| Policy |
2.1 |
Policy relating to general provisions regarding
exports and imports is given in Chapter-2 of FTP. |
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Countries of
Imports / Exports |
2.2 |
Unless otherwise specifically provided, import
/ export will be valid from / to any country. Above provisions shall,
however, be subject to all conditionality, or requirement of
Authorisation
as required under Schedule I and / or Schedule II of ITC (HS). |
| Application Fee |
2.3 |
The scale of fee, mode of payment, procedure for refund of fee and
categories of persons exempted from payment of fee are contained in
Appendix-21B. |
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Territorial Jurisdiction
of Regional Authorities
(RA) |
2.4 |
Every application, unless otherwise specified, shall be submitted to
RA concerned, as indicated in Appendix-1 of HBP v1. |
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| Filing of Application |
2.5 |
An incomplete or unauthorised application is liable to be rejected
giving specific reason for rejection. In case of manual applications,
applicant would furnish a soft copy of the application in MS word
format. |
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Profile of Importer/
Exporter |
2.6 |
Each importer / exporter shall be required to file importer
/exporter profile once with RA in ANF 1. RA shall enter such information
in database so as to dispense with need for asking information again. In
case of any change in information given in ANF 1, importer / exporter
shall intimate same to RA. |
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Self Addressed
Stamped Envelope |
2.7 |
Applicant shall furnish a self-addressed envelope of 40 x 15 cm with
required postal stamp affixed, for all documents required to be sent by
Speed Post. |
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IEC No:
Exempted Categories |
2.8 |
Following categories of importers or exporters are exempted
from obtaining IEC number: |
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(i) Importers covered by clause 3(1) [except sub-clauses
(e) and (l)] and exporters covered by clause 3(2) [except
sub-clauses (i) and (k)] of Foreign Trade (Exemption
from application of Rules in certain cases) Order, 1993. |
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(ii) Ministries / Departments of
Central or State Government. |
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(iii) Persons importing or exporting goods for personal use not
connected with trade or manufacture or agriculture. |
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(iv) Persons importing / exporting goods from / to Nepal, Myanmar
through Indo-Myanmar border areas and China (through Gunji, Namgaya
Shipkila and Nathula ports), provided CIF value of a single consignment
does not exceed Indian Rs.25, 000. In case of Nathula port, the
applicable value ceiling will be Rs. 100,000. |
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However, exemption from obtaining IEC number shall not be applicable
for export of Special Chemicals, Organisms, Materials, Equipments and
Technologies (SCOMET) as listed in Appendix- 3, Schedule 2 of ITC (HS)
except in case of exports by category (ii) above. |
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(v) Following permanent IEC numbers shall be used by non-commercial
PSUs and categories of importers / exporters mentioned against them for
import / export purposes: |
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| S.No |
Code Number |
Categories of Importers / Exporters |
| 1 |
0100000011 |
All Ministries / Departments of Central Government and
agencies wholly or partially owned by them. |
| 2 |
0100000029 |
All Ministries / Departments of any State Government and
agencies wholly or partially owned by them. |
| 3 |
0100000037 |
Diplomatic personnel, Counselor officers in India and
officials of UNO and its specialised agencies. |
| 4 |
0100000045 |
Indians returning from / going abroad and claiming benefit
under Baggage Rules. |
| 5 |
0100000053 |
Persons / Institutions / Hospitals importing or exporting
goods for personnel use, not connected with trade or manufacture
or agriculture. |
| 6 |
0100000061 |
Persons importing / exporting goods from /to Nepal |
| 7 |
0100000070 |
Persons importing / exporting goods from /to Myanmar through
Indo-Myanmar border areas |
| 8 |
0100000088 |
Ford Foundation |
| 9 |
0100000096 |
Importers importing goods for display
or use in fairs / exhibitions or similar events under provisions
of ATA carnet. This IEC number
can also be used by importers importing for
exhibitions/fairs as per Para 2.29 of HBPv1. |
| 10 |
0100000100 |
Director, National Blood Group Reference Laboratory, Bombay
or their authorized
offices. |
| 11 |
0100000126 |
Individuals / Charitable Institution / Registered NGOs
importing goods, which have been exempted from Customs duty
under Notification issued by Ministry of Finance for
bonafide use by victims affected by natural calamity. |
| 12 |
0100000134 |
Persons importing / exporting
permissible goods as notified from time to time, from / to
China through Gunji, Namgaya Shipkila and
Nathula ports, subject to value ceilings of single consignment
as given in Para 2.8(iv) above. |
| 13 |
0100000169 |
Non-commercial imports and exports by entities who have been
authorized by Reserve
Bank of India. |
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Application for Grant
of IEC Number |
2.9 |
An application for grant of IEC Number shall be made by Registered
Office, in case of companies and Head Office in case of proprietorship
concerns, partnership concerns and HUFs, of applicant, except EOUs and
SEZ units, to concerned RA in ANF2A with documents
prescribed therein.
Only one IEC would be issued / allowed against a single PAN number.
The application (ANF 2 A) for issuance of fresh IEC or modification of
IEC shall indicate the name and designation of the person whose
photograph has been affixed on the Bank
Certificate. A photograph of the person alongwith his/her name and
designation shall also be affixed on the IEC No. to be issued (Appendix
18 B). |
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IEC Format and
Statements |
2.9.1 |
RA concerned shall issue an IEC number in prescribed format
(Appendix-18B). A copy of such IEC number shall be endorsed to concerned
banker (as per details given in ANF
2A).
A consolidated statement (in Appendix 18 C) of IEC numbers issued by RA
shall be sent to Exchange Control Department of RBI as given in
Appendix-18D. |
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| Validity of IEC No. |
2.9.2 |
An IEC number allotted to an applicant shall be valid for all its
branches / divisions / units / factories. |
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Duplicate Copy of
IEC Number |
2.9.3 |
Where an IEC Number is lost or
misplaced, issuing authority may consider requests for grant of a
duplicate copy of IEC number, on an affidavit. |
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Surrender of
IEC Number |
2.9.4 |
If an IEC holder does not wish to operate allotted IEC number, he
may surrender the same by informing issuing authority. On receipt of
such intimation, issuing authority shall immediately cancel it and
electronically transmit it to DGFT and Customs authorities. |
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Application for Import
and Export of Restricted
Items |
2.10 |
An application for grant of an Authorisation for import or export of
items mentioned as restricted in ITC (HS) may be made to RA as specified
under relevant Chapters of this Handbook.
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Imports under Indo-US
Memorandum of
Understanding |
2.11 |
Import of specified capital goods, raw materials and components,
from United States of America (USA) is subject to US Export Control
Regulations.
US suppliers of such items are required to obtain an export
authorisation based on import certificate issued in India. The following
are designated Import Certificate Issuing
Authorities (ICIA): |
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(i) Department of Electronics (DoE), for computer and computer based
systems;
(ii) Department of Industrial Policy and Promotion (DIPP), Technical
Support Wing (TSW), for organised sector units registered under it,
except for computers and computer based systems;
(iii) Ministry of Defence (MoD), for defence related items;
(iv) DGFT for small scale industries and entities not
covered above as well as on behalf of any of the above;
(v) Embassy of India, Washington, DC, on behalf of any of the above. |
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A request for an import certificate shall be made in ANF 2C. Import
certificate in Appendix-31 may be issued by ICIA directly to importer
with a copy to (i) Ministry of External Affairs (MEA) (AMS Section), New
Delhi, (ii) DoE, New
Delhi; and (iii) DGFT.
However, this import certificate will not be regarded as a substitute
for an import authorisation in respect of items mentioned as restricted
in ITC (HS) and an import authorisation will have to be obtained for
such items. |
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2.11A |
In case of import of any freely importable item in India, if a
foreign Government insists on certification of end user of the item,
before permitting export of the same from their country,
RA may issue such certificates as per Appendix 31A of HBPv1. The
certificate shall be issued based on application made under ANF 2C-1
along with documents prescribed therein. |
Validity of
Import Licence/Certificate/
Authorisation/Permissions/
CCPs/Export licence |
2.12 |
Validity of import / export Authorisation from date of issue shall
be as follows, unless specified otherwise:
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(i) Advance Authorisation / DFIA
(including Advance Authorisation
for annual requirement, and
Replenishment Authorisation for
Gem & Jewellery as per Chapter-
4 of FTP) |
24 months |
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(ii) a For Zero duty EPCG
Authorisations (other than spares) |
9 months |
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(ii) b For 3% EPCG Authorisations
(other than spares) |
36 months |
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(iii) EPCG Authorisation for Spares,
refractories, catalyst and
consumables |
Co-terminus with EOP of EPCG Authorisation |
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(iv) Others including CCP and DEPB,
unless otherwise specified |
24 months |
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| (v) Advance Authorisation / DFIA for
deemed export (including Advance Authorisation for annual
requirement) |
24 months or Co-terminus with contracted
duration of project execution,
whichever is later. |
(vi) Export Licence / Authorisation
|
12 months
(However, EFC
may decide to
issue Export
Authorisation for
a longer duration
in case of R&D
studies based on
recommendation
of technical
authority) |
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2.12.1 |
Where an Authorisation expires during the month, such Authorisation
shall be deemed to be valid until last day of concerned month.
This proviso would be applicable even for a revalidated Authorisation. |
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2.12.2 |
Validity of an import Authorisation is decided with reference to
date of shipment / dispatch of goods from supplying country as given in
Paragraph 9.11 A of HBP v1 and not the
date of arrival of goods at an Indian port. |
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2.12.3 |
Provisions of paragraph 2.12.1 above shall not be applicable to
DEPB, Service Providers under SFIS, VKGUY and duty credit scrips issued
under FMS and FPS, which are duty credit entitlements and must be valid
on date on which actual debit of duty is made. |
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2.12.4 |
Similarly, EOP shall be deemed to be valid
until month end. |
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Revalidation of Import
Export Licence /
Certificate / Authorisation
Permissions |
2.13 |
RA concerned may revalidate import Authorisation on merits, for six
months from date of expiry of validity. However, Export Licence may only
be revalidated by RA concerned on recommendation of DGFT for six months
at a time and maximum upto 12 months from date of expiry of validity. |
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2.13.1 |
However, revalidation of freely transferable Authorization / Duty
credit scrips and stock and sale Authorization shall not be permitted
unless validity has expired while in custody of Customs authority / RA. |
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2.13.2 |
Such revalidation (under 2.13 and 2.13.1 above) would be permitted
under specific orders of Head of concerned Office and would be maximum
up to the extent of custody period. |
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2.13.2A |
For the purpose of re-credit of 4% Special Additional Duty (SAD) of customs
in the freely transferable Duty credit scrips (including DEPB), revalidation
for a maximum period of 6 months from the date of endorsement, shall be
allowed in case the balance period of validity is less than 6 months on the
date of re-credit. |
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2.13.3 |
An application for revalidation (including for restricted items),
may be made to RA concerned. RA would consider such application as per
government rules / notifications.
Where DGFT is concerned authority, original application shall be
submitted to RA concerned and self-attested copy of same shall be
submitted to DGFT. |
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Duplicate Copies of Export-Import Licence /
Certificate / Authorisation /
Permissions / CCPs |
2.14 |
Where an Authorization is lost or misplaced, an application for
issue of a duplicate may be made along with an affidavit, as given in
Appendix-24, to issuing RA.
RA concerned may, on merits to be recorded, issue a duplicate after
issuing an order for cancellation of original and informing customs
authority where original was registered. |
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2.15 |
Duplicate copy of freely transferable
Authorisation, may be issued against an application accompanied with
following documents:
a. An application with fee equivalent to 10% of duty saved or duty
credit (of unutilized balance).
b. A copy of FIR reporting loss.
c. Original affidavit on notorised stamp paper.
d. Indemnity bond on a stamp paper undertaking to indemnify revenue
loss, which may be caused on account of issue of such duplicate. |
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2.15.1 |
When an Authorisation has been lost by a Government agency and a
proof to this effect is submitted, documents at serial nos. (a) to (d)
above shall not be required.
In such cases, revalidation shall be for six months from date of
endorsement. |
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2.15.2 |
RA concerned shall obtain a report regarding utilization of such
Authorisation from Custom authority at port of registration before
issuing duplicate, for balance unutilized. |
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2.15.3 |
Validity of duplicate Authorisation shall be co-terminus with
original period. No request shall be entertained if validity has
expired. |
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2.15.4 |
Provision of paragraph 2.15.2 and 2.15.3 shall be applicable both
for cases covered under paragraph 2.14 and 2.15. |
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| Identity Cards |
2.16 |
To facilitate collection of Authorisation and other documents from
DGFT Head Quarters and RA, identity cards (as in Appendix 20B, valid for
3 years) may be issued to proprietor
/ partners / directors and authorised employees (not more than three),
of importers and exporters, upon application as in Appendix 20A.
In addition, Identity Card may also be issued by the applicant firms on
their letterhead to the concerned employees. These Identity Cards may be
countersigned by the concerned RA.
However, application for identity card in Appendix 20B will require to
be made by the applicant and all other parameters would need to be met.
However, in case of limited companies, RA may approve allotment of more
than three identity cards per company.
In case of loss of an identity card, a duplicate card may be issued on
the basis of an affidavit.
Common directors / partners, of a group company or in any other similar
cases, RA may issue multiple identity cards after recording reasons in
writing. |
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| Interviews with authorized Officers |
2.17 |
Officers may grant interview at their discretion to authorised
representative of importer / exporter. Interviews / clarifications may
also be sought through E-mails. |
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Export of Items
Reserved for SSI Sector |
2.18 |
Units other than small scale units are permitted to expand or create
new capacities in respect of items reserved for small scale sector,
subject to condition that they obtain an Industrial licence under the
Industries (Development and Regulation)
Act, 1951, with export obligation as may be specified.
Such licensee is required to furnish a LUT to RA and DGFT in this
regard. DGFT / RA concerned shall monitor export obligation. |
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| Warehousing Facility |
2.19 |
Public / Private Customs Bonded Warehouses may be set up in DTA as
per Chapter-IX of Customs Act, 1962, to import items in terms of
paragraph 2.28 of FTP.
On receipt of goods, such warehouses shall keep these goods for one year
without payment of applicable customs duties.
Goods can be cleared against Bill of Entry for home consumption, on
payment of applicable custom duty and on submission of Authorisation
wherever required, after an order
for clearance of such goods for home consumption is issued by competent
customs authorities.
In case of clearance against duty free categories / concessional duty
categories, exemption / concession from duty shall be allowed.
In case of clearance against DEPB and other duty credit scrips customs
duty on imports may be adjusted.
Goods can be re-exported without payment of customs duty provided (i) a
shipping bill or a bill of export is presented in respect of such goods;
and (ii) order for export of such goods has been made by competent
customs authorities. |
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Execution of Bank Guarantee /
Legal Undertaking for Advance
Authorisation / DFIA and
EPCG Authorisation |
2.20 |
Before clearance of goods through Customs, Authorisation holder
shall execute a BG/LUT with customs authorities.
In such cases, RA shall endorse the following condition on the
licence/ Authorisation: " BG / LUT as applicable, to be executed with
concerned
Customs Authorities.” In case of indigenous sourcing, Authorisation
holder shall
furnish BG / LUT to RA as per Customs Circular No.58/2004
dated 31.10.04, as amended from time to time.
In case, the firm has already executed BG / LUT for the full value of
the licence/ certificate / authorization / permission (covering the
items indigenously procured) to the Customs and furnishes proof of the
same to Regional Authority (RA),no BG / LUT shall be required to be
executed with the RA.
The RA concerned shall endorse on the authorization that the Customs
Authority shall release / redeem BG / LUT only after receipt of NOC or
EODC from the RA concerned. RA shall endorse a copy of the same along
with a forwarding letter to the Customs Authority at the Port of
registration for their information and record. |
Execution of Bank Guarantee/
Legal Undertaking for DEPB/
Freely transferable schemes under Chapter 3 |
2.20A |
At the time of filing application for scrip(s) under DEPB
Scheme/Freely transferable incentive Scheme under Chapter 3 of FTP
without Bank Realisation Certificate (BRC), the
applicant shall execute BG/LUT (as per Customs circular no.58/2004) with
the RA as per Appendix 25C or Appendix 25D respectively.
|
| Corporate Guarantee |
2.20.1 |
A status holder or a PSU may also submit Corporate Guarantee in lieu
of Bank Guarantee/LUT in terms of the provisions of relevant Customs
Circular in this regard. In case of a group company, if one company of a
Group is a status holder, Corporate Guarantee may be given for another
company by this company, which is not a status holder. |
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| Certificate of Origin(CoO) |
2.21 |
Certificate of Origin (CoO) is an instrument to establish evidence
on origin of goods imported into any country. There are two categories
of CoO viz. (1) Preferential and (2) Non
preferential. |
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| Preferential |
2.21.1 |
“The fee for issuance of Certificate of Origin (Preferential) for
India’s exports under
India’s Free Trade Agreements (FTAs),
Preferential Trade Agreements (PTAs) and for exports under GSP, Global
System of Trade Preferences (GSTP) schemes shall be
Rs. 350/- (Rupees Three Hundred and Fifty only).
The enhanced fee would be applicable for the applications
received w.e.f. April 1, 2011.”
Vide DGFT PUBLIC NOTICE No.40/(RE 2010)/2009-14, DT. 09-03-2011
[Old]
Preferential arrangement / schemes under which India is receiving
tariff preferences for its exports are Generalised System of Preferences
(GSP), Global System Of Trade Preferences (GSTP), SAARC Preferential
Trading Agreement (SAPTA), Asia-Pacific Trade Agreement
(APTA), India–Sri Lanka Free Trade Agreement (ISLFTA) and Indo- Thailand
Free Trade Agreement. These arrangements / agreements prescribe Rules of
Origin which have to be met for exports to be eligible for tariff
preference.
Authorised agencies shall provide services relating to issue of CoO,
including details regarding rules of origin, list of items covered by an
agreement, extent of tariff preference, verification and certification
of eligibility. Export Inspection Council (EIC) is the agency authorised
to print blank certificates. Authorised agencies may charge a fee, as
approved by DoC, for services rendered. |
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Generalised System
of Preferences (GSP) |
|
(a) GSP is a non-contractual instrument by
which industrialized (developed) countries unilaterally and based on
non-reciprocity extend tariff concessions to developing countries.
Following countries extend tariff preferences under their GSP Scheme:
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| (i) United States |
(ii) New Zealand |
(iii) Belarus |
| (iv) European Union, |
(v) Japan |
(vi) Russia |
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| (vii) Canada |
(viii) Norway |
(ix) Australia (only to LDCs) |
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| (x) Switzerland |
(xi) Bulgaria |
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GSP schemes of these countries detail sectors / products and tariff
lines under which benefits are available, including conditions and
procedures governing benefits.
These schemes are renewed and modified from time to time. Normally
Customs of GSP offering countries require information in Form ‘A’
(prescribed for GSP Rules Of Origin) duly filled by exporters of
beneficiary countries and certified by authorised agencies. List of
agencies authorised to issue GSP CoO is given in Appendix-4A. |
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Global System of
Trade Preference (GSTP) |
|
(b) Under agreement establishing GSTP, tariff
concessions are exchanged among developing countries, who have signed
agreement. Presently, 46 countries are members of GSTP and India has
exchanged tariff concessions with 12 countries on a limited number of
products. EIC
is sole agency authorised to issue CoO under GSTP. |
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SAARC Preferential
Trading Agreement (SAPTA) |
|
(c) SAPTA was signed by seven SAARC members
namely India, Pakistan, Nepal, Bhutan, Bangladesh, Sri Lanka and
Maldives in 1993 and came into operation in 1995.
Four rounds of trade negotiations have been completed and more than 3000
tariff lines are under tariff concessions among SAARC countries. List of
agencies, authorised to issue CoO under SAPTA are notified under
Appendix – 4B. |
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Asia-Pacific
Trade Agreement (APTA) |
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(d) APTA is a preferential trading arrangement
designed to liberalise and expand trade in goods progressively in
Economic and Social Commission for Asia and Pacific (ESCAP) region
through liberalization of tariff and nontariff barriers. At present,
Bangladesh, Sri Lanka, South Korea, India and China are exchanging
tariff concessions under APTA. Agencies authorised to issue CoO under
APTA are listed in Appendix – 4B. |
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India-Sri Lanka
Free Trade Agreement (ISLFTA) |
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(e) Free Trade Agreement (FTA) between India
and Sri Lanka was signed on 20.12.1998 and was operationalised in March,
2000 following notification of required Customs tariff concessions by
Government of Sri Lanka and India. EIC is sole agency to issue CoO under
ISLFTA. |
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India-Afghanistan
Preferential Trade Agreement |
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(f) A Preferential Trade Agreement between Transitional Islamic
State of Afghanistan and Republic of India was signed on 6.3.2003 and
was operationalised with issuance of Customs Notification No 76/2003
dated 13.5.2003. EIC is sole agency to issue CoO under India
Afghanistan Preferential Trade Agreement. |
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Indo-Thailand
Framework Agreement
for Free Trade Area |
|
(g) India and Thailand have signed protocol to
implement Early Harvest Scheme under India- Thailand Free Trade
Agreement on 01.09.2004.Tariff preferences for imports on items of Early
Harvest Scheme would be available only to those products, which satisfy
Rules of
Origin Criteria, notified by Department of Revenue, Ministry of Finance,
vide notification No.101/2004- Customs dated 31.08.2004. EIC would be
sole agency to issue CoO under Early Harvest Scheme of Framework
Agreement on India-Thailand Free Trade Agreement. |
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| Non Preferential |
2.21.2 |
Government has also nominated certain agencies
to issue Non
Preferential CoO in accordance with Article II of International
Convention Relating to Simplification of Customs formalities,
1923. These CoOs evidence origin of goods and do not
bestow any right to preferential tariffs. List of notified agencies
is provided in Appendix – 4C. In addition, agencies authorized
to issue Preferential CoO as per Para 2.21.1 of HBP v1 are
also authorized to issue Non-Preferential CoO.
All exporters who are required to submit CoO (Non
Preferential) would have to apply to any of agencies enlisted
in Appendix–4C with following documents:
(a) Details of quantum / origin of inputs / consumables used
in export product.
(b) Two copies of invoices.
(c) Packing list in duplicate for concerned invoice.
(d) Fee not exceeding Rs.100 per certificate as may be
prescribed by concerned agency.
The agency would ensure that goods are of Indian origin as
per general principles governing rules of origin before granting
CoO (non preferential). Certificate would be issued as per
Format given in Annexure-II to Appendix–4C. It should be
ensured that no correction/re-type is made on certificate.
Any agency desirous of enlistment in Appendix–4C may submit
their application as per Annexure I to Appendix 4C to the
concerned RA.
In case of tea, all exporters who are required to submit
CoO (Non-Preferential) shall apply to Tea Board or any
Inspection Agency authorized by Tea Board and enlisted in
Appendix-4C of HBP v1 with documents listed above. |
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AAutomatic Licence /
Certificate /
Authorisation /
Permission |
2.22 |
Status holders shall be issued
Authorisation automatically within stipulated time period. Deficiency,
if any, informed through covering letter, shall be required to be
rectified by
status holders within 10 days from date of communication of deficiency. |
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Submission of
certified copies
of documents |
2.23 |
Wherever original documents have been submitted to a different RA /
nominated agencies or to a different division of same RA, applicant can
furnish photocopy of documents duly certified by him in lieu of
original. |
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| Advance Payment |
2.24 |
In case, payment is received in advance and
export / deemed exports takes place subsequently, application for an
Authorisation shall be filed within specific period following the month
during which exports / deemed exports are made, unless otherwise
specified. |
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| Payment through ECGC cover |
2.25.1 |
Payment through ECGC cover would count for benefits under FTP. |
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Payment through
General /Private Insurance
Companies |
2.25.2 |
Amount of Insurance Cover for transit loss by General Insurance and
Private Approved Insurance Companies in India would be treated as
payment realized for exports under various export promotion schemes. |
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Irrevocable
Letter of Credit |
2.25.3 |
In case where applicant applies for duty credit scrip / DEPB / DFIA
/ discharge of EO against confirmed irrevocable letter of credit (or
bill of exchange which is unconditionally
Avalised / Co-Accepted / Guaranteed by a bank) and this is confirmed and
certified by exporter’s bank in relevant Bank Certificate of Export and
Realization, payment of export
proceeds shall be deemed to be realized. For Status Holders,irrevocable
letter of credit would suffice. |
RBI write-off
on export proceeds
realization |
2.25.4 |
Realization of export proceeds shall not be
insisted under any of the Export Promotion Schemes under this Foreign
Trade Policy, if the Reserve Bank of India (RBI) writes off the
requirement of realization of export proceeds on merits and the exporter
produces a certificate from the concerned Foreign Mission of India about
the fact of non-recovery of
export proceeds from the buyer. However, this would not be applicable in
self-write off cases. |
| Export by Post |
2.26 |
In case of export by post, exporter shall
submit following documents in lieu of documents prescribed for export by
sea / air:
1) Bank Certificate of Export and Realisation as in
Appendix-22A.
2) Relevant postal receipt
3) Invoice duly attested by Customs authorities. |
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Import/ Export
through Courier
Service |
2.26.1 |
Imports / Exports through a registered courier
service is permitted as per Notification issued by DoR. However,
importability / exportability of such items shall be regulated in
accordance with FTP. |
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Direct negotiation
of export documents |
2.26.2 |
In cases where exporter directly negotiates
document (not through authorised dealer) with permission of RBI, he is
required to submit following documents for availing of benefits under
export promotion schemes:
a. Permission from RBI allowing direct negotiation of documents (not
required for status holders),
b. Copy of Foreign Inward Remittance Certificate (FIRC) as per Form 10-H
of Income Tax department in lieu of BRC and
c. Statement giving details of shipping bills / invoice against
which FIRC was issued.
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Import/Export
of Samples |
2.27 |
No Authorisation shall be required for Import
of bonafide technical and trade samples of items restricted in ITC(HS)
except vegetable seeds, bees and new drugs . Samples of tea not
exceeding Rs.2000 (CIF) in one consignment shall be allowed without an
Authorisation by any person connected with Tea industry.
Duty free import of samples upto Rs. 3,00,000 for all exporters shall be
allowed as per terms and conditions of Customs Notification.
Vide
DGFT PUBLIC NOTICE No.17/(RE 2010)/2009-14 Date 06-12-2010
[Old]
Duty free import of samples upto Rs 100,000 for all exporters
(Rs.300,000 for gems and jewellery sector) shall be allowed as per terms
and conditions of Customs notification. Exports of bonafide trade and
technical samples of freely exportable item shall be allowed without any
limit. |
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Exports of bonafide trade and technical samples
of freely exportable item shall be allowed without any limit. |
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Import under
Lease Financing |
2.28 |
Import under lease financing shall be available under EPCG Scheme,
EOU / SEZ scheme. Domestic supplier of capital goods to eligible
categories of deemed exports shall be eligible for benefits of deemed
exports as in paragraph 8.3 of FTP, even in cases where supplies are
under lease financing. |
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Exhibits Required
for National and
International
Exhibitions or Fairs
and Demonstration |
2.29 |
Import / export of exhibits, including
construction and decorative materials required for the temporary stands
of foreign / Indian exhibitors at exhibitions, fair or similar show or
display for a period of six months on re-export / re-import basis, shall
be allowed without an Authorisation on submission of a certificate from
an officer of a rank not below that of an Under Secretary
/ Deputy DGFT in DoC / DGFT or an officer of Indian Trade Promotion
Organization (ITPO) duly authorised by its Chairman in this behalf, to
effect that such exhibition, fair or similar show or display. (i) has
been approved or sponsored by DoC or ITPO; and
(ii) is being held in public interest. Extension beyond six months for
re-export / re-import will be considered by Customs authorities on
merits. Consumables such as paints, printed material, pamphlets,
literature etc.
pertaining to exhibits need not be re-exported / re-imported. |
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| Import Policy |
2.30 |
Policy relating to general provisions regarding import of capital
goods, raw materials, intermediates, components, consumables, spares,
parts, accessories, instruments and other
goods is given in Chapter 2 of FTP. |
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General Procedure
for Licensing of
Restricted Goods |
2.31 |
Wherever an import Authorisation, including CCP, is required under
FTP, procedure contained in this chapter shall be applicable. |
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2.32 |
Import of Metallic Waste and Scrap |
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2.32.1 |
Import of any form of metallic waste, scrap will be subject to the
condition that it will not contain hazardous, toxic waste, radioactive
contaminated waste / scrap containing radioactive material, any type of
arms, ammunition, mines, shells, live or used cartridge or any other
explosive material in any form either used or otherwise. |
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2.32.2 |
Import of following types of metallic waste and scrap will be free
subject to conditions detailed below: |
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| Sl.No. |
Exim code |
Item description |
| 1 |
720410 00 |
waste and scrap of cast iron |
| 2 |
72042190 |
Other |
| 3 |
72042920 |
Of High speed steel |
| 4 |
72042990 |
Other |
| 5 |
72043000 |
Waste and scrap of tinned iron or steel |
| 6 |
72044100 |
Turnings, shavings, chips, milling waste, saw dust,
fillings, trimmings and stampings, whether or not in bundles |
| 7 |
72044900
|
Other |
| 8 |
72045000 |
Remolding scrap ingots |
| 9 |
74040010 |
Copper Scrap |
| 10 |
74040022
|
Brass scrap |
| 11 |
75030010 |
Nickel scrap |
| 12 |
76020010 |
Aluminium scrap |
| 13 |
79020010 |
Zinc scrap |
| 14 |
80020010 |
Tin scrap |
| 15 |
81042010 |
Magnesium scrap |
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Shredded Form:
Import of metallic waste and
scrap listed above in shredded form shall be permitted through all ports
of India subject to following conditions: -
a. Importer shall furnish the following documents to the customs at the
time of clearance of goods:
I) Pre-shipment inspection certificate as per the format in Annexure-I
to Appendix 5, from any of the Inspection & Certification agencies given
in Appendix-5, to the effect that the consignment was checked for
radiation level and scrap does not contain radiation level (gamma and
neutron) in excess of natural background. The certificate shall give the
value of background radiation level at that place as also the maximum
radiation level on the scrap; and
II) Copy of the contract between the importer and the exporter
stipulating that the consignment does not contain any radioactive
contaminated material in any form.
Import from Hodaideh, Yemen and Bandar Abbas, Iran will be in shredded
form only. |
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Unshredded compressed and loose form:
Import of metallic waste, scrap listed in para 2.32.2 above in
unshredded compressed and loose form shall be subject to following
conditions:-
a. Importer shall furnish the following documents to the Customs at the
time of clearance of goods:
I) Pre-shipment inspection certificate as per the format in Annexure-I
to Appendix 5 from any Inspection &
Certification agencies given in Appendix-5 to the effect that:
i) The consignment does not contain any type of arms, ammunition,
mines, shells, cartridges or any other explosive material in any form
either used or otherwise, and that the consignment was checked for
radiation level and it does not contain radiation level (gamma and
neutron) in excess of natural background. The certificate shall give the
value of background radiation level at that place as also the maximum
radiation level on the scrap.
ii) The imported item is actually a metallic
waste/scrap/seconds/defective as per the internationally accepted
parameters for such a classification.
II) Copy of the contract between the importer and the exporter
stipulating that the consignment does not contain any type of arms,
ammunition, mines, shells, cartridges radioactive contaminated, or any
other explosive material in any form either used or otherwise.
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b Import of scrap would take place only through
following designated ports and no exceptions would
be allowed even in case of EOUs, SEZs:-
“1.Chennai, 2.Cochin, 3.Ennore, 4.JNPT, 5.Kandla,
6.Mormugao, 7.Mumbai, 8.New Mangalore, 9.Paradip,10.Tuticorin,
11.Vishakhapatnam, 12. ICD Loni,Ghaziabad, 13.Pipava, 14.Mundra,
15.Kolkata, 16.ICD Ludhiana, 17.ICD Dadri (Greater Noida), 18.ICD Nagpur,
19.ICD Jodhpur, 20.ICD Jaipur, 21.ICD Udaipur, 22.CFS Mulund, 23.ICD
Kanpur, 24.ICD Ahmedabad, 25.ICD Pitampur and 26.ICD Malanpur”.
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2.32.2.A |
In case any agency wishes to be enlisted under Appendix-5, they may
furnish an application to the office of Director General of Foreign
Trade with the following documents in the format in Appendix-5-A, which
will be considered by an Inter-Ministerial Committee.
(a) A brief on the activities of the agency, its history, membership,
organisational structure, manpower, etc.
(b) Infrastructural setup, logistics, testing labs etc. for carrying out
the inspection of metallic scrap.
(c) List of companies / agencies for which testing has been carried out. |
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2.32.3 |
However, import of other kinds of metallic waste and scrap will be
allowed in terms of conditions of ITC(HS). |
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2.32.4 |
Import policy for second and defective, rags, PET bottles / waste, and
ships is given in ITC (HS). |
Import of
Second Hand
Capital Goods |
2.33 |
Import of second hand capital goods including refurbished /
reconditioned spares, except those of personal computers / laptops,
shall be allowed freely, subject to conditions for
following categories:
Import of second hand computers including personal computers / laptops
and refurbished/reconditioned spares thereof is restricted.
Import of refurbished / reconditioned spares of capital goods,other than
those of personal computers/laptops will be allowed on production of a
Chartered Engineer certificate that such spares have atleast 80%
residual life of original spare. |
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2.33A |
Customs or any other Central or State Government authority may avail of
services of Inspection and Certification Agencies in Appendix 5 of the
HBP v1, for certifying residual life as well as valuation / purchase
price of capital goods. |
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Import of
Ammunition by
Licensed Arms Dealers |
2.34 |
Import of following types of ammunition are allowed against
an Authorisation by licensed arms dealers subject to conditions
as may be specified:
(i) Shotgun Cartridges 28 bore;
(ii) Revolver Cartridges of .450, .455 and .45 bores;
(iii) Pistol Cartridges of .25, .30 Mauser, .450 and .45
bores;
(iv) Rifle Cartridges of 6.5 mm, .22 savage, .22 Hornet,
300 Sherwood, 32/40, .256, .275, .280, 7m/m Mauser,
7 m/m Man Schoener, 9m/m Mauser, 9 m/m Man
Schoener, 8x57, 8x57S, 9.3 m/m, 9.5 m/m, .375
Magnum, .405, .30.06, .270, .30/30 Winch, .318, .33
Winch,.275 Mag., .350 Mag., 400/350, .369 Purdey,
.450/400, .470, .32 Win, .458 Win, .380 Rook, .220
Swift and .44 Win. bores.
An import Authorisation shall be issued at 5% of value of annual
average sales turnover of ammunition (whether indigenous or
imported) during preceding three licensing years subject to a
minimum of Rs. 2000.
An application for grant of an Authorisation for items listed
above may be made to RA in ANF 2B along with documents
prescribed therein. |
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Restricted Items
Required By Hotels,
Restaurants, Travel
Agents, Tour Operators
and other Specified
Categories |
2.35 |
Items mentioned as restricted for imports in ITC (HS) required
by hotels, restaurants, travel agents and tour operators may
be allowed against an Authorisation, based on recommendation
of Director General, Tourism, Government of India. |
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2.35.1 |
Hotels, including tourist hotels, recognised by Director General
of Tourism, Government of India or a State Government shall
be entitled to import Authorisation upto a value of 25% of
foreign exchange earned by them from foreign tourists during
preceding licensing year, for import of essential goods related
to hotel and tourism industry. |
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2.35.2 |
Travel agents, tour operators, restaurants, and tourist transport
operators and other units for tourism, like adventure / wildlife
and convention units, recognized by Director General of
Tourism, Government of India, shall be entitled to import
authorisation up to a value of 10% of foreign exchange earned
by them during preceding licensing year, for import of essential
goods which are restricted for imports related to travel and
tourism industry, including office and other equipment required
for their own professional use. |
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2.35.3 |
Import entitlement under paragraphs 2.35.1 and 2.35.2 of any
one licensing year can be carried forward, either in full or in
part, and added to import entitlement of two succeeding
licensing years and shall not be transferable except within the
group company or to managed hotels. |
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2.35.4 |
Such imported goods may be transferred after 2 years with
permission of DGFT.
No permission for transfer will be required in case the imported
goods are re-exported. However, re-export shall be subject
to all conditionality, or requirement of licence, or permission,
as may be required under Schedule II of ITC (HS). |
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2.35.5 |
An application for grant of an Authorisation under paragraphs
2.35.1 and 2.35.2 may be made in ANF 2B to DGFT through
Director of Tourism, Government of India who will forward
application to RA concerned along with their recommendations. |
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No permission for transfer will be required in case the imported goods
are re-exported. However, re-export shall be subject to all
conditionality, or requirement of licence, or permission, as may be
required under Schedule II of ITC (HS). |
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Import of Other
Restricted Items |
2.36 |
ITC (HS) contains list of restricted items. An application for
import of such items may be made, in ANF 2B along with
documents prescribed therein. Original application along with
Treasury Receipt (TR) / Demand Draft shall be submitted to
RA concerned and self-attested copy of same shall be
submitted to DGFT in duplicate along with proof of submission
of application to concerned RA. |
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EXIM Facilitation
Committee |
2.37 |
Restricted item Authorisation may be granted by DGFT or Committee any
other RA authorised by him in this behalf. DGFT / RA may take assistance
and advice of a Facilitation Committee.
The Assistance of technical authorities may also be taken by seeking
their comments in writing. Facilitation Committee will consist of
representatives of Technical Authorities and
Departments / Ministries concerned. |
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2.37A |
Import authorizations for a restricted item, if so directed by the
competent authority, shall be issued for import through one of the sea
ports or air ports or ICDs or LCS, as per the option indicated, in
writing, by the applicant. However, for import of rough marble, port of
registration is mandatory and the applicant must indicate the same in
the application itself.
Authorization holder shall register the import authorisation at the port
specified in the Authorization and thereafter all imports against said
authorization shall be made only through that port, unless the
authorization holder obtains permission from customs authority concerned
to import through any other specified port. |
| Gifts of Consumer or Other Goods |
2.38 |
In terms of provisions contained in paragraph 2.19 of FTP, an
application for grant of CCP for import as gifts of items
appearing as restricted for imports in ITC (HS) shall be made
to the DGFT as in ANF 2B along with documents prescribed
therein. Where recipient of a gift is a charitable, religious or an
educational institution registered under any law in force, and
gift sought to be imported has been exempted from payment
of customs duty, such import shall be allowed by customs
authorities without a CCP. |
Import under Govt.
to Govt. Agreements |
2.39 |
Import of goods under Government to Government agreements
may be allowed without an Authorisation or CCP on production
of necessary evidence to satisfaction of Customs authorities.
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Import of Cheque
Books / Ticket Forms etc. |
2.40 |
Indian branches of foreign banks, insurance companies and
travel agencies may import chequebooks, bank draft forms
and travellers cheque forms without a CCP. Similarly, airlines/
shipping companies operating in India, including persons
authorised by such airlines / shipping companies, may import
passenger ticket forms without a CCP. |
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Import of
Reconditioned/ Second Hand
Aircraft Spares |
2.41 |
Import Authorisation for reconditioned / second hand aircraft
spares is not needed on recommendation of Director General
of Civil Aviation, Government of India (DGCA). |
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Import of
Reconditioned/ Second Hand
Aircraft Spares |
2.42 |
Import Authorisation for reconditioned / second hand aircraft
spares is not needed on recommendation of Director General
of Civil Aviation, Government of India (DGCA).
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Import of
Replacement Goods |
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Goods or parts thereof on being imported and found defective
or otherwise unfit for use or which have been damaged after
import, may be exported without an Authorisation, and goods |
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in replacement thereof may be supplied free of charge by foreign
suppliers or imported against a marine insurance or marinecum-
erection insurance claim settled by an insurance company.
Such goods shall be allowed clearance by the customs
authorities without an import Authorisation provided that:
(a) Shipment of replacement goods is made within 24
months from date of clearance of previously imported
goods through Customs or within guarantee period in
case of machines or parts thereof where such period is
more than 24 months; and
(b) No remittance shall be allowed except for payment of
insurance and freight charges where replacement of
goods by foreign suppliers is subject to payment of
insurance and / or freight by importer and documentary
evidence to this effect is produced while making
remittance. |
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2.42.1 |
In case of short-shipment, short-landing or loss in transit, import
of replacement goods will be permitted based on certificate
issued by customs authorities without an import Authorisation.
This procedure shall also apply to cases in which short-shipment
of goods is certified by foreign supplier, who has agreed to
replace free of cost.. |
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This procedure shall also apply to cases in which short-shipment of
goods is certified by foreign supplier, who has agreed to replace free
of cost. |
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2.42.2 |
Cases not covered by above provisions will be considered on
merits by DGFT for grant of Authorisation for replacement of
goods for which an application may be made. |
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Transfer of
Imported Goods |
2.43 |
Freely importable goods can be transferred by sale or
otherwise by importer freely. Transfer of imported goods, which
are subject to Actual User condition and have become surplus
to needs of Actual User, shall be made only with prior permission
of RA concerned.
Following information alongwith supporting documents shall
be furnished with request for grant of permission for transfer,
to RA concerned:
(i) Reasons for transfer of imported material;
(ii) Name, address, IEC number and industrial Authorisation
registration, if any, of transferee;
(iii) Description, quantity and value of goods imported and
those sought to be transferred;
(iv) Copies of import Authorisation and bills of entry relating
to imports made;
(v) Terms and conditions of transfer as agreed upon
between buyer and seller.
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2.43.1 |
Prior permission of RA shall not, however, be necessary for
transfer or disposal of goods, which were imported with Actual
User condition, provided such goods are freely importable
without Actual User condition on date of transfer. |
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2.43.2 |
Prior permission of RA shall also not be required for transfer
or disposal of imported goods after a period of two years
from the date of import. However, transfer of imported firearms
by the importer / Authorisation holder shall be permitted only
after 10 years of import with approval of DGFT.
“Renowned Shooters” for 3 consecutive years are allowed to
sell their imported weapons after three years from date of import
of the respective weapon. Other “Renowned Shooters” are
allowed to sell their weapons after 5 years from the date of
import. The sale shall be subject to approval from DGFT. |
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| Sale of Exhibits |
2.44 |
(i) Sale of exhibits of restricted items, mentioned in
ITC (HS), imported for an international exhibition / fair
organized / approved / sponsored by ITPO may also
be made, without an Authorisation within bond period
allowed for re-export, on payment of applicable
customs duties, subject to a ceiling limit of Rs.5 lakhs
(CIF) for such exhibits for each exhibitor.
However, sale of exhibits of items, which were freely
imported shall be made, without an Authorisation, within
bond period allowed for re-export on payment of
applicable customs duties.
(ii) If goods brought for exhibition are not re-exported or
sold within bond period due to circumstances beyond
control of importer, customs authorities may allow
extension of bond period on merits. |
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Import of Overseas
Office Equipment |
2.45 |
On winding up of overseas offices, set up with approval of
RBI, used office equipment and other items may be imported
without Authorisation. |
| Prototypes |
2.46 |
Import of new / second hand prototypes / second hand samples
may be allowed on payment of duty without an Authorisation
to an Actual User (industrial) engaged in production of or having
industrial licence / letter of intent for research in item for which
prototype is sought for product development or research, as
the case may be, upon a self-declaration to that effect, to
satisfaction of customs authorities. |
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Restricted items
for R&D |
2.47 |
All restricted items and items permitted to be imported by
STEs, except live animals, required for R&D purpose may be
imported without an Authorisation by Government recognized
Research and Development units. |
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| Export Policy |
2.48 |
Policy relating to Exports is given in Chapter-2 of FTP. Further,
Schedule 2, Appendix-1 of ITC (HS) specifies list of items,
which may be exported without an Authorisation but subject
to terms and conditions specified. |
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Application for
Grant of Export Licence/
Certificate / Permission |
2.49 |
An application for grant of Export Authorisation in respect of
items mentioned in Schedule 2 of ITC (HS) may be made in
ANF 2D (2E for SCOMET items) to DGFT along with
documents prescribed therein. EFC shall consider applications
on merits for issue of export Authorisation.
An Inter-Ministerial Working Group in DGFT shall consider
applications for export of Special Chemicals, Organisms,
Materials, Equipment and Technologies (SCOMET) as
specified in Appendix-3 to Schedule 2 of ITC (HS) based on
guidelines given below.
Applications for licences to export items or technology on
SCOMET List are considered case-by-case, based inter alia
on the following general criteria:
I. Following factors, among others, are taken into account
in the evaluation of applications for export of items on
SCOMET List:
a. Credentials of end-user, credibility of declarations of end-use of
the item or technology, integrity of chain of transmission of item from
supplier to end-user, and on potential of item or technology, including
timing of its export, to contribute to end-uses that are not in
conformity with India’s national security or foreign policy
goals and objectives, objectives of global nonproliferation,
or its obligations under treaties to which it is a State party.
b. Assessed risk that exported items will fall into hands of terrorists,
terrorist groups, and non-State actors;
c. Export control measures instituted by recipient State;
d. The capabilities and objectives of programmes of recipient State
relating to weapons and their delivery;
e. Assessment of end-uses of item(s);
f. Applicability to an export licence application of relevant bilateral
or multilateral agreements to which India is a party.
A condition for consideration of an application for an export licence is
submission of stipulated certifications to effect, inter alia, that:
a. The item will be used only for stated purpose and that such use will
not be changed, nor items modified or replicated without consent of
Government of India;
b. Neither the items nor replicas nor derivatives thereof will be
re-transferred without consent of Government of India;
c. End-user shall facilitate such verifications as are required by
Government of India.Government of India may also require additional
formal assurances, as appropriate, including on end-use
and non-retransfer, from State of recipient.
III. Licensing authority for items in Category 0 in Appendix
3 to Schedule 2 of ITC(HS) is Department of Atomic Energy. Applicable
guidelines are notified by that Department under Atomic Energy Act,
1962. For certain items in Category 0, formal assurances from recipient
State will include non-use in any nuclear
explosive device. Licences for export of certain items in Category 0
will not be granted unless transfer is additionally under adequate
physical protection and is covered by appropriate International Atomic
Energy Agency (IAEA) safeguards, or any other mutually
agreed controls on transferred items.
IV. Additional end-use conditions may be stipulated in licences for
export of items or technology that bear possibility of diversion to or
use in development or manufacture of, or use as, systems capable of
delivery of weapons of mass destruction.
V. Applications for transfer of “Technology” for any item
on the List will be considered as an application for export of item
itself.
VI. Licences for export of items in this List (other than those
under Category 0, 1 and 2) solely for purposes of display or exhibition
shall not require any end-use or end-user certifications. No export
licence for display or exhibition shall be issued for ‘Technology’ in
any category or for items under Categories 0, 1, and 2. Export of items
not on SCOMET List may also be
regulated under provisions of the Weapons of Mass Destruction and their
Delivery Systems (Prohibition of Unlawful Activities) Act, 2005.
Note 1: Export or attempt to export in violation of any
of conditions of licence shall invite civil and/or criminal
prosecution.
Note 2: Licences for export of items in this List for
display or exhibition abroad are subject to a condition
of re-import within a period not exceeding six months.
Exporters are entitled to apply for an export licence for
such items exhibited abroad if exhibitor intends to offer
that item for sale during exhibition abroad. Such sale
shall not take place without a valid licence.
Note 3: Export of items in Category 2 of this list may
also be controlled by other applicable guidelines issued
from time-to-time. Exporters of items in this category
are advised to seek guidance from DGFT.
Note 4: Exporters are entitled to apply for a ‘destination
licence’ for countries and / or groupings of countries for export to
which only re-transfer conditions need be imposed.
Note 5: Exporters are entitled to request that only such
conditions need be imposed as are subject of government-to-government
instruments of accord over export of items on SCOMET List.
Note 6: ‘Technology’ (see also entry ‘Technology’ in glossary in
Appendix-3 to Schedule 2 of ITC (HS)): Approval of export of an item on
the SCOMET List also authorizes the export to same end-user of minimum
‘technology’ required for installation, operation, maintenance and
repair of the item. DGFT in association with Administrative Ministries /
Departments and Trade Associations will organize Industry Outreach
Programme on regular basis for an effective awareness among the
exporters /importers dealing with trade, in particular, in SCOMET items.
RAs may also issue, on application, Free Sale and Commerce Certificate
for export of items not covered under Drugs & Cosmetics Act, 1940, which
have usage in hospitals, nursing homes and clinics, for medical and
surgical purposes and are not prohibited for export. Validity of such
certificate shall be two years from date of issue unless otherwise
specified.
An application for grant of Free Sale and Commerce Certificate may be
made to RA concerned as per format in Appendix 39 of HBP Vol.I, along
with Annexure A therein.
RA shall issue Free Sale and Commerce Certificate as per
Annexure B of Appendix 39.
PROCEDURE/GUIDELINES FOR FILING/
EVALUATION OF APPLICATIONS FOR
ENTERING INTO AN ARRANGEMENT OR
UNDERSTANDING FOR SITE VISITS, ON-SITE
VERIFICATION AND ACCESS TO RECORDS /
DOCUMENTATION
An application for entering into an arrangement or
understanding involving site visit, on-site verification or access to
records/documentation by a foreign government or a foreign third party
either acting directly or through an Indian
party as mentioned in Appendix 3 of Schedule 2 of ITC(HS) shall be made
in ANF 2EE to DGFT(Hqrs.), New Delhi along with documents prescribed
therein.
These applications shall be considered by an Inter-Ministerial Working
Group (IMWG) in DGFT based on following guidelines/general criteria:
I. Following factors, among others, will be taken into account in the
evaluation of applications for entering into an arrangement or
understanding for site visits, on-site verification and access to
records/documentation:
(a) Purpose for which arrangement / understanding is proposed under
which site visit or on-site
verification or access to records/documentation is to be undertaken.
(b) Credentials and details of the parties involved.
(c) Credentials of end-user, credibility of declarations of end-use of
the items or technology, the integrity of chain of transmission of the
item from the supplier to the end-user, and on the potential of the item
or technology, including the timing of its export, to contribute to
end-uses that are not in conformity with India’s national security or
foreign policy goals and objectives, the objectives of global
nonproliferation,
or its obligations under treaties to which it is a State party.
(d) The assessed risk that the arrangement / understanding could lead to
dual-use items and
technology falling into the hands of terrorists, terrorist groups and
non-State actors.
(e) In case site visit, on-site verification or access to
records/documentation is to be carried out by a foreign government or
its representative(s), the
following shall be taken into consideration :-
i. Export control measures instituted by the foreign government;
ii. Capabilities and objectives of programs of the foreign government
relating to weapons and their delivery.
(f) Applicability of relevant bilateral and multilateral agreements to
which India is a party
(g) Assessment of any threat that such site visit, on-site verification
or access to records/documentation may pose to India’s national
security, and relations with
any other country.
(h) Assessment of possible links of the foreign parties with terrorist
organizations and non-state actors within their own country or in any
other country.
II. Permission for arrangement or understanding involving site visit,
on-site verification or access to records / documentation will be
subject to the following
conditions:-
(a) Site visit, on-site verification or access to records /documentation
will be confined to the purpose, sites and activity for which permission
given/which have been mentioned in the authorization.
(b) Site visit, on-site verification or access to records /
documentation will be allowed only to individuals mentioned in the
authorization.
(c) Site visit, on-site verification or access to records/documentation
shall be concluded during the period mentioned in the authorization.
(d) Exporter/Importer will keep a record of site visit, on
site verification or access to records/documentation alongwith detail of
individuals who visited the premises during this visit and produce the
same as and when required to do so by the GOI.
(e) No exchange of goods, services and technologies and any
documentation including drawings, specification sheets etc. will take
place during the visit.
(f) Exporter/importer may be required to give any additional assurance
that the Government of India may require.
(g) Any other condition that may be stipulated in the permission.
III. Provisions of Weapons of Mass Destruction Act, 2005 shall also
apply to an arrangement or understanding that involves site visit,
on-site verification or access to
records/documentation.
IV. Any violation of any condition of the license shall invite civil/
criminal prosecution as per law.”
RAs may also issue, on application, Free Sale and Commerce Certificate
for export of items not covered under Drugs & Cosmetics Act, 1940, which
have usage in hospitals, nursing
homes and clinics, for medical and surgical purposes and are not
prohibited for export. Validity of such certificate shall be two years
from date of issue unless otherwise specified.
An application for grant of Free Sale and Commerce Certificate may be
made to RA concerned as per format in Appendix 39 of HBPVol.1, along
with Annexure A therein.
RA shall issue Free Sale and Commerce Certificate as per Annexure B of
Appendix 39.
RAs may also issue, on application, Free Sale and Commerce Certificate
for export of any other item which is not restricted or prohibited for
export. Validity of such certificate shall be two year from date of
issue unless otherwise specified.
An application for grant of Free Sale and Commerce Certificate for these
items may be made to RA concerned as per format in Appendix 39-A of HBP
Vol. I along with
Annexure A therein.
RA shall issue Free Sale and Commerce Certificate as per Annexure B of
Appendix 39-A.
|
Export of Items
under State Trading Regime
(STR) |
2.50 |
An application for export of items mentioned in ITC (HS) under
STR regime may be made to DGFT. |
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|
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Exports of
Samples / Exhibits |
2.51 |
An application for export of samples or exhibits, which are restricted
for export, may be made to DGFT.
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| Free of Cost Exports |
2.52. |
Status holders shall be entitled to export freely exportable items
on free of cost basis for export promotion subject to an annual
limit of Rs.10 lakh or 2% of average annual export realisation
during preceding three licensing years whichever is higher. |
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|
Gifts / Spares /
Replacement Goods |
2.53 |
For export of gifts, indigenous / imported warranty spares and
replacement goods in excess of ceiling / period prescribed in paragraphs
2.32, 2.33 and 2.37 respectively of FTP, an application may be made to
DGFT. |
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|
|
Furnishing of
Returns in respect
of Exports in
non Physical form |
2.54 |
All exports made in non physical form by using communication
links including high speed data communication links, internet,
telephone line or any other channel which do not involve
Customs authorities has to be compulsorily reported on
quarterly basis to concerned EPC (Para 3.12 of FTP) as given
in Appendix 19C.
These provisions shall be applicable to all exporting units
located anywhere in country including those located in STP,
SEZ, EHTP and under 100% EOU scheme. |
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|
|
Duty Free Import of
R&D Equipment for
Pharmaceuticals and
Bio-technology Sector |
2.55 |
Duty free import of goods (as specified in list 28 of Customs
notification No.21/2002 dated 1.3.2002, as amended from
time to time) upto 25% of FOB value of exports during
preceding licensing year, shall be allowed.
The eligible unit may furnish an application given in Appendix-
15A to RA concerned duly countersigned by Chartered
Accountant.
In respect of duty free import of R&D equipment, units not
registered with Central excise shall be allowed to give
Installation Certificate issued by an independent Chartered
Engineer. |
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|
2.55.1 |
Duty free imports of goods as specified in list 28A of Customs
notification No. 21/2002 dated 1.3.2002, upto 1% of FOB
value of exports made during preceding licensing year, shall
be allowed to agro chemicals sector unit having export turnover
of Rs. 20 crore or above during preceding licensing year.
The eligible unit shall apply in form given in Appendix-15B to
RA concerned duly countersigned by Chartered Accountant.
In respect of duty free import of R&D equipment, units not
registered with Central excise shall be allowed to give
Installation Certificate issued by an independent Chartered
Engineer. |
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|
|
Conversion of E.P.
copy of shipping bill
from one Scheme
To Another |
2.56 |
If Customs Authorities, after recording reasons in writing,
permit conversion of an E.P. copy of any scheme-shipping
bill on which benefit of that scheme has not been availed,
exporter would be entitled to benefit under scheme in which
shipment is subsequently converted. |
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Offsetting of
Export Proceeds |
2.57 |
Subject to specific approval of RBI, any payables, or equity
investment made by an Autorisation holder under any export
promotion scheme, can be used to offset receipts of his export
proceeds. In such cases, offsetting would be equal to realisation
of export proceeds and exporter would have to submit
following additional documents:
a) Appendix-22D in lieu of Bank Realisation Certificate.
b) Specific permission of RBI. |
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| Quality Certification |
2.58 |
It has been a constant endeavor to promote quality standards
in export product / units manufacturing export product. |
|
2.58.1 |
One of salient features incorporated in FTP as per paragraph
3.10.3 for promotion of quality standards is grant of Export /
Trading House status on achievement of a lower threshold limit
for units having ISO-9000 (series), ISO-14000 (Series) or
HACCP certification or WHOGMP or SEI CMM level-2 &
above status / certification. |
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|
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|
2.58.2 |
List of such agencies authorised to grant quality certification is
given in Appendix-6.
For ISO 9000 (Series) and for ISO 14000 (Series), the Agencies
accredited with National Accreditation Board for Certification
Bodies (NABCB) under Quality Council of India shall be deemed
to be authorized under this Policy. List of such accredited
agencies is available on the web site www.qcin.org and also
provided under Appendix 6.
Any agency desirous of enlistment in Appendix –6 may submit
their application as per Annexure I to Appendix 6 to concerned
RA. |
Procedure for import
under the
Tariff Rate Quota Scheme |
2.59 |
In view of Customs Notification No. 128/2010-Customs dated 22.12.2010,
to allow import of Natural Rubber under exim codes 4001 21, 4001 22 and
4001 29 at concessional duty in the current financial year 2010-11, it
has been decided by Director General of Foreign Trade to invite
applications for allocation of the TRQ of Natural Rubber from Actual
users as per following details:-
i. Applications for allocation shall be sent only by e-mail at
[email protected] in the proforma at Annexure -1 to this Public
Notice.
ii. Applications for allocation of TRQ shall be received from 18.01.2011
(12.00 noon) to 24.01.2011 (till 5.00 pm).
iii. EFC in DGFT will evaluate and allot TRQ to the applicants. The
allocation of the TRQ will be based on the Natural Rubber consumption
during 2009-10, as certified by Rubber Board.
iv. Allottees of TRQ shall file application in ANF2B alongwith
prescribed application fee to concerned Regional Authority of DGFT, who
will issue the TRQ authorization as per allocation by EFC.
v. Imports of the allocated TRQ must be completed before 31.3.2011. vide
DGFT PUBLIC NOTICE No.23/(RE 2010)/2009-14 DT. 17-01-2011
[OLD]
Attention is invited to Government of India, Ministry of Finance
(Department of Revenue), Notification No. 21/2002-Customs
dated 01.03 2002. As per it, import of four items viz., (1)
Skimmed and whole milk powder, milk food for babies etc.
(0402.10 or 0402.21) (2) Maize (corn): other (1005.90) (3)
Crude sunflower seed or safflower oil or fractions thereof
(1512.11) and (4) Refined rape, colza or mustard oil, other
(1514.19 or 1514.99) is allowed in a financial year, up to
quantities as well as such concessional rates of customs duty as
indicated below: |
|
|
| S.No |
ITC Code No. & Item |
Quantity of Quota |
Concessional Duty |
| 1 |
Tariff Code No.
0402.10 or 0402.21
Skimmed and whole
Milk Powder. Milk
Food for babies etc. |
30,000 MTs |
0% |
| ii |
(ii) Tariff Code No. 0405
White Butter, Butter oil,
Anhydrous Milk Fat |
15,000
MTs |
0% |
| 2 |
Tariff Code No.
1005.90 Maize (Corn):
other |
5,00,000
MTs |
15% |
| 3 |
Tariff Code No.
1512.11 Crude
Sunflower seed
or safflower oil or
fractions thereof |
150,000
MTs |
50% |
| 4 |
Tariff Code No.
1514.19 & 1514.99
Rape, Colza, Canola or
Mustard Oil, Other
(Refined) |
150,000
MTs |
45% |
|
Eligible entities for
allocation of quota |
2.59.1 |
(a) Milk Powder (Tariff Code No. 0402.10 or 0402.21) and White Butter,
Butter oil, Anhydrous Milk Fat (0405): National Dairy Development Board
(NDDB), State Trading Corporation (STC), National Cooperative Dairy
Federation (NCDF), National Agricultural Cooperative Marketing
Federation of India Ltd.
(NAFED), Minerals and Metals Trading Corporation
(MMTC), Projects & Equipment Corporation of India Limited (PEC) and
Spices Trading Corporation Limited (STCL).
(b) Maize (corn)(Tariff Code No. 1005.90): National Agricultural
Cooperative Marketing Federation of India Ltd.(NAFED), State Trading
Corporation (STC), Minerals and Metals Trading Corporation (MMTC),
Projects & Equipment Corporation of India Limited(PEC), Spices Trading
Corporation Limited
(STCL) and State Cooperative Marketing Federations
(c) Crude sunflower seed or safflower oil or fractions thereof (Tariff
Code No. 1512.11) and Refined rape,colza, canola or mustard oil, other
(Tariff Code No.1514.19 or 1514.99): National Dairy Development Board
(NDDB), State Trading Corporation (STC),National Agricultural
Cooperative Marketing Federation of India Ltd.(NAFED),Spices Trading
Corporation Limited (STCL) and Central Warehousing Corporation (CWC),
State Cooperative Marketing Federation & State Cooperative Civil
Supplies Corporation All eligible entities are eligible to avail quotas
as per request of applicants received.
All eligible entities desiring availment of quota as mentioned above,
may make application to EFC in ANF to DGFT, Udyog Bhavan, New Delhi –
110 011. Completed application forms
along with prescribed documents must reach on or before 1st March of
each financial year preceding to the year of quota e.g. Applications for
TRQ for 2011-2012 must reach DGFT by
01.03.2011.
Imports have to be completed before 31st March of financial year i.e.
consignments must be cleared by customs authorities before this date.
Since import of maize (corn) is through STEs, the allottees of quota
i.e. designated agencies in para 1 (b) above for this item shall also be
granted an import Authorisation for allotted quantities as indicated at
Sl. No. 21(b) of Customs Notification No. 21/2002 dated 1.3.2002 in
terms of para 2.11 of FTP, 2004-2009, if they do not wish to make
imports through FCI.
Application fee for these applications shall be paid according to
procedure contained in Appendix 21 B to HBP-v1.
EFC in DGFT will evaluate and allot quota among applicants by 31st March
of each financial year preceding to year of quota e.g. for 2011-2012,
EFC will allot quota by 31st March 2011.
|
Issuance of scrips
against lost EP copy
of the Shipping Bills
and / or original Bank
Realisation Certificate |
2.60 |
In case where EP copy of Shipping Bill / original BRC has
been lost, claim under VKGUY/ FMS/ FPS can be considered
subject to submission of following documents: -
a) A duplicate / certified copy of concerned document issued by Customs
Authority / Bank in lieu of original; b) An application fee equivalent
to 2% of relevant entitlement. However, no fee shall be charged when
such document is lost by Government agencies and a documentary proof to
this effect is submitted;
c) An affidavit by exporter about loss of document and an undertaking to
surrender it immediately to concerned RA, if found subsequently;
d) An indemnity bond by exporter to effect that he would indemnify
Government for financial loss if any on account of duty credit issued
against lost Shipping Bills/ BRC.
Customs Authority, before allowing clearance, shall
ensure that benefit / duty credit against such shipping
bill has not been availed. |
|
2.60.1 |
Claim against lost Shipping Bill / BRC shall be preferred within
a period of six months from date of release of duplicate copy
of Shipping Bill / on date of realization of export proceeds.
Any application received thereafter shall be rejected. |
Export Promotion
Council (EPC)/
Commodity
Boards (CB) |
2.61 |
A list and product category of EPCs, including CB is given
Appendix-2. Commodity Boards function as EPCs for
products allotted to them. EPC is authority issuing RCMC
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Non-Profit,
Autonomous and
Professional Bodies |
2.62 |
EPCs are non-profit organizations registered under Companies
Act or Societies Registration Act. |
|
2.62.1 |
EPCs shall be autonomous and shall regulate their own affairs.
However, if Central Government frames uniform bylaws for
constitution and / or for transaction of business for EPCs,
they shall adopt the same with such modifications as Central
Government may approve having regard to special nature or
functioning of such EPC.
Concerned Administrative Ministry would interact with
Managing Committee of EPC concerned at least twice a year. |
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|
|
Registering Authorities
issuing RCMC |
2.63 |
(i) While obtaining RCMC, an exporter has to declare his main line of
business in the application. The exporter is required to obtain RCMC
from the Council which is concerned with the product of his main line of
business.
(ii) A status holder has an option to obtain RCMC from Federation of
Indian Exporters’ Organization (FIEO).
(iii) In case an export 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 not discernible, the exporter has an option to obtain RCMC
from Federation of Indian Exporters
Organization (FIEO).
(iv) Exporters of minor forest produce and their value added products
shall obtain RCMC from SHEFEXIL, EPC. Software exporters shall register
themselves with Electronic and
Software EPC.
(v) Exporters of 14 specific services as listed in Appendix-2 of HBPv1,
are required to register themselves with Services EPC. Other service
exporters shall register themselves with FIEO.
(vi) In respect of exporters having their head office / registered
office in State of Orissa, RCMC may be obtained from FIEO office in
Bhubaneswar irrespective of product being exported by them. However,
exporters of minor forest product from the State can also obtain RCMC
from SHEFEXIL, EPC.
(vii) 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).
(viii) “In respect of exporters of handicrafts and handloom products
from the State of Jammu & Kashmir, Director, Handicrafts, Government of
Jammu & Kashmir is authorized to issue Registration Cum Membership
Certificate (RCMC).”
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|
Registration cum
Membership Certificate
(RCMC) |
2.64 |
An exporter may, on application given in Appendix-19A,
register and become a member of EPC. On being admitted to
membership, applicant shall be granted forthwith Registrationcum-
Membership Certificate (RCMC) of EPC concerned, in
format given in Appendix-19B. In case an exporter desires to
get registration as a manufacturer exporter, he shall furnish
evidence to that effect.
Prospective / potential exporters may also, on application,
register and become an associate member of an EPC . |
Validity Period
of RCMC |
2.64.1 |
RCMC shall be deemed to be valid from 1st April of licensing
year in which it was issued and shall be valid for five years
ending 31st March of licensing year, unless otherwise specified. |
Intimation Regarding
Change In Constitution |
2.65 |
In case of change in ownership, constitution, name or address
of an exporter, it shall be obligatory on part of RCMC holder
to intimate such change to registering authority within a period
of one month from date of such change. Registering authority,
however, may condone delays on merits. |
| Furnishing Of Returns |
2.66 |
Exporter shall furnish quarterly returns / details of his exports
of different commodities to concerned registering authority.
However, status holders shall also send quarterly returns to
FIEO in format specified by FIEO. |
| De-Registration |
2.67 |
Registering authority may de-register an RCMC holder for a
specified period for violation of conditions of registration.
Before such de-registration, RCMC holder shall be given a
show cause notice by registering authority, and an adequate
and reasonable opportunity to make a representation against
the proposed de-registration. Upon de–registration, concerned
EPC shall intimate the same to all RAs. |
|
|
|
Appeal Against
De-registration |
2.68 |
A person aggrieved by a decision of registering authority in
respect of any matter connected with issue of RCMC may
prefer an appeal to DGFT or an officer designated in this behalf
within 45 days against said decision and decision of appellate
authority shall be final. |
| Directives of DGFT |
2.69 |
DGFT may direct any registering authority to register or deregister
an exporter or otherwise issue such other directions
to them consistent with and in order to implement provisions
of FT (D&R) Act, Rules and Orders made there under, FTP
or this Handbook. |
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|
2.70 |
Electronic Data Interchange |
|
|
|
| Eligibility |
2.70.1 |
Facility of electronic filing of applications shall be available to
all exporters. |
|
|
|
| Procedure |
2.70.2 |
An exporter would be able to file his application on DGFT
website at http://dgft.gov.in/. Application will then be processed
in accordance with prevalent rules and regulations.
Applicant will have to visit concerned office to hand-over hard
copy of application along with requisite documents including
application fee. Authorisation shall be issued on receipt of hard
copies of documents as mentioned above after due scrutiny
as prescribed in HBP v1. |
| Fiscal Incentives for EDI |
2.70.3 |
Following deductions in Application Fee would be
admissible for
applications signed digitally and / or where application fee is paid
electronically through EFT (electronic fund transfer) |
|
|
|
|
|
| Sr. No. |
Mode of Application |
Fee Deduction (as a
% of normal application fee) |
| 1 |
Digitally signed |
25% |
| 2 |
Application fee payment
vide EFT |
25% |
| 3 |
Both digitally signed as well as use of EFT for payment of application fee. |
50% |
|
|
|
|
| Benefits |
2.70.4 |
Facility will reduce unnecessary physical interface with DGFT.
It will enable faster processing, speedier communication of
deficiencies, if any, and on-line availability of application
processing status. |
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|
|
|
2.70.5 |
Authorisation issued using DGFT Electronic Application
System shall be transmitted electronically to Customs through
EDI Mode. This shall also obviate need for verification of
Authorisations before allowing clearance. |
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