Prohibited Items

4.1.13

Prohibited items of imports mentioned in ITC(HS) shall not be imported under the Advance Authorisation/DFIA/DFRC. Further the items reserved for imports by State Trading Enterprises cannot be imported against advance Authorisation/ DFIA/DFRC. However those items can be procured from State Trading Enterprises against ARO or Invalidation letter issued to the holder of advance Authorisation/DFIA/DFRC.

The State Trading Enterprises are also allowed to sell the goods on High Sea Sale basis to the holders of Advance Authorisation/DFIA/DFRC.

In addition, the State Trading Enterprises are permitted to issue “No Objection Certificate (NOC)’ if they so desire, for import by holder of advance Authorisation. DFIA holders would also be eligible to import such items based on No Objection Certificate (NOC) from the STEs for only such products as notified by DGFT. However, the Authorisation Holder would be required to file Quarterly Returns of the imports effected against such ‘No Objection Certificate’ to the concerned State Trading Enterprises (STEs) and the STEs, in turn, would submit Half-yearly import figures of such imports to the concerned administrative Department for monitoring with a copy endorsed to the Department of Commerce.

Similarly prohibited items of exports mentioned in the ITC(HS) shall not be exported under the Authorisation issued under the Advance Authorisation/DFIA/DFRC scheme. Further, export of restricted items shall be subject to all conditionalities or requirements of export Authorisation or permission, as may be required, under Schedule II of ITC (HS).