Import liberalisation: certain textile items shifted to Open General Licence allowing free importation under amended trade policy.
Notification amends the ITC (HS) classifications to transfer specified textile exim codes from the SIL route to the Open General Licence, permitting free importation. It enumerates product descriptions by fabric composition, weave, weight ranges and end-use distinctions (for example upholstery versus other fabric), and prescribes that the listed items are importable Free under OGL pursuant to the Foreign Trade Policy authority.

Realisation of export proceeds: special import licences require free-foreign-exchange realisation; rupee and forex exports count for recognition.
The Export and Import Policy is amended to provide that a Special Import Licence shall be granted only where export proceeds have been realised in free foreign exchange, and that exports realised both in free foreign exchange and in Indian rupees shall be taken into account for the purpose of recognition.

Subcontracting rights for EOUs permit job work in DTA or other units, subject to customs approval and norms.
EOU/EPZ/EHTP/STP units may subcontract parts of production as job work to DTA units or other exempt units with Customs permission based on input/output norms and undertakings; units using predominantly indigenous raw materials may be allowed subcontracting in the DTA. Such units may also import goods of any origin for reconditioning, repair and re engineering for export in freely convertible currency, with specified policy provisions not applying to these activities.

Processed pulses export exempted from restricted list when in consumer packs up to five kilogram or from duty exempt imports.
Processed pulses are removed from the restricted export list except for those in consumer packs up to five kilograms and those produced from pulses imported under the Duty Exemption Scheme or by an EOU/Unit in an EPZ, amending the entry in Chapter 16, Part II, Paragraph 16.2 of the Export & Import Policy 1997-2002.

Special Import Licence valuation rule for spice imports revised; cooperative and trading entities exempted from SIL surrender.
Imports of cassia, cinnamon, cloves and tejpat are permitted against a Special Import Licence (SIL), with the surrendered SIL c.i.f. valuation required to be set at a multiple of the c.i.f. value of the imported goods; however, certain cooperative and trading entities may import these items without surrendering an SIL.

Import licensing condition: edible oils freely importable subject to thirty day advance intimation to directorate and customs.
The amendment adds an Import Licensing note to Chapter 15 permitting edible oils to remain freely importable subject to an advance intimation requirement: importers must notify the competent directorate, with a copy to Customs by registered post thirty days in advance, providing type of oil, date of contract and actual import, quantity, price, and origin.

Export permission for exotic birds allowed, subject to species exclusions listed in official public notices.
Amendment permits export of exotic birds except for species specifically listed as excluded by public notices issued periodically; the Chapter 16, Part I, Paragraph 16.1 entry is revised so that exportability is qualified by administrative specification of excluded species.

Import classification: castor oil and derivatives permitted for free import under the open general licence framework.
Amendment to the ITC (HS) Export and Import classifications permitting import of castor oil and specified derivatives on a Free basis under the Open General Licence framework; affected sub-codes identify castor oil and its fractions, hydrogenated castor oil (opal wax), and castor oil dehydrapted, with both edible-grade and other variants classified as Free for import.

Naphtha import permission permits import without licence subject to sale of return stream and allows power sector fuel use.
Import of naphtha is permitted without a licence provided the importer sells the return stream of naphtha to crude oil refineries on commercial terms, may use the return stream as industrial feed stock for captive consumption, and must sell any balance to refineries. Import of naphtha is also permitted as fuel for the power sector by actual users in accordance with an issued Public Notice. ITC(HS) Exim Code 27100001.30 is amended to record the policy as Restricted with these conditions.

Supply of marine freight containers by 100% EOUs permitted to shipping companies when paid in free foreign exchange.
The Export and Import Policy was amended to allow 100% Export Oriented Units that manufacture domestic freight containers to supply marine freight containers to shipping companies, including the Shipping Corporation of India, provided payment is received in free foreign exchange, pursuant to powers under section 5 of the Foreign Trade (Development and Regulation) Act, 1992 and paragraph 1.3 of the Export and Import Policy, 1997-2002.

Export restriction changes: pulses, milk products and castor seed removed or reclassified, affecting licence requirements.
The notification amends Chapter 16 restricted exports by deleting Milk (including baby milk and sterilised liquid milk) and Castor Seed from the restricted list, and by revising the pulses entry to permit exports of all pulses, including lentils, grams, beans and flours made therefrom, except when supplied in consumer packs up to five kilograms.

Concessional duty for gold and silver under Special Import Licences allows imports without EEFC account or forex payment condition.
SILs are freely transferable and valid for items in the ITC(HS) Classification; imports under SIL attract normal customs duty but gold and silver may be imported at a concessional customs duty rate to be specified by the revenue authority. The amendment removes the requirement for an EEFC account and omits any explicit payment-in-foreign-exchange condition for such concessional imports.

Import restriction: film on video tape and compact video disc require licence or public notice authorisation for import.
Amendment to ITC (HS) classification places films on video tape or compact video disc under Sub Exim Code 852499 09.90 as "Other" and subjects them to a restricted import regime: these consumer goods are not permitted for import except against a licence or in accordance with a Public Notice, requiring importers to obtain authorisation before import.

Special Import Licence requirement: cloves, cinnamon and cassia importable only against SIL with elevated surrendered licence valuation condition.
Cloves, cinnamon and cassia are reclassified as Restricted consumer goods and may be imported only against a Special Import Licence (SIL). The SIL permission is conditional: the c.i.f. value on the surrendered SIL must be five times the c.i.f. value of the imported goods. The rule applies to specified EXIM codes covering cassia, cinnamon (bark and flowers), crushed or ground forms, and cloves items. An exception allows canalising agencies with pre-existing contracts to ship within forty-five days of the notification.

Duty Entitlement Passbook Scheme clarified to neutralise customs duty and revisions made to export recognition criteria and compliance.
The Passbook Scheme is renamed Duty Entitlement Passbook Scheme; DEPB is defined to neutralise basic customs duty by granting duty credit based on deemed import content computed under Standard Input Output Norms and value addition. Export obligation is 8 months except for supplies under Special Imprest/Advance Licences to projects/turnkey projects, where obligation follows contracted execution duration. Conversion between EHTP/STP and EOU units is permitted with continuation in bond and concessions. Net Foreign Exchange calculation is amended to deduct the value of all licences, including a specified multiple of DEPB credit and duty free precious metals from nominated agencies, while excluding freely transferable Special Import licences, EPCG licences and licences surrendered during validity. Transitional recognition criteria for 1997-98 and 1998-99 specify FOB and NFE thresholds for Export House, Trading House, Star and Super Star categories.

Exemption authority: DGFT may grant policy relaxations with mandated committee consultation and conditional limits.
The Director General of Foreign Trade, under section 5 of the Foreign Trade (Development and Regulation) Act, 1992, may grant relaxations or exempt persons from export-import policy provisions where genuine hardship or adverse trade impact is shown and may impose conditions; requests must be considered only after consulting the Advance Licensing Committee for Chapter 7 matters or the Policy Relaxation Committee for other matters.

Sugar import contract registration required; contracts must be registered with the designated agricultural export authority under amended ITC(HS).
All sugar import contracts are made subject to a compulsory registration requirement by amendment to the ITC(HS) Classification, specifying that all sugar import contracts shall be compulsorily registered with the designated agricultural and processed food export development authority as a binding administrative compliance condition under the Export and Import Policy framework.

Import permission for cathode ray oscilloscopes at specified frequency now allowed freely under amended foreign trade policy.
The ITC (HS) classification was amended to permit free import of cathode ray oscilloscopes and cathode ray oscillographs up to a specified frequency, by revising the Exim item description and listing the policy as Free; imports are subject to applicable SIL or Public Notice procedures and the change is issued under powers granted by the Foreign Trade Act and the Export and Import Policy framework.

Export permission for wild sourced herbal formulations temporarily authorised under prior export policy, subject to conditions and CITES.
The Notification permits, as a one time exemption, export of value added herbal formulations manufactured from seventeen specified wild sourced plant species in accordance with the Export Policy prevailing prior to 25 March 1996 for a limited period from the Notification date, subject to usual export conditions and CITES compliance.

Canalisation of chrome ore exports through MMTC instituted, restricting exports by specified chromium content under amended FTP.
Export of chrome ore lumps with Cr2 O3 not exceeding 40 % is canalised for export through MMTC by amending the entry in Chapter 16, Part III, Paragraph 16.3 (Canalised Items) of the Export and Import Policy, 1997-2002, pursuant to powers under the Foreign Trade (Development & Regulation) Act, 1992 and Paragraph 1.3 of the Policy.