PARA 3.2.6A

Duty Free Import Entitlement for Status Holders-Guidelines

The scheme will be applicable to status holders/ star export houses who had achieved minimum export turnover of Rs. 25 crores in the year 2003-04.

(Above para has been amended vide PN NO. 69/2004, DT. 07/04/2005)

[OLD-
The scheme will be applicable to status holders who were also status holders as on 31.3.2003 and who had achieved minimum export turnover of 25 crores in the year 2003-04 ]

I. For direct as well as third party exports, the Export documents viz Export Order, Invoice, GR form, Bank Realization Certificate should be in the name of applicant only. However for the third party exports, where goods have been procured from a manufacturer, the shipping bill should contain the name of the exporter as well as the supporting manufacturer.

II. Goods allowed to be imported under this scheme shall have a nexus with the product group exported [OLD-nexus with the products exported ] and a declaration in this regard shall be made by the applicant in Appendix 17D.

III. The licensing authority shall at the time of issuance of the duty free credit entitlement certificate endorse the name of the associate manufacturer/ supporting manufacturer/job worker on the certificate as declared by the applicant. Goods imported against such entitlement certificate shall be used by the status holder or his supporting manufacturer/ job worker in proportion to the product group-wise value of their direct [OLD- value of their direct ] contribution to the entitlement.

IV. The last date for filing of such applications shall be 31st December.

V. The duty free credit entitlement certificate shall be issued with a single port of registration. For each duty free credit entitlement certificate, split certificates subject to a minimum of Rs 5 lakh each and multiples thereof may also be issued. A fee of Rs 1000/- each shall be paid for each split certificate. However, a request for issuance of split certificate(s) shall be made at the time of application only and shall not be considered at a later stage.

VI. The duty free import entitlement certificate shall be valid for a period of 24 months [OLD- 12 months ] from the date of issue.[Deleted - The status holder shall within one month of the last imports made under this certificate or within one month of expiry of the certificate which ever is earlier, submit a statement of imports/ utilization made under the certificate as per Appendix 17E, to the jurisdictional Regional Licensing Authority who have issued the Certificate with a copy to the jurisdictional Excise authorities. ]

(In para 3.2.6A, the word "nexus with the products exported" in (II), "value of their direct" in the second sentence of (III), "12 months" in (VI) - replaced & Second Sentence of (VI) has been deleted vide PUBLIC NOTICE NO. 15/2005, DT. 04/06/2005)