• Export or import shall be free, except to the extent they are regulated by the provisions of this policy or any other law in force.

• Any goods, the export or import of which is restricted may be exported or imported only in accordance with a licence issued in this behalf. 

• Every license shall be valid for the period of validity specified in the licence and it shall contain the terms and conditions specified by the licensing authority. The conditions may include:  

(a) The quantity, description and value of the goods

(b) Actual user condition   

(c) Export obligation   

(d) The value addition to be achieved and  

(e) The minimum export price.

• No person can claim a licence as a right and the Director General of Foreign Trade or the licensing authority shall have the power to refuse to grant or renew a licence in accordance with the provisions of the Act and the Rules.

• Any goods, the import or export of which is canalised, may be imported or exported by the canalising agency specified in the ITC (HS) Classifications of Export and Imports items. The Director General of Foreign Trade may, however, grant a licence to any other person to import or export any canalised goods. 

• Any person without an Importer-Exporter Code (IEC) number shall make no export or import unless specifically exempted. An Importer-Exporter Code (IEC) number shall be granted, on application by the competent authority in accordance with the procedure specified in the Handbook (Vol.1) Registration -cum-Membership Certificate.

• The Director General of Foreign Trade may, in any case or class of cases, specify the procedure to be followed by an exporter or importer or by any licensing, competent or other authority for the purpose of implementing the provisions of the Act, the Rules and Orders made thereunder and this Policy.

• If any question or doubt arises in respect of the interpretation of any provision contained in this Policy, or regarding the classification of any item in the book titled "ITC(HS) Classifications of Export and Imports items", the said question or doubt shall be referred to the Director General of Foreign Trade whose decision thereon shall be final and binding. 

• Any request for relaxation of the provisions of this Policy or of any procedure, on the ground that there is genuine hardship to the applicant or that a strict application of the Policy or the procedure is likely to have an adverse impact on trade, may be made to the Director General of Foreign Trade for such relief as may be necessary. The Director General of Foreign Trade may pass such orders or grant such relaxation or relief as he may deem fit and proper. The Director General of Foreign Trade may, in public interest, exempt any person or class or category of persons from any provision of this Policy or any procedure and may, while granting such exemption, impose such conditions as he may deem fit.

• Private bonded warehouses may be set up in the Domestic Tariff Area as per the terms and conditions of notification issued by Department of Revenue. Any person may import goods except prohibited items, arms and ammunition and hazardous waste and chemicals and warehouse them in such private bonded warehouses. Such goods may be cleared for home consumption in accordance with the provisions of this Policy and against Licence, wherever required.

• Customs duty as applicable shall be paid at the time of clearance of such goods. If such goods are not cleared for home consumption within a period of one year or such extended period as the custom authorities may permit the importer of such goods shall re- export the goods. 

• The Director General of Foreign Trade may issue, from time to time, such instructions or frame such schemes as may be required to promote trade and strengthen economic ties with neighbouring countries.

• Transit of goods through India from or to countries adjacent to India shall be regulated in accordance with the treaty between India and those countries. Wherever any duty free import is allowed, the importer shall execute a Legal Undertaking (LUT)/Bank Guarantee (BG) with the Customs Authority before clearance of goods through the Customs, in the manner as may be prescribed.

• In case of indigenous sourcing, the licence holder shall furnish BG/LUT to the licensing authority before sourcing the material from the indigenous supplier/nominated agencies.

• If a licence holder violates any condition of the licence or fails to fulfil the export obligation, he shall be liable to action in accordance with the Act, the Rules and Orders made there under, the Policy and any other law in force.

• Consignments of items allowed for exports shall not be withheld/delayed for any reason by any agency of the Central /State Government. In case of any doubt, the authorities concerned may ask for an undertaking from the exporter. 

• Import and export of samples shall be governed by the provisions given in Handbook (Vol.1) Green card4.23

• All manufacturers exporting more than 50% of their production, subject to a minimum export of Rs.1 crore, in the preceding year, shall be issued a green card by DGFT. This card will entitle the holder to such facilities as may be specified from time to time. 

Post Comment

Name : Email : Password : Comments :