EPCG import approvals decentralised to licensing authorities; mining imports and cotton yarn export restriction relaxed for qualifying fulfilment.
EPCG operational clarifications: licensing authorities are authorised to approve imports of DG sets below 1000 KVA; conveyor belts and OTR tyres for mining are allowable imports; domestic sourcing of capital goods under EPCG may be processed by licensing authorities without EPCG committee referral under Exim Policy and Handbook of Procedures; and the 41-count restriction for cotton yarn is relaxed for calendar year 1999 so all cotton yarn exports in 1999 qualify for EPCG export-obligation fulfilment.

Tariff classification clarification: DGFT list assigns ITC Exim codes and conditional classifications for specified imported products.
DGFT published item-specific clarifications assigning ITC(HS) Exim Codes for various products following committee review of classification requests; the list pairs commodity descriptions with Exim Codes and records form- or use-based qualifications where classification varies by nature of import, revises or withdraws prior entries, and provides guidance to ensure uniform customs classification and trade processing.

SIL option permits exporters to claim preceding licensing year benefits subject to specified filing and documentation conditions.
A new provision, paragraph 12.8(A), allows exporters who held recognition under the prior and current policies to irrevocably elect to claim SIL based on exports in the preceding licensing year, subject to conditions: the option must be exercised on filing and endorsed on the certificate; exports before 1 April 1997 follow the earlier policy and Handbook rates; exports on/after 1 April 1997 require application in Appendix 20D with SIL on proceeds realised annually; applications must be filed within six months from the licensing year end or 90 days after renewal/recognition; paragraph 12.8(e) remains applicable.

Canalised export of Niger seed: NAFED added as eligible associate shipper under revised designation rules.
The circular amends paragraph 2 of the export policy to include The National Agricultural Co-operative Marketing Federation of India Limited (NAFED) as an additional eligible associate shipper; it confirms that TRIFED may designate NAFED, The National Dairy Development Board Ltd (NDDB), The Madhya Pradesh State Cooperatives Oilseeds Growers Federation Ltd, The Karnataka State Agricultural Produce Processing and Export Corporation Ltd, and Bihar and Andhra Pradesh government nominated agencies as associate shippers for the canalised export of Niger seed.

Export licensing entitlement expanded: fulfilment of prior export obligations allows further licences within the same licensing year.
Amendments provide that exporters who fulfil the export obligation on earlier licences are entitled to further licences in the same licensing year; insert the advance licence with actual user condition into special licence listings; extend application of published norms to include paragraph 7.5; permit prorata enhancement requests before or after export up to 100% of the obligation with calculations on revised SION where applicable; require chartered engineer certification for service provider capital goods claims; modify credit application timelines and limit DEPB declaration requirements to specified rates.

FOB restriction on DEPB clubbing requires proportional FOB allocation, limiting CIF to DEPB credit-based amounts.
FOB restriction on DEPB clubbing requires proportional allocation of the FOB value based on the DEPB credit used from each certificate; the combined proportionate FOB amounts set the CIF ceiling for the consignment. Applications are only considered timely if the initial submission includes the prescribed Handbook (Vol. I) documents; submissions missing prescribed documents and completed after the time limit are not treated as in time and may face late cut or rejection.

Annual Advance Licence entitlement enables duty exempt import of inputs for export production subject to SIO norms and export obligations.
The Annual Advance Licence (AAL) permits eligible exporters to import inputs and permitted packing materials for a specified product group consistent with Standard Input Output Norms. Eligibility requires manufacturing or merchant status with prescribed registrations and export performance; one licence covers a product group, designates a port of registration for imports, and carries endorsements recording any irrevocable option to use indigenous inputs. Imports under AAL are exempt from basic and specified additional customs duties, while certain excise rule benefits and drawback rights are restricted. The licence is time limited, non transferable, subject to documentation, nexus and presentation requirements, and to enforcement under the Handbook and Act for non compliance.

Standard Input-Output Norms amendments alter SION entries and permitted import inputs, requiring compliance with revised norms.
The Director General of Foreign Trade, under Paragraph 4.11 of the Export and Import Policy 1997-2002, issues amendments and additions to the Handbook of Procedures Vol.2 altering the Standard Input-Output Norms (SION). The Notice substitutes and corrects SION entries, adds new entries across Chemicals and Allied Products, Engineering Products and Textile Products, specifies alternative permitted import items and quantities, inserts clarifying notes and requires applicants to comply with the revised norms and provide composition details where demanded.

Export of warranty spares may be shipped free of cost without remittance obligation under export-import policy clarification.
Warranty spares for exported plant, equipment, machinery, automobiles or other goods may be exported up to a specified percentage of the FOB value and within the contracted warranty period; such spares may be supplied free of cost and without any remittance obligation, consistent with the export-import policy provision governing warranty spares.

Minimum import price restrictions for steel exempted for imports under specified duty exemption licences and for EOUs and EPZ units.
Clarifies that minimum import price restrictions for steel items specified in certain notifications do not apply to imports made under Advance Licences, Annual Advance Licences, Special Imprest Licences and Advance Intermediate Licences, and do not apply to imports made by Export Oriented Units and units in Export Processing Zones.

Import restrictions on second-hand capital goods impose age-based admissibility criteria and limited exemptions for prior commitments.
Import of second-hand capital goods is restricted and requires licences from an Inter Ministerial Restricted Items Licensing Committee. The Committee applies age-based admissibility-recent goods normally allowed, intermediate-age goods assessed for comparative advantage, and very old equipment generally disallowed except for heavy infrastructure and core sectors-and requires conformity with environmental and industrial safety norms. Exceptions allow imports that involved substantive pre-cutoff steps, specified MOUs by automobile manufacturers, or prior EPCG committee decisions, with a conversion route via a revised Appendix 8 application.

Public notice amendment substitutes project descriptions in an export-import policy notice, reflecting DGFT exercise of delegated authority.
Amendment under the Export and Import Policy substitutes and expands the project descriptions appearing in the subject and first line of the second paragraph of an existing Public Notice, effected by the Director General of Foreign Trade exercising delegated policy powers and issued in the public interest.

Animal feed classification clarified: vitamins classifiable as organic chemicals cannot be imported as prawn, shrimp or poultry feed.
The circular clarifies that Heading 23.09 covers processed feedingstuffs that have lost the essential characteristics of original materials and expressly excludes products of Chapter 29; therefore vitamins and other organic chemical products cannot be imported as prawn, shrimp or poultry feed under the animal feed heading and must be classified according to their chemical chapter.

Pre-scrutiny facility for export licences clarifies application filing, timelines, and deficiency cum rejection procedures for exporters.
Introduces a separate Pre-scrutiny-cum-assistance counter for Duty Free licence and DEPB applications and a Counter Assistance cum Facilitation cell for exporter queries and interviews. Pre-scrutiny submissions do not count as the official date of submission; only filing at the R&I counters establishes the application date. R&I counters have specified filing and delivery hours, must issue licences or deficiency cum rejection letters within Handbook of Procedures time limits, accept post licensing requests in set hours, provide computerised receipts, and operate under designated supervision for complaints.

Duty drawback: exporters may use RLA attested shipping bill photocopies to support drawback claims with Customs.
Paragraph 7.41 permits adjustment of additional customs duty on DEPB inputs as MODVAT credit or Duty Drawback. Because original EP copies of Shipping Bills are retained by the Regional Licensing Authority when DEPB is claimed, exporters may request RLA attested photocopies bearing an endorsement that originals are retained. Those RLA attested photocopies shall be returned to exporters and may be used to file Duty Drawback claims with Customs, providing a procedural means to reconcile DEPB documentation retention and Customs evidentiary requirements.

Export import licensing amendments: permit Special Imprest and conditional Advance Licences, allow DEPB revalidation and cap capital goods imports.
Licensing changes permit issuance of Special Imprest Licences to main or sub contractors under paragraph 7.5; Advance Licences may be granted to exporters without prior licences for CIF values up to their recent average FOB subject to 100% bank guarantees and without requiring confirmed irrevocable letters of credit; supplies by Indian sub contractors qualify for deemed export benefits when the sub contractor is identified in the contract and payment certificates are issued in the prescribed form. DEPBs registered at Aircargo Complex, Varanasi are revalidated for twelve months; appendices, agency listings and miscellaneous corrigenda are amended accordingly.

Export canalization of niger seeds: exclusive agency, quota allocation, permit and fee regime including reporting obligations.
Export regulation for Niger seeds designates TRIFED as the sole canalizing agency to declare a minimum export price, nominate Associate Shippers to export or register exporters, and allocate quotas. Registered exporters pay a registration fee to Associate Shippers; the fee is shared with TRIFED except for one destination. TRIFED's share is for tribal/farmer welfare and Associate Shippers must use their share for export quality infrastructure. Weekly, fortnightly and half yearly reporting obligations govern export contracts, quantities, FOB values and fund utilization.

Standard Input Output Norms amendment updates import input norms and adds sectoral entries affecting chemical, engineering, plastic and textile exports.
Administrative Public Notice amends Standard Input Output Norms in the Handbook of Procedures Vol.2 by substituting, deleting and adding SION entries across Chemicals, Engineering, Plastics, Textiles, Leather and other sectors. It revises export descriptions, specifies import inputs and alternative inputs with quantities, adds product specific notes and conditions (including net to net accounting and declarations like coating weight), and introduces new Sl.No. entries to govern input allowances and compliance for export licensing.

DEPB rate eligibility tied to aquaculture sourcing declarations; false declarations require repayment with interest and indemnity.
Exporters of the covered marine products for the stated earlier period must submit to the licensing authority a declaration that exports were sourced from aquaculture farms/ponds with specific location and address. The licensing authority will perform random ex post verification of 10% of declarations after DEPB issuance. If a declaration proves incorrect, the exporter must return the DEPB with interest calculated from the DEPB date to repayment and provide an indemnity bond. The enhanced DEPB rate applies where the product description matches the earlier public notice even if it differs from the later notice.

Inclusion of used aircraft and helicopters in import policy extends regulatory coverage to second hand airframes for import.
The Director General of Foreign Trade, exercising powers under paragraph 4.11 of the Export and Import Policy, 1997-2002, amends an earlier public notice by adding an Explanation that the expression "aircraft and helicopters" shall be deemed to include used and second hand aircraft and helicopters, thereby bringing such pre owned airframes and rotary wing aircraft within the scope of the existing import regulation.