Advance-payment import relaxation for pigeon peas continued under the registered contract until the contracted quantity was exhausted.

A policy relaxation for pigeon pea imports made under advance-payment contracts was held to continue where the trade notice permitted registration of pre-existing contracts and the registration certificate contained no express expiry date or restriction to 31.03.2018. The court treated later addendums as part of the same contract, noted prior clearances under the same registration, and relied on DGFT clarification indicating the shipping period extended to 31.03.2021. It rejected the argument that the relaxation was limited to the first fiscal year alone, and held that the certificate remained valid until the contracted quantity was exhausted, entitling clearance of the consignments.

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Issues: Whether the registration certificate issued under the Foreign Trade Policy for advance-payment imports of pigeon peas remained valid beyond the fiscal year 2017-18 and until completion of the contracted quantity, thereby entitling clearance of the imported consignments.

Analysis: The import policy for pigeon peas was amended from free to restricted, with annual quota conditions, but the trade notice issued on 31.08.2017 specifically relaxed the policy for contracts where advance payment had been made before 05.08.2017 and permitted registration of such contracts. The registration certificate issued to the petitioner contained no express expiry date or endorsement limiting its operation to 31.03.2018. The Court treated the subsequent addendums as part of the same contract, noted that the authorities had earlier cleared imports under the same registration, and relied on the DGFT clarification stating that the shipping date under the proforma contract and addendums extended to 31.03.2021. On that basis, the Court rejected the contention that the relaxation was confined to the first fiscal year alone.

Conclusion: The registration certificate remained valid till completion of the import under the registered contract, and the petitioner was entitled to clearance of the consignments covered by the bills of entry.

Final Conclusion: The writ petition succeeded and the respondents were directed to clear the imported pigeon peas under the registration certificate.

Ratio Decidendi: Where a policy relaxation for pre-existing advance-payment contracts is granted without an express expiry limitation, and the registration certificate itself contains no restrictive validity clause, the certificate governs the import until the contracted quantity is exhausted within the operative policy period.

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