Page 11 - Craftcil Mar 2024

impex

Impex # 2 DGFT issues Trade Notice imposing a cap of Rs. 2.50 crore (quarterly)
on payment of "interest equalisation" per IEC

DGFT issues Trade Notice imposing a cap DGFT has issued a Trade Notice No. 40/2023-24 dt 20.03.24 by
of Rs. 2.50 crore (quarterly) on payment which cap of Rs. 2.50 crore per IEC has been imposed till 30.04.2024
of "interest equalisation" per IEC. for the quarter starting from 01.04.2024. (copy below):

DGFT Trade Notice No. 40/2023-2024, Dated: 20.03.2024
Subject: Amendments under Interest Equalization Scheme - reg.

Attention of Trade and Industry is drawn towards the extension of Interest Equalization Scheme (IES) upto 30.06.2024,
as notified by RBI vide its Circular No. DOR.STR.REC.78/04.02.001/2023-24 dated 22.02.2024.
2. In this regard, it may be noted that a cap of Rs. 2.50 Cr per IEC is imposed till 30.06.2024 for the quarter starting
from 01.04.2024.

Impex # 3 Enabling provisions made for exempting inputs by Advance Authorisation holders,
EOUs & SEZ from Quality Control Orders

DGFT issued notification containing Apart from purity quality of goods is very important. In order to ensure
enabling provisions for import of good quality many ministries, departments and authorities have issued

inputs that are subjected to orders for quality controls. But the above QCOs (Quality Control Orders)
on Advance Authorisation holders, EOUs & SEZs who require the input in
mandatory Quality Control Orders.
small quantities but subject to QCOs. To solve the problems mentioned
above, DGFT has issued a Notification No. 71/2023 dt 11.03.2024 enabling imports by Advance Authorisation holders,
EOUs & SEZs (copy below):

DGFT Notification No. 71/2023, Dated : 11 March 2024

Subject: Enabling provisions for import of inputs that are subjected to mandatory Quality Control Orders (QCOs)
by Advance Authorisation holders, EOU and SEZ.
In exercise of powers conferred by Section 3 read with Section 5 of the Foreign Trade (Development & Regulation) Act,
1992 (No. 22 of 1992), as amended, read with Para 1.02 and 2.03 of the Foreign Trade Policy (FTP), 2023, the Central
Government hereby makes the following amendments to FTP, 2023 with immediate effect, in supersession of
Notification No. 69/2023 dated 07.03.2024.
1. A new para 2.03 (A) is inserted below para 2.03 of FTP 2023, as follows: "2.03A Importability of items under
Advance Authorisation/EOU/SEZ without compliance to the mandatory Quality Control Orders (QCOs) Import of
Inputs under Advance Authorisation/EOU/SEZ without compliance to the mandatory QCOs, shall be subjected to
the following conditions:

i) For Advance Authorisation:
a) Import of inputs under the Advance authorisation without compliance to the mandatory QCOs shall be with
pre-import condition. Such inputs shall be utilised in the manufacturing of the export product (making normal
allowance for wastage) and shall be exported under the same authorisation.

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