Advance licence entitlement follows the policy in force on issue; later import norm changes do not apply retrospectively without express wording.

A valid advance licence is governed by the Import-Export Policy and Input-Output Norms in force on the date of its issue, and a later amendment does not retrospectively curtail rights already created under that licence unless the amended instrument expressly says so. Here, the licence permitted import of T.V. picture tubes under the then-existing norms, and the later Public Notice merely bifurcated the entries for black and white and colour picture tubes without making the change retrospective or applicable to existing licences. The earlier entitlement therefore remained intact, and the subsequent demand was unsustainable.

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Issues: Whether the import entitlement under an advance licence is governed by the Import-Export Policy and Input-Output Norms prevailing on the date of issue of the licence, or by the amended policy prevailing on the date of import.

Analysis: The licence, when issued, permitted import of T.V. picture tubes under the then-existing Standard Input-Output Norms, and the goods were not restricted to black and white picture tubes only. The subsequent Public Notice bifurcating the norms into separate entries for black and white and colour picture tubes did not contain any clause making the amendment retrospective or expressly applying it to licences already issued. The earlier authorities and judicial decisions relied on by the appellants supported the principle that norms and policy changes do not operate retrospectively to impair rights already created under a valid licence, and the decision concerning withdrawal of import permission in a different factual setting was distinguished.

Conclusion: The import was governed by the policy and norms in force on the date of issuance of the licence, and the subsequent amendment could not defeat the appellants' entitlement. The demand was unsustainable and the appeal succeeded.

Ratio Decidendi: A valid import licence confers rights according to the policy and norms in force on the date of its issue, and a later amendment will not apply retrospectively unless the amended instrument expressly so provides.

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