TaxTMI 
TaxTMI 
2018 (1) TMI 777
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....e") is contrary to the provisions of the Foreign Trade Policy (FTP) 2009-2014. 2. Petitioner no.1 is engaged in the business of manufacturing industrial valves, bulk of which are exported to other countries. According to the petitioners, petitioner no.1 is entitled to the benefits of the Focus Product Scheme (FPS) against its exports of industrial valves. The petitioners claim that in terms of the FPS, petitioner no.1 is entitled to licences equivalent to 4% of the FOB value of its exports. The petitioners are aggrieved as in terms of the impugned notice, such benefit is not available for export of industrial valves and is restricted only to bicycle parts. 3. The relevant paragraphs of FTP 2009-2014 containing the provisions relating ....
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....ILAR APPLIANCES FOR PIPES, BOILER SHELLS, TANKS, VATS OR THE LIKE, INCLUDING PRESSURE REDUCING VALVES AND THER MOSTATICALLY CONTROLLED VALVES" 5. The petitioners claim that in the past they had applied for and were granted licences against export of industrial valves. However, several applications made by the petitioners in the recent past were kept pending. The petitioners have filed a tabular statement (as Annexure - I) indicating the applications that are pending. According to the petitioners, they are entitled to licences for a total value of Rs.3,68,47,195 against the pending applications. 6. The petitioners received a deficiency letter dated 01.06.2015 in respect of one of their applications, which stated that their applications....
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....O. 11/2015 To ALL IEC HOLDERS ALL EPCs ALL CHAMBERS OF TRADE AND INDUSTRY FEDERATION OF INDIAN EXPORT ORGANISATIONS ALL RA's OF DGFT Subject : Clarification on availability of benefit under Focus Product Scheme of Foreign Trade Policy 2009-14 on the export of items mentioned at Sl No. 269 of Appendix 37-D, Table-1 of Foreign Trade Policy 2009-14 - of kind used on bicycle (ITC HS 8481). The product description appearing under ITCHS 8481 mentioned at Sl No. 269 of Appendix 37-D, Table-1 of Foreign Trade Policy 2009-14 notified vide public notice no. 52 dated 25.02.2014 is as under: "ITEMS OF A KIND USED ON BICYCLES: TAPS, COCKS, VALVES AND SIMILAR APPLIANCE FOR PIPES, BOILER SHELLS, TANKS, VATS OR THE LIKE....
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....R GENERAL OF FOREIGN TRADE e-mail: [email protected]" 10. This Court is unable to accept that the relevant entry at serial no. 269 ought to be read in the manner as stated in the impugned notice for the reasons as stated hereafter. 11. First of all, the product code noted against serial no. 269 is specified as 8481. Concededly, the said products are not restricted to items used in bicycles alone. The Indian Trade Classification based on Harmonised System was adopted in India for import export operations (these codes are commonly referred to as ITC (HS) Codes). The Harmonised Commodity Description and Coding System (commonly referred to as the Harmonised System or "HS") is an international nomenclature for clasification of products. It....
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....the product Code 8481 90 10. Adopting a classification based on Harmonised System enables a definite product description. Concededly, ITC (HS) Code 8481 is a broad classification of various goods falling under the said heading and is not limited to parts of bicycle alone. 11.3 It is also relevant to mention that the heading of chapter 84 and the broad description of goods under HS code 8481 under ITC (HS) is identical to the international HS as maintained by World Customs Organization (WCO). 11.4 There is much merit in the contentnion that wherever the Central Government desired that only specific products under a broad heading be considered eligible for benefits under FPS, specific eight digit product code of those products were ment....
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....EIS, Appendix 3B also lists the rate(s) of rewards on various notified products [ITC (HS) code wise]. The basis of calculation of reward would be on realised FOB value of exports in free foreign exchange, or on FOB value of exports as given in the Shipping Bills in free foreign exchange, whichever is less, unless otherwise specified." 14. The relevant entry under Appendix 3B - Entry No. 4097 is set out below:- Sr.No HS Code ITC (HS) Code Description of goods 4097 84807900 Other Moulds For Rubber/Plastics 8481 Taps, Cocks, Valves and Similar Appliances for pipes, boiler shells, tanks, vats or the like including pressure-reducing valves and thermostatically controlled valves 15....