EBRC issue

[Kishan Barai]

40% Payment received from ECGC & 50% Payment from the Srilankan buyer. Kindly suggest the value for EBRC to claim MEIS. ICICI bank only provided 40% but for such cases, federal bank provides 90%. Who is correct in this case ?

Kindly Read : RBI Norms.

C.22 Write-off – Relaxation

(d) The AD Category – I banks are advised not to insist on the surrender of proportionate export incentives, other than under the Duty Drawback Scheme, if availed of, by the exporter under any of the Export Promotion Schemes under FTP 2009-14 , subject to fulfilment of conditions as stated above. The drawback amount has to be recovered even if the claim is settled by the Export Credit Guarantee Corporation of India Limited (ECGC) or the write –off is allowed by the Reserve Bank.

Link : https://www.rbi.org.in/scripts/BS_ViewMasCirculardetails.aspx?id=9056

Experts kindly enlighten ........

AI Summary

Clarifying Valuation for EBRC in MEIS Claims: Discrepancies in Payments from ECGC and Sri Lankan Buyer Highlighted. A user raised a query regarding the correct valuation for EBRC to claim MEIS when payments are partially received from ECGC and a Sri Lankan buyer. The user noted discrepancies between ICICI Bank, which provides 40% payment, and Federal Bank, which offers 90%. The discussion referenced RBI norms, specifically regarding the non-surrender of export incentives under certain conditions. Responses suggested checking the Foreign Trade Policy and Handbook of Procedures but did not provide a definitive answer. The user sought a clear yes or no response with an explanation due to the confusion in RBI guidelines.