Duty free import approval for SEZ supplies requires Committee clearance, certified requirements, and ongoing utilization monitoring.
Exemption allows duty free importation or procurement of goods for SEZ development, operation and maintenance upon approval by a Committee chaired by the jurisdictional Chief Commissioner. Developers must submit certified lists of goods, proof of land ownership or long-term lease, and financial solvency evidence; approvals are limited to goods directly connected with SEZ work and exclude items for personal consumption. The Committee monitors use via quarterly statements, inspects site utilization, may mandate a Cost Accountant audit at the developer's expense, and sets construction schedules while addressing delays on merits.

EEFC account eligibility restricted: inward remittances for meeting specific obligations cannot be credited to EEFC accounts.
Amendment to the EEFC Account Scheme substitutes a Schedule provision to provide that inward remittances received through normal banking channels to meet specific obligations of account holders are not eligible for credit to their EEFC accounts; authorised dealers are to notify constituents and implement the directional change under statutory powers.

Direct dispatch of export documents by SEZ units permitted where proceeds are repatriated through the named authorised dealer.
Units in Special Economic Zones may despatch export documents directly to consignees abroad provided export proceeds are repatriated through the authorised dealer named in the GR/SDF/PP/SOFTEX form and a duplicate copy of the respective declaration form is submitted to the authorised dealer for monitoring within 21 days of shipment.

Independent Power Producers may obtain stand-by letters of credit for assured spare parts supply via authorised dealers.
Authorised Dealers may open stand-by Letters of Credit on behalf of Independent Power Producers in cases involving assured supply of spare parts; this permission supplements the previously narrow, exceptional-case allowance for stand-by letters of credit and is issued under Sections 10(4) and 11(1) of the Foreign Exchange Management Act, 1999.

DEPB rate amendments update export entitlement rates and value caps across engineering, chemical, textile and miscellaneous products.
Amendments to the Schedule of DEPB Rates revise DEPB entitlement rates and value caps across product groups. Under powers in the Export and Import Policy and Handbook (Vol.1), specified engineering entries are amended and new items added; chemical entries for automobile tyres and Quinalphos Technical are corrected with adjusted value caps; textile notes and shawl entries are revised to include lining and update DEPB treatment; miscellaneous corrections amend sacking cloth and made-up sacking rates and caps.

Silver content calculation excludes studding weight, preserving eligibility for the gem and jewellery export scheme when threshold is met.
For purposes of Exim Policy eligibility under the Gem & Jewellery Scheme, the quantum of silver in silver jewellery exports shall be calculated excluding the weight of studding; this applies to silver jewellery, partly processed jewellery, silver wire, silver strips and related articles that meet the policy's silver-content threshold and is issued as authoritative guidance to Licensing Authorities and Customs Commissioners.

Classification of software media: default classification under 85.24 unless forming a retail set subject to GIR 3(b).
The revised Chapter Note 6 to Chapter 85 clarifies that "those headings" refers to 85.23 or 85.24; software media remain classifiable in those headings only when presented with the apparatus for which they are intended. Software accompanying other articles is classifiable under 85.24 unless the media and articles together form a set put up for retail sale, in which case GIR 3(b) governs classification of the set as a whole.

Bank guarantee calculation for silver imports under Export Against Supply scheme tied to reduced nominated-agency duty rate, easing transaction costs.
For calculation of the bank guarantee amount in respect of silver imported under the "Export Against Supply by Foreign Buyer" scheme, the duty on silver shall be taken at the rate applicable to nominated agencies under notification No.80/97-Cus. (the reduced nominated-agency duty rate). Circular No.36/2002-Cus. dated 28 June 2002 is amended to this extent; a Public Notice will be issued and implementation difficulties should be reported to the Board.

Duty-free import entitlement for raw pearls and precious stones allowed against legacy REP licences under transitional Exim provisions.
Imports of raw pearls and precious or semi-precious stones, unset and uncut, are eligible for duty exemption when imported against Replenishment Licences and Gem Replenishment Licences issued under the earlier Exim Policy whose validity has not expired; the policy provisions were relocated without material change and transitional arrangements preserve the effect of previously issued licences, and customs authorities are to allow the exemption and issue a public notice.

Inclusion of payment date in interest calculation affects interest computation under customs and excise provisions.
The Board directs that the date on which duty is paid shall be included in the period for calculating interest on delayed payment under Section 28AA/28AB and other provisions of the Customs Act, 1962, and under Section 11AA/11AB and other provisions of the Central Excise Act, 1944, and rules thereunder. This interpretation follows the ordinary, inclusive meaning of the word 'till' as 'to the time of' or 'until', and uniform compliance is required, with any implementation difficulties to be reported to the Board.

Ammunition accessory classification clarifies link cartridge metallic belts as ammunition and chargers as metal springs.
The Link Cartridge Metallic Belt, used to carry/convey cartridges and not being a part of articles in headings 93.01-93.04, is classifiable under sub heading 93.06 with cartridges; the Charger, being a spring of iron/steel and a part of general use excluded from Chapter 93, is classifiable under sub heading 7320.00, and pending cases should be disposed of accordingly.

PAN based Registration Number allocation directed to central commissionerate for multi unit companies to ensure uniform allotment.
Where Range Officers cannot allot PAN based Registration Numbers for multi unit companies due to missing particulars of other units and incomplete registration forms, the Board directs that applications for such multi unit allotments be referred to the central commissionerate for allotment to ensure uniform processing; field formations and trade must be informed and receipt acknowledged.

Leased circuits taxation: inter-connection charges now taxable for both basic and cellular telephone service providers.
The circular clarifies that junction link rentals, port charges, and infrastructure rentals supplied by BSNL to both basic and cellular telephone service providers are not presently subject to service tax, while inter connection link charges are treated as charges for providing leased circuits and are taxable from the date the leased circuit service was brought within the service tax net.

Rounding of figures in Schedule VI notified; recipients instructed to circulate the alteration and take necessary administrative action.
Alterations to Schedule VI concerning the rounding of figures have been promulgated by government notification and are forwarded to Regional Directors and Registrars of Companies for noting and necessary administrative action, with a request to acknowledge receipt.

Applicability of Section 11D: no action where duty collected was deposited with government even if money-credit paid duty.
Where duty collected from a buyer has been deposited with the Government, Section 11D does not apply; this remains so even if the manufacturer used money-credit to pay duty on finished excisable goods, provided the collected duty was deposited. Pending cases should be finalised accordingly.

Cenvat credit admissibility where duty remission is granted on finished goods, subject to insurance excluding duty element.
Cenvat/MODVAT credit on duty paid inputs contained in finished products for which duty remission has been granted is admissible and need not be reversed; however, where remission is claimed for destroyed or damaged goods, authorities must ensure the insurance or recovery does not include the duty element attributable to inputs taken as credit.

Indian Rupee Value of Special Currency Basket revised for deferred payment contracts under Indo USSR protocols, affecting valuation.
The Reserve Bank of India revised the Indian Rupee Value of the Special Currency Basket, and the Directorate General of Foreign Trade notifies that this revised valuation is effective from 27.06.2002; the revision applies to deferred payment contracts concluded under the Deferred Payments Protocol dated 30 April 1981 and the Deferred Payments Protocol dated 23 December 1985 between the Government of India and the erstwhile USSR.

Prepayment of External Commercial Borrowings allowed under an automatic route subject to compliance and reporting requirements.
The Reserve Bank permits time bound prepayment of External Commercial Borrowings under an Automatic Route until March 31, 2003 for borrowers compliant with all applicable Acts, Rules, Regulations and RBI/Government guidelines. The Automatic Route allows unrestricted prepayment where matched by foreign equity inflow or from EEFC balances, and limited prepayments for once during loan 10% withdrawals and loans with residual maturity up to one year, each subject to an aggregate USD 50 million ceiling for the scheme; amounts beyond this ceiling and other prepayments require prior RBI approval. Authorised dealers must obtain a company secretary/auditor certificate and submit an ECB PAR within seven days.

Show-cause notice must be issued on audit objections to prevent time-bar even if legal interpretation remains unsettled.
Issuance of Demand Cum Show Cause notices is mandatory on receipt of audit objections against EOU/EPZ/EHTP/STP units; prior guidance to await Board examination of interpretative issues does not excuse delay. Notices must be issued promptly even when the matter involves interpretation of provisions or exemption scope, to prevent demands becoming time barred, and field formations must be instructed to comply strictly.

Pre-export inspection: voluntary certification by national inspection body to facilitate EU entry of fresh fruits and vegetables.
The Director General of Foreign Trade authorises that fresh fruits and vegetables exported to the European Union may be inspected and certified in India by the Directorate of Marketing and Inspection, Department of Agriculture & Cooperation to facilitate entry by providing pre-export verification; the inspection and certification is voluntary and issued under powers conferred by the Export and Import Policy 2002-2007.