TaxTMI 
TaxTMI 
Revision of Foreign trade Policy (FTP) announced on 07.04.2006- Amendment of notification relating to EOU and Gems & Jewellery sector and Procedural changes made effected-reg
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....ellery sector and Procedural changes made effected-reg. I am directed to invite your attention to the Annual supplement to Foreign Trade Policy, 1st September, 2004- 31^st March, 2009, brought into effect from 1.4.2006 . The said Annual supplement to Foreign Trade Policy (FTP) and Handbook of Procedures (HBP) brings about certain changes relating to EOU/EHTP/STP Schemes and Gem and Jewellery Sector. To implement these changes, amendments have been made in the concerned notifications governing EOU/EHTP/STP schemes and Gems and Jewellery Sector. In this regard notification Nos 44/2006-Cus and 31/2006-CE, both dated the 17^th May, 2006 may please be referred to. Important features of the amendments ....
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....o the extent of 1.5% of the value of exports of the previous year[ para 6.2(a) of FTP]. In order to implement this provision of FTP, the notification No 52/2003-Customs and 22/2003-CE dated the 31^st March, 2003 has been amended suitably so as to allow duty free import and procurement of export promotion material like brochures, literatures, pamphlets, hoardings, catalogues and posters of products to the extent of 1.5% of the value of exports of the previous year. The export value of supplies of such promotional material shall not be counted towards fulfillment of NFE and for availing DTA entitlement as specified in para 6.8 of FTP. However, import of such promotional material shall be considered for computation of sum total of all....
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....test, repair, calibration and refining on the basis of prior intimation to the proper officer subject to maintenance of proper accounts of removal and receipts of goods. The relevant provisions of the notification No 52/2003-Customs and 22/2003-CE dated the 31^st March, 2003 has been amended suitably (refer condition (4) (iiia) and para 2(i) respectively) so as to align with the revised provision of HBP. 5. Inter unit transfer of manufactured goods Paragraph 6.13 of the Foreign Trade Policy provides for transfer of manufactured goods from one EOU/EHTP/STP to another EOU/EHTP/STP unit. This provision has been revised so as to allow inter unit transfer of manufactured goods on the basis of prior ....
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.... required to furnish bank guarantee equivalent to the duty forgone on the goods proposed to be taken out for the purpose of contract farming irrespective of length of existence of the unit. The relevant provisions in the notification 52/2003-Customs and 22/2003-CE dated the 31^st March, 2003 (refer clause (ii) of para 6 and clause (ii) of para 5 respectively) governing duty free import and procurement of goods by EOU/EHTP/STP units, respectively, have been suitably amended so as to align with the revised provision of HBP. 7. Fast track Scheme for EOUs for import of goods EOUs having a status holder certificate under the Foreign Trade Policy shall be eligible for the Fast Track Clearance Procedure under para 6.39 of Hand Book of P....
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....e financial year in line with the procedure being followed with respect to export of goods under cover of A.R.E.1 as prescribed under Chapter 7 (Part-II) of the CBEC's Central Excise Manual. The serial number of the Shipping Bill shall be intimated in advance to the jurisdictional Superintendent of Customs/Central Excise. Furthermore, EOUs exporting goods under self-sealing and self-certification procedure, shall submit a copy of such Shipping Bill along with Invoice and packing list to the jurisdictional Customs/Central Excise officer within twenty four hours of removal of goods. For the current financial year, this facility can be availed from 1^st July, 2006. 9. Declaration of warehousing station The Board has received represe....
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.... a period of ten days. In case, the Commissioner is not satisfied with regard to fulfillment of criteria laid down in Para 3 of chapter 10 of CBEC's Customs Manual, the case would be referred to the Board through Chief Commisioner for decision. 10. Procurement and export of gold/silver/platinum by Gems & Jewellery EOUs Gems & jewellery EOUs were required to export gems and jewellery within 90 days from the date of release of gold/silver/platinum when these were released on loan basis. The same time period is now prescribed even in case of outright purchase of precious metal from the nominated agencies. (Refer para 6.2 (f) of FTP) B. Gems & Jewellery Export Promotion Scheme 1. Export of cut and polished pr....