Several doubts have been raised regarding documents required for processing of the applications for grant of EHC/THC.

In this context, the matter has been considered carefully and it is hereby clarified after consulting DGFT Headquarters that: -

(1) In terms of para 3.7.2 of the Export Import Policy 2002-07, an exporter is strictly required to have export performance in each of the preceding three years. If, in any year among the preceding three, there are no exports such an exporter will not be eligible for grant of the status certificates, even though the average exports of two/one year may be above the eligibility threshold.

(2) With regard to the special concessional category of recognition, (minimum average of Rs.5 crores exports in the preceding three years) it is hereby clarified that: -

(a) Only manufacturer exporters exporting products of Small Scale Industry/Tiny Sector/Cottage Sector/Units registered with KVICs or KVIBs/Units located in North Eastern States, Sikkim and J & K/Units exporting handloom, handicrafts, hand knotted carpets, silk carpets are eligible for the lower eligibility threshold of 5 crores. Merchant exporters who are exporting products manufactured by such units are not eligible for this benefit.

(b) Units claiming benefit of ISO 9000 series for the preceding three years should furnish the ISO certificate valid for a period inclusive of the preceding three years. The certificate should have the name of all the factories and the product/s whose exports are to be counted for export performance. An ISO certificate valid only for the current year will not be sufficient for obtaining the benefit of concessional eligibility for preceding three years.

(c) The Chartered Accountant certificate to be submitted by applicants for status certificates shall have to include specific certification by the C.A. in case the products are exported by units in SSI/Tiny Sector/Cottage Sector/KVICs or KVIBs/Handloom Handicrafts and concessional eligibility of Rs.5 crores is being claimed by the applicant on that basis. This certification should be clear and categorical in this respect.

The Chartered Accountant Certificate as prescribed in Appendix 17 does not give details of products exported, country of exports and dates of realisation which is required for the above mentioned purposes as well as statistical purposes. Therefore, exporters applying for the status certificate are required to furnish a detailed C.A.C. having the following five columns: -
 

The C.A. is required to attest each and every page of Statement. A Public Notice amending the format of the C.A. certificate will be issued by the D.G.F.T. in due course.

(SUBRAT RATHO)
ZONAL JOINT DIRECTOR GENERAL OF FOREIGN TRADE & ADDITIONAL EXPORT COMMISSIONER