TaxTMI 
TaxTMI 
DUTY EXEMPTION / REMISSION SCHEME
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....s / standardization of norms, then only such documents may be submitted in physical form to the concerned Norms Committee in DGFT headquarters. 4.03 Applicant details Where applicant is a branch office or a manufacturing unit, name of branch office or manufacturing unit should appear in electronic RCMC and in IEC of the applicant. 4.04 Advance Authorisation Applicant shall file application online in ANF 4A. Same form is applicable where Standard Input Output Norms (SION) have been notified or on the basis of adhoc norms or on self declaration basis as per paragraph 4.07 of Hand Book of Procedures. 4.05 Advance Authorisation for items which are otherwise prohibited for export (i) Items covered under Chapter 7 and Chapter 15 of ITC (HS) Schedule 2, which is prohibited for export, may be allowed to be exported under the advance authorization scheme. Export shall be allowed subject to pre-import condition under notified SION/prior fixation of norms by Norms Committee in terms of paragraph 4.06 of Hand Book of Procedures. Import and Export would be permitted only through EDI enabled ports. (ii) The Export obligation period (EOP) of advance authorizations issued f....
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....adhoc norm fixed under this para, on the basis of an application made by an exporter shall be valid for one authorisation for which such application is made and no repeat authorisations shall be issued. However, Norms Committee can specify extended validity period of not more than two years from the date of fixation of such adhoc norms, for grant of further authorisations under such norm. (v) Norms Committees shall also function as recommendatory authority for notification of SION and DGFT may notify such norms from time to time. (vi) It is mandatory for industry / manufacturers/ EPCs to provide production and consumption data etc. for the past three years, as may be required by DGFT for fixation of SION. Otherwise, applicants shall not be allowed to take benefit of Advance Authorisation scheme for taking repeat Advance Authorisations on self-declared basis. Norms Committee may also seek data from Central Excise (CBEC). (vii) Experts may be invited from Scientific and Technological institutions as members of Norms Committee for fixation of Norms.] 4.07 Self Declared Authorisations where SION does not exist (i) Regional Authority ma....
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.... DAHDF, Krishi Bhawan, New Delhi. ^15[4.10 Advance Authorisation for applicants with multiple units (i) Transfer of any duty free material imported or procured against Advance Authorisation from one unit of a company to another unit for manufacturing purpose shall be done with prior intimation to jurisdictional Customs Authority. Benefit of CENVAT shall not be claimed on such transferred input. (ii) Deleted (iii) Deleted (iv) Deleted (v) Imported duty free inputs can be taken from the port / domestic supplier's premises to the factory or the premises of the authorization / co-authorisation holder or the factory of the supporting manufacturer (whose name is endorsed in the authorization or allowed by the Jurisdictional Customs authority). However, such duty free material imported or procured against advance authorization can also be taken from the port directly to the project site of the project authority, subject to furnishing a bond to the customs authority at the port of import and other documents / declaration and other provisions as per Department of Revenue guidelines.] 4.11 Advance Authorisat....
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.... based on such adhoc norms. (vii) ^16[Wherever an applicant has applied for components on "net-to-net basis with accountability clause" and such cases fall under paragraph 6 of General Note for all Export Products, the same need not be referred to Norms Committee for fixation of norms. However, exporters shall indicate clearly details of such components imported on "net-to-net basis with accountability clause" in the export/supply documents namely Shipping Bills, Bill of Exports, Tax invoice for export/supplies prescribed under the GST rules evidencing that these imported inputs have been exported.] 4.13 Authorisation in Excess of Entitlement An applicant shall be entitled for authorisation in excess of entitlement of CIF mentioned in paragraph 4.12(a) above subject to furnishing of 100% Bank Guarantee to Customs authority to cover exemption from customs duties. Regional Authority shall made a specific endorsement to this effect on authorisation. This provisions shall also apply to Status Holders. ^17[4.14 Application and On-line Inter-Ministerial Consultations for fixation of norms / adhoc norms (i) Application filed online by the applicant shall b....
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.... Advance Authorisation as per paragraph 4.12 was lower than the quantity of input applied by the applicant under Advance Authorisation and export obligation is completed pending fixation of norms by Norms Committee, entitlement for authorisation as given in paragraph 4.12 may be re-credited upon production of documentary evidence (copies of Shipping bill / bill of export/_Tax invoice for supply prescribed under GST rules) showing fulfilment of export obligation in respect of previous authorisations. However, bond waiver / redemption shall not be allowed pending fixation of norms in such cases.] 4.17 Time limit for Representation Applicant may file representation against the decision of the Norms Committee with regard to the fixation of norms within a period of 90 days from the date of hosting of decision on DGFT website. Representation beyond 90 days shall be subject to payment of composition fee of Rs. 5000/-. 4.18 Provision for Pharmaceutical Products Regional Authority may issue Advance Authorisation for pharmaceutical products manufactured through Non-Infringing (NI) process. A manufacturer exporter can avail the benefit of this provision whether the SION or the adh....
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....omponent, the authorisation holder has also the option to furnish valid duty credit scrip issued under Chapter 3 of FTP] 4.21 Maintenance of Proper Accounts ^20[Every Advance Authorisation holder shall maintain a true and proper account of consumption and utilization of duty free imported / domestically procured inputs against each authorisation as prescribed in Appendix 4-I. This record in Appendix 4-I format, duly verified and certified by the jurisdictional Customs Authority, shall be submitted to the concerned Regional Authority at the time of filing application for redemption / bond waiver. Regional Authority shall compare the details of Appendix 4-I, with that of the inputs allowed in the authorisation, before allowing redemption or bond waiver against individual authorization. Such records shall be preserved for a period of at least three years from the date of redemption.] 4.22 Standardisation of Adhoc Norms (a) For standardization of norms, an application in ANF 4B shall be filed online along with complete data. Such applications shall be made to concerned Norms Committee in DGFT headquarters. (b) Import of fuel may also be allowed with actual user condition....
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....gate CIF value of imports; and (d) FOB / FOR value and quantity of exports / supplies. ^22[4.27 Exports/Supplies in anticipation or subsequent to issue of an Authorisation. (a) Exports / supplies made from the date of EDI generated file number for an Advance Authorisation, may be accepted towards discharge of EO. Shipping /Supply document(s) should be endorsed with File Number or Authorisation Number to establish co-relation of exports / supplies with Authorisation issued. Export/supply document(s) should also contain details of exempted materials/inputs consumed.] (b) If application is approved, authorisation shall be issued based on input / output norms in force on the date of receipt of application by Regional Authority. If in the intervening period (i.e from date of filing of application and date of issue of authorisation) the norms get changed, the authorization will be issued in proportion to provisional exports / supplies already made till any amendment in norms is notified. For remaining exports, Policy / Procedures in force on date of issue of authorisation shall be applicable. (c) The export of SCOMET items shall not be permitted against an Authorisat....
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....s, where applicable, and quantity of items and (ii) Individual value of items to be procured. (b) An ARO may be issued along with Advance Authorisation / DFIA or subsequently, and its validity shall be co-terminus with validity of Advance Authorisation / DFIA. (c) An ARO issued for procurement of an individual item shall be automatically valid for procurement from one or more indigenous sources. 4.33 Back to Back Inland Letter of Credit (L/C) Exporter may alternatively avail facility of a back to back inland letter of credit from banks. An Advance Authorisation / DFIA holder may approach a bank for opening an inland letter of credit (L/C) in favour of an indigenous supplier. 4.34 Endorsement by Banks under Back to Back LC (a) Before opening the L/C, bank will ensure that Advance Authorisation holder has executed BG/LUT and an endorsement to that effect has been made on the Authorisation. (b) Execution of BG / LUT shall not be required against transferable DFIA. After opening inland L/C, bank shall make following endorsement on Exchange Control and Customs copy of Advance Authorisation / DFIA: &nb....
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....y import goods in his name or in joint names. BG/LUT shall also be furnished in their joint names. ^23[(c). If authorisation holder is registered under GST Act, he has an option of getting names of jobber endorsed by jurisdictional Customs authority as per GST Rules in lieu of Regional Authority's endorsement. In case manufacturer exporter holding authorisation is not registered / not required to be registered under GST Act, job work may be allowed after endorsement of supporting manufacturer's name in the authorisation from RA concerned. However, authorisation holder shall be solely responsible for imported items and fulfilment of EO.] 4.36 Acceptance of BG/LUT (a) Regional Authority concerned will endorse on the reverse of Advance Authorisation at the time of issue of authorisation about acceptance of undertaking given by applicant in relevant ANF. Authorisation holder shall execute Bank Guarantee / Legal Undertaking, as the case may be, in terms of paragraph 2.29 of Hand Book of Procedures. (b) ^24[In case BG / LUT has been redeemed, Advance Authorization holder can get duty free inputs processed from any manufacturer under Actual User condition as per job wo....
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....i (Tamil Nadu), Waluj (Aurangabad) ^9[ Hosur (Tamil Nadu) and Nattakkam Village (Kottayam Taluk and District) ]. LCS: Agartala, Amritsar Rail Cargo, Atari, Chengrabanda, Dawki, Ghojadanga, Hilly, Jogbani, Mahadipur, Nautanva (Sonauli), Nepalganj Road, Petrapole, Ranaghat, Raxaul, Singhabad, Sutarkhandi. SEZ: As notified by Central Government any SEZ can be a specified port for import and export. (b) Commissioner of Customs may permit imports and exports from any other seaport / airport / ICD or LCS. (c) For imports from Airport / Seaport / ICD / LCS other than port of registration, a TRA shall be issued by the customs authority at the port of registration to customs authority at port of import. However, this requirement of TRA shall not be required if the port of registration and port(s) of imports are EDI enabled and the authorisation holder has registered its authorization. ^40[4.38 Facility of Clubbing of Authorisations (i) No clubbing of Authorisations issued on or before 31^st March, 2009 shall be allowed. (ii) Request for clubbing shall be made in ANF - 4C to the concerned RA who has issued the Authorisations. (iii) Facili....
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....bing, if shortfall in value or quantity is noticed, the same shall be regularized under the provisions of Para 4.49 of HBP 2015-20. (xiii) After clubbing, Authorisations shall for all purposes, be deemed to be one Authorisation. The value addition would be calculated on the basis of total CIF and total FOB arrived at after clubbing the Authorisations. (xiv) No clubbing shall be permitted in respect of Authorisations where misrepresentation / fraud have come to the notice of RA. Further, no clubbing of Authorisations, where EODC/redemption letter has already been issued or adjudication orders have already been passed by RA/Customs Authority, shall be permitted. (xv) Additional provisions for clubbing of Authorisations covered under Appendix-30A (issued under FTP 2009-14) / Appendix-4J (issued under FTP 2015-20) and Authorisations issued with EOP less than 18 months: (a) Export obligation period of clubbed Authorisations shall be reckoned from the date of earliest import in any of the Authorisations proposed to be clubbed. (b) Clubbing of such Authorisations shall be allowed provided all exports are completed within initial/extended Export Obligation period....
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....Authorisation holder and grant one revalidation for six months from expiry date. Request(s) for revalidation of Authorisation shall be filed online in ANF 4D. (b) In case of revalidation of advance authorization issued prior to 27.8.2009 (FTP 2004-2009) , it should be ensured that VA is maintained at 15% (and as per details mentioned in paragraph 4.09 of FTP) or as stipulated in the Advance Authorization, whichever is higher. However, for Advance Authorisations for products with VA as per Appendix 4D, the VA shall be as per the VA stated in Appendix 4D or as stated in Advance Authorisation, whichever is higher. ^3[4.42. Export Obligation (EO) Period and its Extension (a) Period of EO fulfilment under an Advance Authorisation shall commence from date of issue of Authorisation, unless otherwise specified. The period of EO fulfilment is given in paragraph 4.22 of FTP. (b) Regional Authority may consider a request of Advance Authorisation holder for one extension of EO period upto six months from the date of expiry of EO period subject to payment of composition fee of 0.5% of the shortfall in EO. Authorisation holder will have to submit a self declaration to RA stating that....
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....orted, as per Department of Revenue guidelines. The authorisation holder has to inform the RA who has issued the authorisation before re-export of such defective goods.] 4.44 Monitoring of Export Obligation (a) Regional Authority, with whom undertaking is executed by Advance Authorisation holder, shall maintain a proper record in a master register indicating starting and closing dates of obligation period and other particulars to monitor EO. In addition, this information may be generated from Computer System and maintained in a book form. (b) Within two months from the date of expiry of EO period, Authorisation holder shall file application online by linking details of shipping bills against the authorization. ^26[(c) In case of online filing of EODC application, Exporters shall link all exports on line on DGFT system by linking file number / authorisation number with the relevant shipping bill numbers / bill of exports / invoices in case of deemed exports/Tax invoices for supplies prescribed under GST rules on quarterly basis.] (d) In case of non EDI shipping bills and supplies under deemed export, exporter shall file relevant details manually on the website of the ....
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.... Entry / invoice, duly attested by the Customs authority, in respect of following inputs: "Alloy steel including stainless steel, copper alloy, synthetic rubber, bearings, solvents, perfumes/ essential oils/aromatic chemicals, surfactants, relevant fabrics and marble." ^12[4.45A Special Advance Authorisation for export of Articles of Apparel and Clothing Accessories covered under Chapter 61 and 62 of ITC(HS) Classification of Export and Import (i) Policy relating to Special Advance Authorisation for export of Articles of Apparel and Clothing Accessories covered under Chapter 61 and 62 of ITC(HS) Classification of Export and Import is prescribed in Para 4.04A of Foreign Trade Policy. (ii) Provisions of Para 4.05, 4.06, 4.10, 4.11, 4.12 (v)&(vi), 4.21, 4.24, 4.25, 4.26, 4.29, 4.35, 4.36, 4.37, 4.39, 4.40, 4.41, 4.42, 4.43, 4.44, 4.46, 4.47(b), 4.49, 4.50, 4.51, 4.52 of Hand Book of Procedures shall be applicable to this scheme in so far as they are not inconsistent with this scheme.] 4.46 Fulfilment of Export Obligation Authorisation holder shall file online application in ANF 4F to concerned Regional Authority and upload prescrib....
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....res inputs first and exports later, the Authorisation holder shall submit online application in ANF-4F as in (a) (i) above. In such cases, if EO has been fulfilled, the Regional Authority may issue EODC / Redemption Certificate to Authorisation holder and forward a copy to the Customs authority at the port of registration of Authorisation indicating the same details of proof of fulfilment of EO as stated in paragraph (a) above evidencing fulfilment of Export Obligation. (ii) Copy of EODC will also be endorsed by Regional Authority to Customs at the Port of Registration by post till system of transmitting these through EDI under message exchange between DGFT and CBEC is introduced. (c) Ordinarily, redemption of BG / LUT shall not preclude customs authority from conducting random checks and from taking action against Authorisation holder for any misrepresentation, mis-declaration and default detected subsequently as per the Customs Act. ^27[(d) Authenticity of such Certificate may be verified by referring to DGFT website (dgft.gov.in) or from the websites of Zonal offices of DGFT. Zonal offices of DGFT may publish details of such EODC certificates issued by them and by all R....
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....ibed, Authorisation holder shall be required to deposit an amount equal to 1% of shortfall in FOB value in Indian Rupee through TR in authorised branch of Central Bank of India as above or through EFT mode or through credit card. (c) Value wise shortfall shall be calculated with reference to actual quantity of exports and FOB value of realisation with reference to pro-rata quantity of imports and CIF value. For example, if export performance is only 50% quantity wise but import has been for complete CIF value permitted, then VA would be calculated on a pro-rata basis, i.e. with reference to 50% of CIF value of imports. This would, accordingly, imply that where Authorisation holder is unable to export , no penalty on value wise shortfall shall be imposed. (d) If EO is not fulfilled both in terms of quantity and value, the Authorisation holder shall, for the regularisation, pay as per a), b) and c) above. (e) In case an exporter is unable to complete EO undertaken in full and he has not made any import under Authorisation, Authorisation holder will also have an option to get the Authorisation cancelled and apply for drawback after obtaining permission from Customs authoritie....
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....recovered from Authorisation holder on account of regularisation or enforcement of BG / LUT, shall be deposited by Authorisation holder in relevant Head of Account of Customs Revenue i.e., "Major Head 0037 - Customs and minor head 001-Import Duties" in prescribed T.R. Challan within 30 days of demand raised by Regional / Customs Authority and documentary evidence shall be produced to this effect to Regional Authority / Customs Authority immediately. Exporter can also make suo motu payment of customs duty and interest based on self/own calculation as per procedure laid down by DoR. (b) Mode of payment: Following modes of payment are available: (i) Payment in cash through TR Challan to Customs Authority. (ii) Payment of customs duty through debit of valid duty credit scrips issued under Chapter 3 (excluding SHIS, SFIS and AIIS scrips) in terms of FTP (2009-14) or Chapter 3 of this FTP or post-export EPCG duty remission scheme scrip, in respect of goods which are permitted under the respective reward/duty remission scrip. (c) Exporter shall obtain an endorsement from Customs authorities on the TR Challan 006 or on the back of the duty credit scrip(s) against which payment of cus....
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....an be considered subject to submission of following documents in lieu of those original documents: (i) A duplicate / Customs Certified / Self-attested copy of the shipping Bill in lieu of the original; Duplicate / Bank certified copy of BRC in lieu of original; (ii) An application fee equivalent to 1% of duty saved amount. However, no fee shall be charged when such document is lost by Government agencies and a documentary proof to this effect is submitted; (iii) Self declaration by exporter about loss of document and an undertaking to surrender it immediately to concerned Regional Authority, if found subsequently; (iv) An indemnity bond by exporter to the effect that he would indemnify Government for financial loss, if any, on account of duty free import entitlement availed / allowed against lost Shipping Bills / BRC. (b) Customs Authority, before allowing redemption of BG / LUT or clearance after endorsement of "No BG / LUT condition" or endorsement of transferability, shall verify the genuineness of such shipping bill (s) and ensure that no double benefit against such shipping bill has been availed. This specific condition shall be endorsed ....
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....ion and utilisation of duty free imported / domestically procured goods against each authorisation as prescribed in Appendix 4H. These records are required to be sent to concerned Regional Authority along with request for bond waiver / redemption / discharge of export obligation / transferability. Such records should be preserved for a period of at least three years from date of redemption. GEMS AND JEWELLERY SECTOR 4.58 General Provision Policy relating to Gem Replenishment Authorisation and scheme for gold/ silver/platinum jewellery is given in FTP. Application in respect of export promotion scheme for gems & jewellery sector including those of Nominated Agency Certificate shall be made to concerned Regional Authority as per Appendix 4A. 4.59 Application for Replenishment Authorisation (a) Application for REP Authorisation shall be filed online in ANF 4H and upload the documents prescribed therein to concerned Regional Authority as per Appendix 4A. (b) Application shall be filed within six months following the month during which the export proceeds are realised. For export proceeds realised during a month, consolidated application for entire month shall be filed....
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....ellery. 3.5 % b) All types of Studded gold / platinum / silver Jewellery and articles thereof. 6.0% (for those studded with coloured Gem stones) and 7.0% (for those studded with diamonds). c) Any jewellery / articles manufactured by fully mechanized process 2.0 % d) Gold / silver / platinum medallions & coins (excluding coins of nature of legal tender) 1.5 % e) Gold / silver / platinum findings / mountings manufactured by mechanized process 2.5 %] 4.62 Entitlement ^30[Entitlement of quantity of gold / silver / platinum against the export of articles made out of these metals shall be quantity of gold / silver / platinum in item of export plus admissible wastage / manufacturing loss. In the case of Studded Jewelry, the calculation of the quantum of gold/silver/platinum metal shall be done excluding the weight of studding.] 4.63 Loss of Gem and Jewellery in transit Consignments of gem and jewellery items exported out of country and lost in transit after exports, where foreign exchange against such exports has been realised or insurance claims settled, will also be eligible for REP Authorisation. 4.64 G....
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.... of exports, wherever required for export of gold / silver / platinum jewellery and articles thereof, by furnishing following documents: (i) E.P copy of the shipping bill; (ii) Customs attested Tax invoice for export/supplies as prescribed under GST rules; (iii) Bank certificate/e-BRC of realisation in Appendix 2U.] (b) In case of personal carriage of jewellery by foreign buyer, following documents should be submitted by the exporter/seller as proof of exports for claiming export entitlements: (i) Copy of shipping bill filed by Indian Seller; (ii) copy of Currency Declaration Form filed by Foreign Buyer with Customs at the time of his arrival; and (iii) Foreign Exchange Encashment Certificate from Bank. (c) In addition to this, Personal Carriage on Documents Against Acceptance (DA)/ Cash On Delivery (COD) basis is also allowed. Exporter will have to furnish following documents as proof of exports for claiming export entitlements: (i) Copy of Shipping Bill filed by Indian Seller; and (ii) Bank Certificate / e-BRC of Export and Realisation. (d) Instructions issued by Customs Department in this regard should be follo....
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....t the time of exports, exporter shall submit following documents: (i) Shipping bills or Tax invoice for export/supplies as prescribed under GST rules presented at foreign Post Office; (ii) Certificate from nominated agencies indicating price at which gold/ silver/platinum was booked or given on outright sale basis or loan basis; (iii) Three copies of Tax invoices for export/supplies as prescribed under GST rules.] 4.74 Export of Cut & Polished Diamonds for Certification/ Grading & Re- import Following are authorized laboratories for certification / grading of diamonds of 0.25 carat and above : (1) International Gemological Institute (IG) - Hong Kong. (2) American Gem Society Laboratories (AGS Laboratories),8917 West Sahara Avenue, Las Vegas, Nevada 89117; (3) Central Gem Laboratory, Miyagi Building, 5-15-14 Ueno Taito-Ku, Tokyo, Japan; (4) Diamond Trading Company, Maidenhead, UK; (5) European Gemological Laboratory (EGL), USA; (6) Gemological Institute of America (GIA), USA; (7) Hoge Road Voor Diamond, Antwerp, (HRD); (8) International Diamond Laboratories DMCC, Dubai. (9) The Robert Mouawad Campus, Inter....
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....rinciple approval of DGFT is granted, GJEPC will conduct inspection of the facility to verify the availability of equipments, technical manpower as well as other infrastructure required for the Laboratory, to function as Authorised Laboratory for certification/ grading of diamonds of 0.25 carat and above. ^7[ Based on the Inspection Report and recommendations of the GJEPC, the concerned laboratory would be considered for inclusion in paragraph 4.42 or 4.43 of FTP as the case may be. ] 4.77 Export Against Supply By Foreign Buyer (a) Before clearance of each consignment of import supplied by foreign buyer, Nominated Agency / Status Holder having Nominated Agency Certificate shall execute a bond with Customs, undertaking to export within stipulated period in contract, gold/silver/platinum jewellery or articles equivalent to entire import quantity of gold/silver/platinum, mountings and findings etc excluding admissible wastage. ^34[(b) In case of direct supply of gold/silver/platinum, alloys, findings and mountings of gold/ silver/ platinum and plain semi-finished gold/silver/platinum jewellery to status holder/ exporter, Status Holder/exporter shall furnish a Bank Guarantee/L....
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....Agency Certificate / exporter concerned is situated. It shall be valid for shipment for a period of seven days including the date on which endorsement was made by nominated agency in case of exports through nominated agency. If exports cannot be made within this period, exporter shall file a fresh shipping bill. (e) At the time of export, exporter shall submit following documents: (i) Shipping bill with two extra copies where exports are made from a Customs House other than Customs House through which corresponding import of gold/ silver/ platinum/plain semi-finished gold/silver/ platinum jewellery was effected. In other cases, shipping bill with an extra copy; ^35[(ii) Three copies of Tax invoices for export/supplies as prescribed under GST rules;] (iii) Certificate from nominated agency indicating quantity and value of items supplied by foreign buyer. (f) Customs authorities shall return two copies of shipping bill and connected invoice duly attested. One copy shall be sent to person who presented documents and the other copy shall be sent by Customs to office of nominated agency/Status holder/ exporter. (g) In case of exports through nominated agency, exporter ....
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....ing in overseas exhibition. (a) Items not sold abroad shall be re- imported within 60 days of close of exhibition. However in case exporter is participating in more than one exhibition within 45 days of close of first exhibition, then 60 days shall be counted from date of close of last exhibition. In case of exhibition in USA, the time period shall be 90 days instead of 60 days mentioned above. In case of personal carriage of gems and jewellery for holding /participating in overseas exhibitions, value of such gems and jewellery shall not exceed US $ 5 million. Gold/ silver/ platinum content on items sold in such exhibitions may be imported as replenishment. (b) Exporter shall take replenishment from nominated agency within 120 days from the close of the exhibition gold /silver / platinum for replenishment content against items sold abroad in exhibition. (D) Personal Carriage of gems & jewellery or export through airfreight/post parcel route for Export Promotion Tours/photo shoots/fashion shows overseas. Personal carriage/export through airfreight/post parcel route of gold/silver/ platinum jewellery, cut and polished diamonds, precious, semi-precious stones, bea....
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....e for booking of precious metal gold/silver/platinum. Quantity of precious metal booked with nominated agency shall be equivalent to precious metal content in the export product and admissible wastage. (b) Applicant shall at the time of booking deposit an earnest money for a minimum amount of 20% of notional price of precious metal, which shall be adjusted at actual sale. (c) Exporter may also export jewellery on a notional rate based on certificate provided by Bank. Exporter must fix price within credit terms allowed to buyer and realise proceeds within the due date of the credit terms or 180 days, whichever is earlier. Exporter exporting on a notional basis under Replenishment Scheme must book the same quantity of gold with Nominated Agency on same rate that he may have booked with buyer. Nominated agencies shall purchase precious metal on behalf of exporter at the rate so fixed and thereafter issue a purchase certificate bearing a serial number to exporter indicating quantity of gold/ silver/platinum and CIF value, in dollars including the Rupee equivalent. Price shall be actual price at which gold/silver/platinum is purchased by nominated agencies plus permitted service c....
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....ii) VA will have to be achieved on rate as may be got fixed with buyer and Nominated Agency. (iii) Exporter shall have flexibility to fix the price and repay Gold Loan within 180 days from date of export. This price shall be communicated to nominated agencies who will issue a certificate showing final confirmation of the rate to the bank negotiating documents, to ensure export proceeds are realized at this rate. (e) Nominated agencies may accept payment in dollars towards cost of import of precious metal from EEFC account of exporter. ^4[4.85 Exports against Advance Authorisation (a) Procedure applicable to Advance Authorisations under Chapter 4 of Hand Book of Procedures shall generally apply to this scheme except norms for value addition, EO period and regularization of default. Value addition for Gems and Jewellery items shall be as per paragraph 4.61 of this Handbook of Procedures. (b) EO will be required to be fulfilled within 120 days from date of import of each consignment against Authorisation. However EO period shall be 180 days from date of import of findings, mountings made of gold, platinum and silver and export of jewellery. No further extension in EO pe....
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....at parcels shall be brought to Customs by Importer / Foreign National for examination and release. Clearance of imports under this scheme shall be as per normal customs clearance procedure. 4.90 Duty free import of samples Duty free import of gems and jewellery samples upto Rs. 3 lakh or 0.25% of the average of last three years export turnover of gems and jewellery items, whichever is lower, shall be allowed in a financial year as per Customs notification. 4.91 Re-import of rejected jewellery An exporter of plain/ studded precious metal jewellery shall be allowed to re-import duty free jewellery rejected and returned by buyer up to 2% of FOB value of exports in preceding licencing year (based on CA certified copy of export of preceding year) with refund of any duty exemption/refund/replenishment benefit availed on inputs used as per customs rules and regulations. 4.92 Diamond & Jewellery Dollar Accounts Policy for Diamond and Jewellery Dollar Accounts is given in paragraph 4.50 of FTP. Detailed procedure for its operation will be notified separately. 4.93 Export and import of Diamond, Gemstone & Jewellery on consignment basis (a) Policy for export and import....
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....In case of delay in filing or non-submission of half yearly return within 15 days of every completed half year, GJEPC shall seek comments of defaulting Nominated Agencies. GJEPC will also forward the particulars of defaulting Nominated Agency to DGFT headquarters for taking appropriate action against defaulting Nominated Agency. (iii) Monitoring by Regional Authorities of DGFT: Regional Authority which has issued Nominated Agency Certificate shall monitor performance of such Certificate holders based on the half yearly returns to be filed by such agencies to the concerned Regional Authority. The Nominated Agency shall file half yearly return to Regional Authority in the month of October (for the period April to September) / April (for the period October to March) as per the format given in Appendix 4-M of Hand Book of Procedures. Regional Authority shall consolidate and verify these returns. Regional Authority will also inform DGFT which agency has not filed the return and to also take appropriate action within 30 days for suspension / cancellation of the Nominated Agency Certificate. (c) DGFT headquarters can also review the performance of Nominated Agencies, ....
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....d of EO under an Advance Authorisation shall commence from date of issue of Authorisation, unless otherwise specified. (b) Regional Authority may consider a request of Advance Authorisation holder for one extension of EO period upto six months from the date of expiry of EO period subject to payment of composition fee of 0.5% of the shortfall in EO. Authorisation holder will have to submit a self declaration to RA stating that unutilised imported/domestically procured inputs are available with the applicant. (c) Request for further extension of six months after first extension as in (b) above can be considered by Regional Authority, provided Authorisation holder has fulfilled minimum 50% export obligation in quantity as well as in value, on pro-rata basis. This will be subject to payment of composition fee @ 0.5% per month on unfulfilled FOB value of export obligation. No further extension shall be allowed by Regional Authority. This provision shall also be applicable to Advance Authorisations issued during FTP 2009-2014. At the time of filing application for second extension, authorisation holder will have to submit a certificate to RA from an independent Chartered Accountant....
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....h month from the date of earliest Authorisation, the composition fee will be @ 0.5% of FOB value of exports made. (c) Where Authorisation(s) with initial obligation period of 36 months is clubbed with authorization(s) with initial obligation period of 18 months. In such cases, exports made upto 30 months from the date of issuance of earliest authorization only will be taken into consideration for clubbing. Accounting of exports shall be subject to payment of a composition fee @ 0.5% of FOB value of exports made after 18 months from the date of earliest authorisation but upto 24 months. For the exports effected after 24th month till 30th month from the date of earliest Authorisation, the composition fee will be @ 0.5% of FOB value of exports made." 6. Corrected vide Public Notice No. 20 /2015-2020 dt. 9th June, 2015 w.e.f. 1st April, 2015 . Earlier substituted vide PUBLIC NOTICE NO 16/2015-2020 dt. 04th June, 2015 " (c) Request for further extension of six months after first extension as in (b) above can be considered by Regional Authority, provided Authorisation holder has fulfilled minimum 50% export obligation in quantity as well as in value, on pro-rata basi....
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....2 September 2016, before it was read as, Sl No Items of export Minimum Value Addition a) Plain gold jewellery, Articles, and ornaments like Mangalsutra containing gold and black beads / imitation stones, except in studded form of jewellery. 3.5 % b) All types of Studded gold 6.0% (for those studded with coloured Gem stones) and 7.0% (for those studded with diamonds). c) Any jewellery / articles manufactured by fully mechanised process 2.0 % d) Gold medallions &coins (excluding coins of nature of legal tender) 1.5 % e) Gold / silver / platinum findings / mountings manufactured by mechanised process 2.5 % 14. Substituted vide Public Notice no. 26/2015-2020 dated 20-9-2017, before it was read as, "4.06 Fixation of Norms (i) In case where norms have not been notified, application in ANF 4B, along with prescribed documents, shall be uploaded online to concerned Norms Committee (NC) in DGFT headquarters for fixation of norm. Details of Norms Committees along with products groups dealt by each Norms Committee and respective email addresses for correspondence relating to norms fixation is as follows: N....
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....rs 32/1999, 33/1999, 39/2001, 56/2002, 57/2002, 49/2003, 50/2003, 56/2003, 71/03, 8/2004 and 20/2007 and any other notification issued by DoR from time to time. (The areas presently included are Himachal Pradesh, Uttarakhand, Jammu and Kashmir, Kutch in Gujarat, Assam, Tripura, Meghalaya, Mizoram, Manipur, Nagaland, Arunachal Pradesh and Sikkim). (iii) In case of non-excisable company / products, units should maintain a proper record. (iv) To avail this facility, names of such units should appear in IEC. Rules and Regulation of Central Excise for job work would be followed. (v) Imported duty free inputs can be taken from the port / domestic supplier's premises to the factory or the premises of the authorization / co-authorisation holder or the factory of the supporting manufacturer (whose name is endorsed in the authorization or allowed by the Central Excise authority). However, such duty free material imported or procured against advance authorization can also be taken from the port directly to the project site of the project authority, subject to furnishing a bond to the customs authority at the port of import and other documents / declaration and other provisions as per....
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....ll be applicable. Regional Authority shall compare the details of Appendix 4-I, duly verified and certified by the jurisdictional Excise Authority, with that of the inputs made/allowed in the authorisation, before allowing redemption or Bond-waiver against individual advance authorization issued for pharmaceutical product(s) manufactured through NI process. As a result of the verification process, in case, it is found that the authorisation holder has consumed lesser quantity of inputs than imported, authorisation holder shall be liable to pay customs duty on unutilized imported material, alongwith interest thereon as notified by DoR, or effect additional export within the EO period to account for the export of the material remaining un utilized. However, for the Customs duty component, the authorisation holder has also the option to furnish valid duty credit scrip issued under Chapter 3 of FTP" 20. Substituted vide Public Notice no. 26/2015-2020 dated 20-9-2017, before it was read as, "Every Advance Authoritsation holder shall maintain a true and proper account of consumption and utilization of duty free imported / domestically procured inputs against each authorisation as p....
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....ber / authorisation number with the relevant shipping bill numbers / bill of exports / invoices in case of deemed exports on quarterly basis." 27. Substituted vide Public Notice no. 26/2015-2020 dated 20-9-2017, before it was read as, "(d) Authenticity of such Certificate shall be verified by referring to DGFT website (dgft.gov.in). DGFT will publish details of such certificate on its official web every month." 28. Substituted vide Public Notice no. 26/2015-2020 dated 20-9-2017, before it was read as, "(f) On receipt of said documentary evidence from Authorisation holder, Regional Authority shall redeem the case and inform details of recovery/ deposits made to the Customs Authority at the port of registration or the Commissioner of Central Excise having jurisdiction over the factory of the Authorisation holder, as the case may be." 29. Substituted vide Public Notice no. 26/2015-2020 dated 20-9-2017, before it was read as, "4.54 Application (a) Application in ANF 4G along with documents therein, shall be filed online to concerned Regional Authority. (b) Provisions of paragraphs 4.26, 4.27, 4.28, 4.48, 4.49(e) & 4.49 (f) and 4.53 of this Handbook of Procedures....
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....ustoms Duty leviable on imported gold/ silver/ platinum, alloys, findings and mountings of gold/ silver/ platinum and plain semi-finished gold/ silver/ platinum jewellery etc." 35. Substituted vide Public Notice no. 26/2015-2020 dated 20-9-2017, before it was read as, "(ii) Three copies of invoice;" 36. Substituted vide Public Notice no. 26/2015-2020 dated 20-9-2017, before it was read as, "(h) Exporter may also obtain, in advance, gold/ silver/ platinum etc. supplied by foreign buyer by furnishing a BG /LUT for an amount equal to international price of such items plus customs duty payable thereon. BG /LUT shall be redeemed only when the exporter has furnished proof of exports to nominated agency and accounted for the use of items supplied in advance in export product." 37. Substituted vide Public Notice no. 26/2015-2020 dated 20-9-2017, before it was read as, "(a) Exporter may obtain required quantity of precious metal on loan basis subject to furnishing of BG / LUT, for customs duty to nominated agencies for an amount as may be prescribed by nominated agencies. On failure to effect exports within the period prescribed, the nominated agencies shall enforce the BG....
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....Appendix 4N of Hand Book of Procedures. The Nominated Agency Certificate / Renewal of Nominated Agency Certificate shall be issued by the Head of Office. (iv) The existing Nominated Agency Certificate issued under FTP (2009-2014) shall be valid upto 31st March 2015. Thereafter, Nominated Agency Certificate issued under FTP 2015-2020 shall be valid for a period of one year from the date of issue." 40. Substituted vide PUBLIC NOTICE No. 32/2015-2020 dated 18-10-2017, before it was read as, "^2[4.38. Facility of Clubbing of Authorisations (i) No clubbing of Authorisations issued on or before 31st March, 2009 shall be allowed. Cases already considered by PRC shall not be re-examined by RA under Para 4.38 of HBP for the purpose of clubbing. Applicant shall declare that he has not included any Advance Authorisation in respect of which request for clubbing has been considered earlier by PRC. (ii) Request for clubbing shall be made in ANF - 4C to the concerned RA who has issued the Authorisations. (iii) Clubbing of authorisations covered under Appendix 4 J and authorisations with EOP less than 18 months shall not be allowed. (iv) Facility of clubbing of Advanc....