Export obligation extension permitted with penalty; longer extensions require consideration by a DGFT headed committee for imports.
The Licensing Authority may grant an extension in export obligation period for a limited period against one or more consignments on payment of a penalty on the unfulfilled FOB value of the export obligation with reference to the CIF value of the imports for which extension is sought. Any request for extension beyond the specified limited period can be considered only by a Committee headed by the Director General of Foreign Trade.

DEPB rate amendments update export entitlement rates and product descriptions, and set differing effective shipment periods.
Amendment revises Duty Entitlement Passbook (DEPB) rates, value caps and product descriptions in the Handbook of Procedures (Vol.1) (RE-98). Annexure A rates apply to shipments from 1 April 1997 to 14 April 1998; Annexure B rates form part of Appendix 28A and apply from 15 April 1998. The notice modifies specific DEPB entries across Chemical, Plastic and Engineering product groups-changing rates, deleting specified engineering entries, correcting chemical and plastic product descriptions, adding textile-product designations, and correcting sewing machine descriptions-thereby updating operational export entitlement provisions.

Irrevocable letter of credit: export realisation not required where bank certifies shipment, enabling DEPB transferability.
Transfers of post export DEPB and non insistence on realisation of export proceeds are allowed where shipments are made against an irrevocable letter of credit and the bank certifies this in column 14/15 of Appendix 25; Appendix 25 may omit FOB value and realisation date in such cases if the bank endorses the shipment certification.

Duty exemption compliance: missing logged DEEC book not automatic default when export evidence proves fulfilment.
Where a Duty Free License holder submits shipping bill and bank realisation certificate demonstrating 100% fulfilment, absence of a logged DEEC book alone should not lead to defaulter status. Supplementary DEPB claims are allowed for exports made anticipating later-notified DEPB rates if filed within the prescribed time, and such DEPBs must carry an endorsement noting the original DEPB, shipping bill, FOB values and balance value. For EPCG export-obligation calculations, the average of the preceding three licensing years is to be taken including the licensing year in which the EPCG application is filed.

Deemed exports benefits for goods in turn key civil construction projects apply, while construction services remain excluded.
Where a turn key civil construction project contract expressly includes supply of goods within its scope, those goods qualify for deemed exports benefits under the Exim Policy (para 10.2(d)) if otherwise admissible; the services component of civil construction work, even in a turn key project, is not eligible for deemed export benefits.

Export inspection agency recognition: agencies listed for import certificates are not authorised for export inspections; trade must exercise caution.
Agencies listed in the Handbook of Procedures are recognised to issue inspection and certification certificates solely for specified import purposes-including metal scrap, second-hand capital goods and EPCG imports-and are not authorised as export inspection agencies; trade is cautioned to confirm an agency's authorisation before obtaining export certificates.

Private bonded warehouse: licensing authorities must not endorse licences to take supplies from them under existing policy.
Licensing authorities are ordered not to endorse licences to take supplies from Private Bonded Warehouses, as such endorsements are not required under paragraph (vii) of the referenced policy circular; additionally, the circular corrects a cross-reference by replacing the earlier chapter citation with Chapter IX.

Duty free licences may be issued on adhoc input-output norms, and DEPB post-export allowances and certification rules clarified.
Certification agencies are added to Appendices 32-A and 32-B, including recognition of Export Inspection Agencies/Councils for HACCP. Licensing authorities may issue duty free licences on adhoc input-output norms recommended by RALC/ZALC until SALC standardises norms, subject to repeat licence value limits. Paragraphs expand DEPB coverage to all notified airports, seaports and ICDs in a district; allow post-export DEPB for shipments prior to pre-export DEPB issuance and for exports from ports other than the port of registration; add the term Advance licence; and allocate Export House and TH/STH/SSTH certificate applications to specified offices.

Inspection agency listing removed from Appendix-32A by amendment, affecting certification eligibility under Export Import Policy handbook in public interest.
The Director General of Foreign Trade amends the Handbook of Procedures under Export and Import Policy authority to delete the entry at serial number 17 in Appendix-32A, thereby removing SGS India Limited from the official list of inspection and certification agencies as published in the Handbook, Vol. I.

Decentralised import licence issuance: RLAs must issue SLC approved licences promptly subject to SIL surrender and actual user conditions.
Licences approved by the Special Licensing Committee will be communicated to port RLAs for issuance: original applications are filed at port offices, SLC minutes sent to ports within 72 hours, and RLAs shall issue licences promptly (generally within three working days) subject to surrender, cancellation or debit of existing SILs except where SIL is waived; all licences/CCPs must carry value and quantity restrictions, the Actual User condition and other SLC stipulated conditions on the licence body.

Special Currency Basket valuation revised, altering rupee conversion for deferred payment contracts under Indo USSR protocols.
The Reserve Bank of India revised the rupee value of the Special Currency Basket for calculating payments under deferred payment contracts entered under the Indo USSR deferred payments protocols of 1981 and 1985; the revised valuation is effective as indicated in the notice and applies to all deferred payment contracts concluded under both protocols for deliveries of machinery and equipment from the erstwhile USSR.

Export licence requirement for exotic bird exports: captive-bred certification and compliance with licensing conditions ensure controlled export.
Exports of specified exotic bird species are permitted only under an Export Licence issued by the Director General of Foreign Trade, with applications filed on the Handbook of Procedure form and accompanied by an export order or irrevocable letter of credit, RCMC, I.E.Code Number and a Chief Wildlife Warden certificate certifying the birds as captive bred; licences may be subject to conditions including quantitative ceilings, pre shipment inspection and CITES certificates and will be issued only on production of the original Warden certificate for endorsement.

Preferential import liberalisation from SAARC: broad list of goods freely importable subject to origin and new/prime condition.
Notification under the Foreign Trade (Development and Regulation) Act, 1992 declares an extensive list of EXIM/ITC(HS) classified goods freely importable from SAARC countries from 1.8.1998, conditional on items being in new/prime condition and of origin in the stated SAARC country in accordance with the Customs Tariff (Determination of Origin under the SAARC Preferential Trading Arrangement) Rules, 1995, as amended.

Import of second-hand spares allowed without residual-life rule, and revalidation of advance licences without bank realisation certificates.
Import of second-hand spares with second-hand capital goods is permitted under the Actual User condition without the five-year residual life requirement; additional SIL benefits in Handbook paragraphs (a)-(e) apply to exports on or after 1.4.97 while paragraph (f) applies only to exports on or after 1.4.98; Bank Realisation Certificates must not be insisted upon for revalidation of Advance licences.

Modification of standard input-output norms updates import inputs and adds product entries, altering trade procedural requirements.
The Director General of Foreign Trade amends Handbook of Procedures Vol.2 by correcting and substituting entries in the Standard Input Output Norms and adding new product entries across Chemicals, Electronics, Engineering, Sports Goods, Textiles and Miscellaneous categories; each amendment specifies export items, corresponding import inputs, permissible quantities, alternative inputs and conditional notes (including percentage caps and net to net treatment) as set out in Annexures A-G for incorporation into the Handbook.

Export authorization under Oil for Food programme enables APEDA to issue RCAC for wheat exports to Iraq.
Authorization is granted for export of Hard Milling Wheat to Iraq under the United Nations Oil for Food programme with an allocated ceiling placed at the disposal of the designated agricultural export promotion authority to enable issuance of RCAC to the named exporter; the authority must report issuance actions to the EP(Agri.II) Section and notify the statistical division.

Export ceiling allocation for wheat products to Maldives set; APEDA to allocate and report exhaustion.
A fixed export ceiling for wheat products to Maldives is placed at APEDA's disposal for allocation; APEDA must allocate quantities under its procedures, ensure the overall ceiling is not exceeded, report exhaustion to the Ministry of Commerce and DGFT, issue a Trade Notice to inform the trade, and furnish monthly statements with exporter name, quantity, FOB value and destination to Ministry EP(Agri.II) and DGFT statistics.

Export ceiling for coarse grains requires APEDA allocation and mandatory monthly exporter reporting to authorities.
A fixed export ceiling for coarse grains for the 1998-99 licensing year is placed at APEDA's disposal, with specified quantities earmarked for private exporters and PSUs. APEDA will allocate under its procedure, ensure the overall ceiling is not exceeded, report exhaustion to the Ministry of Commerce, and furnish monthly statements showing exporter name, quantity allowed, FOB value and destination.

Pass Book Scheme compliance: authorities must finalise claims and grant credits by a specified deadline to ensure utilisation.
The DGFT amends paragraph 4 of an earlier circular under the Pass Book Scheme to require that all Designated Authorities of the Scheme and Commissioners of Customs must finalise claims and grant credits, wherever admissible, and complete these administrative actions by the specified deadline to permit utilisation of credits under the erstwhile Exim Policy.

Pass Book credit validity limited to one year or until March deadline; authorities must grant admissible credits by December cutoff.
Credits earned under the Pass Book Scheme may be utilised for imports within one year from the date of grant or up to 31.3.1999, whichever is earlier. Designated Authorities and Commissioners of Customs are directed to finalise claims and grant admissible credits positively by 31.12.1998.