Government of India
Ministry of Commerce & Industry
Department of Commerce
Directorate General of Foreign Trade
Udyog Bhawan, New Delhi -110 011
Public Notice No.48 /2009-2014 (RE-2012)
Dated the 8th February, 2013
Subject: Amendment in Provisions of Para 5.23 of HBP v1 (EPCG Scheme).
In exercise of powers conferred under Paragraph 2.4 of the Foreign Trade Policy
2009-2014, the Director General of Foreign Trade hereby makes the following
amendments in para 5.23 of the HBP with immediate effect:
- Sub-para (f) of Para 5.23 of HBP v1 which reads as under :-
“(f) The computation of freely transferable duty credit scrip(s) will be based
on duty paid amount (not cenvated), instead of duty saved amount.”
Shall be replaced and the amended Sub-para shall read as under :-
“(f) The computation of freely transferable Duty Credit Scrip(s) will be based
on basic customs duty amount paid.”
- Sub-para (g) of Para 5.23 of HBP V1which reads as under :-
“(g) (i) Bill of Entry indicates the duty paid on the import made. Subsequently,
Cenvat Credit, if availed, shall not be taken into account for grant of duty
credit scrip. In the absence of a certificate from the jurisdictional Central
Excise Authority stating that ‘Cenvat Credit on this Bill of Entry(ies) has not
been availed and will not be availed in future’ no duty credit scrip would be
granted on the CVD component. In all cases where CVD portion is considered for
grant of duty credit scrip, RA shall endorse the Bill of Entry(ies) to this
effect, mentioning that CVD Portion shall not be Cenvatable and send a
communication to the same jurisdictional Central Excise Authority informing the
details along with relevant list of Bill of Entry(ies).
(ii) Such certificate from Central Excise shall, however, not be required in
case (a) the unit is not registered with Central Excise, or (b) the unit has
opted out of Central Excise net or (c) the end product is not subject to Central
Excise duty.”
Shall be replaced and the amended Sub-para shall read as under :-
“(g) Where the exporter has obtained EPCG authorisation under Para 5.23 (c) of
HBP v1, declaring that he shall not avail CENVAT Credit, the Export Obligation
shall be fixed with reference to the basic customs duty paid. In such cases Duty
Credit Scrip will be issued based on the certificate from Central Excise
regarding non-availment of CENVAT credit. Such certificate from central excise
regarding non-availing of CENVAT credit will not be required where the unit is
not registered with central excise.”
- Two new sub-paras (i) & (j) are added below sub para (h) of para 5.23 of HBP
which shall read as under:
“(i) The CG imported under para 5.11 of FTP shall not be disposed of till the
date of last export for offsetting EO against such CG.
(j) In case of re-export of CG found defective or unfit for use as per the
provisions of para 5.16 of HBPv1 if the exporter claims drawback on such
re-export there would be no remission of duty under para 5.11 of FTP.”
- Effect of Public Notice: The existing provisions of paragraph 5.23 (f) & (g)
of HBP v1 have been slightly modified and sub-paras (i) & (j) have been added
for the sake of clarity.
(Anup K. Pujari)
Director General of Foreign Trade
E-mail: [email protected]
(Issued from File No.18/08/AM 13/Pol-5)