIS falls under Chapter 3 of FTP 2015-20). However, the unit did not have a valid RCMC during the period of export for which MEIS claim were filed and placed before me for disposal. Hence, the application merits rejection on this ground itself. 27. Accordingly, I reject the following claims of the unit described in (i) Table-I of to the extent of pending/balance amount of MEIS scirp and (ii) Table-II without going further into any other aspects." (emphasis supplied) 17. After going through the relevant portion reproduced above, we are clearly of the view that benefit/scrips under the MEIS have been denied to the Petitioner on a complete misconstruction of the provisions. We say this because under Appendix 2T, one of the Registering Authorities and which is recognized, is the FIEO. Under Appendix 2T (under the Foreign Trade Policy of 2015-20) there was no requirement that a 100% Export Oriented Unit had to be registered only with EPCES and not with FIEO. In fact, because there was this confusion, on 12th October 2022, the Government of India, Ministry of Commerce and Industry, Seepz Special Economic Zone A ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... it-in-reply filed to the above Writ Petition. As can be seen from the impugned order itself, in paragraph 25 thereof, Respondent No. 3 refers to Item No. 10 of Appendix 2T of the Foreign Trade Policy 2015-2020 and opines that EPCES (at Item No. 10) is the Competent Authority to issue a RCMC for 100% EOUs and SEZ Units. However, Item No. 10 of Appendix 2T of the Foreign Trade Policy 2015-20 is not EPCES but the Export Promotion Council for Handicrafts. This is clear from the Appendix 2T we have reproduced hereinabove. However, in Appendix 2T of the Foreign Trade Policy 2023, and which is annexed to the affidavit-in-reply, Item No. 10 reads thus:- "APPENDIX-2T LIST OF EXPORT PROMOTION COUNCILS/COMMODITY BOARDS/EXPORT DEVELOPMENT AUTHORITIES S.No. Name of Export Promotion Councils/Commodity Boards Registered Office/Head Office Details of products falling with their jurisdiction EXPORT PROMOTION COUNCILS 1. ..... 2. ..... 3. ..... 4. ..... 5. 6. 7. 8. 9. 10. Export Promotion Council for EOUs & SEZ Units A-101, 10th Floor Himalaya House, 23, K G Marg, New Delhi-110001 Tel:011-23329766-69 e-mail: [email protected] [email protected] (i) All products and services by EOU ex ..... X X X X Extracts X X X X X X X X Extracts X X X X
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