Existing entry at Paragraph 2.79F has been substituted in the Handbook of Procedures (HBP) of the Foreign Trade Policy (FTP) 2015-20 to amend the procedure for issue of Global Authorisation for Intra-Company Transfer (GAICT) of SCOMET items including software and technology. Henceforth, GAICT policy would be applicable only for export / re-export of items, including software and technology under SCOMET Category 8 (except items listed in Annexure-I), and to only the countries listed in Table 1 above. Revised ANF (Aayat Niryat Form) – ANF 20(b), ANF 20(c) and End Use Certificate proforma Appendix 2S (iv) for applying for GAICT also notified.
Government of India
Ministry of Commerce & Industry
Department of Commerce
Directorate General of Foreign Trade
Udyog Bhawan
Public Notice No. 14/2015-20-DGFT
New Delhi, dated 13th June 2022
Subject: Amendment in Paragraph 2.79F in the Handbook of Procedures of the Foreign Trade Policy (FTP) 2015-20 to lay down the procedure for Global Authorization for Intra-Company Transfer (GAICT) of SCOMET items/software/technology
F. No. 01/91/180/18/AM17/EC(S) (Computer No. 2862)- In exercise of the powers conferred under Paragraph 1.03 of the Foreign Trade Policy (FTP) 2015-20, the Directorate General of Foreign Trade (DGFT) hereby makes amendments in Paragraph 2.79 F to Handbook of Procedures (HBP) of FTP 2015-20 with immediate effect.
2. Existing entry at sub-Para 2.79F of the HBP of FTP 2015-20 shall be substituted as under:
“Para 2.79F – Global Authorisation for Intra-Company Transfers (GAICT) of SCOMET Items/Software/Technology
A. Scope and Eligibility: Pre-export authorization will not be required, for export and/or re-export of SCOMET items including software and technology under SCOMET Category 8 (except items listed in Annexure-I), subject to the following conditions:
i. where the export is an Intra-company transfer from the Indian parent company (applicant exporter) to its foreign subsidiary company or from the Indian subsidiary of foreign company (applicant exporter) to its foreign parent/another subsidiary of foreign parent company and;
Note: in case of third party involvement in the supply chain, the end user has to be a foreign parent / another subsidiary of foreign parent company or a subsidiary company of Indian company.
ii. where the transfer fulfils the conditions mentioned at (a) to (f) below:
a. The items/software/technology to be exported/re-exported is based on a Master Service Agreement / Contract between the Indian parent company/Indian subsidiary of foreign company and foreign subsidiary of Indian company/foreign parent company of Indian subsidiary for carrying out certain services but not limited to design, encryption, research, development, delivery, validation, calibration, testing, related services, etc.;
Note 1: As a result of the service carried out by the Indian exporter in case of reexport, the items/software/technology should not undergo change in classification.
Note 2: The list of services mentioned above is illustrative, not exhaustive. However, the final decision to approve a GAICT authorization lies with the relevant authority.
b. These items including software and technology are to be exported/re-exported to the countries listed in Table 1 below (entire supply chain including any third party should be in the countries listed in Table 1 to this Public Notice);
Table 1
Argentina, Australia, Austria, Belgium, Bulgaria, Canada, Croatia, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Japan, Latvia, Lithuania, Luxembourg, Malta, Mexico, Netherlands, New Zealand, Norway, Poland, Portugal, Republic of Korea, Romania, Russian Federation, Slovakia, Slovenia, South Africa, Spain, Sweden, Switzerland, Turkey, Ukraine, United Kinudom, United States.
Note: However, IMWG on a case to case basis may allow countries other than those listed in Table 1 considering description/end use/end user of the item.
c. The applicant exporter declares that the exported items would be used for the purposes for which it is intended by the foreign subsidiary of Indian company / foreign parent company / another subsidiary of foreign parent company, as the case may be;
d. The applicant exporter furnishes either a certified/approved Internal Compliance Programme (ICP) or demonstrates compliance to the ICP of the foreign parent company or ICP certified by the Compliance Manager of the company or certified by any Government agency such as Authorized Economic Operator (AEO) scheme etc.
e. The exporter agrees to allow on-site inspection, if required by the DGFT or authorized representatives of Government of India;
f. No export authorization would be granted for UNSC sanctioned destinations or countries;
g. No export authorization shall be granted to an exporter specified at (i) above if they have come to adverse notice previously;
h. The exporter is granted a Global Authorisation for Intra-Company Transfers (GAICT) as per procedure mentioned in para 2.B below.
B. Procedure for grant of Global Authorization for Intra-Company Transfers (GAICT) Filing and Assessment of Application
a. In respect of export/re-export of SCOMET items including software and technology ,the applicant exporter shall submit an application for GAICT through online SCOMET portal and attach information in proforma -ANF 20(b);
b. The application would be assessed for the issue of GAICT by Inter-Ministerial Working Group (IMWG) based on the submission of the application and other supporting documents by the applicant exporter in the prescribed proforma;
i. Documentary proof of the corporate relationship between the Indian parent company (applicant exporter) and its foreign subsidiary company or between the Indian subsidiary of foreign company (applicant exporter) and its foreign parent / another subsidiary of foreign parent company ;
ii. Classification of item including software and technology in SCOMET (indicating SCOMET category and sub-category);
iii. Documentary proof of License Exception /Temporary license from the country of the parent company abroad or from subsidiaries of the parent company abroad, if available (optional)
iv. Detailed description of the item intended to be exported with relevant technical details with specifications; such as model, part number, etc. and in case of software/technology, relevant details like encryption algorithm, key length, encryption functionality, eligibility under cryptography note etc. to be provided (if applicable);
v. In case of third party involvement in the supply chain, a clear contract /service agreement/ Purchase order has to be furnished specifying SCOMET item description.
vi. Certified/approved ICP of the Indian parent company or self-certified copy of the ICP of the foreign parent company being adopted by Indian subsidiary of foreign company along with an undertaking thereon;
vii. Undertaking on the letterhead of the firm duly signed and stamped by the authorised signatory:
a. To allow on-site inspection, if required by the DGFT or authorized representatives of Government of India;
b. The applicant exporter declares that the exported items would be used for the purposes for which it is intended by the foreign subsidiary of Indian company / foreign parent company / another subsidiary of foreign parent company, as the case may be;
c. The applicant exporter declares that subsequent to issue of export authorisation, if the licensee has been notified in writing by DGFT or if they know or has reason to believe that an item may be intended for military end use, the exporter would not be eligible for GAICT for export of that/those item(s) and would apply separately to DGFT for a fresh authorisation in terms of regular policy. [DGFT’s PN No. 27 dated 21.09.2017 for catch-all policy may also be referred].
viii. The Company must ensure that:
a. They shall submit original End User Certificate in the prescribed format within 30 days of filing application and in case of subsequent exports, within 30 days of delivery at destination point, after issue of export authorisation;
b. They have Agreement/purchase order, excerpt of contract from entity (consignee) receiving the items which states the export is for a permitted use ;
c. The documents include the name & contact number and email id of the authority signing the EUC.
ix. A precise and clear contract /service agreement/ Purchase order has to be furnished indicating item description in case of third party involvement in the supply chain (if applicable)
x. Additional details, if any, sought by DGFT
C. Post reporting for re-export of items/software/technology under GAICT
a. The Indian exporter shall submit post-shipment details of each transfer/consignment of exports of SCOMET items/software/technology under GAICT to the SCOMET Division of DGFT (Hqrs), New Delhi, via E-mail ([email protected]) or a procedure as prescribed by DGFT, on quarterly basis (March / June / September / December), by the end of subsequent month of each quarter, in respect of the exports made in the previous quarter;
b. The post-shipment details shall be submitted in proforma ANF 2 0 (c) along with a copy of EUC in Appendix 2S (iv) within the timelines mentioned above, from the foreign subsidiary company or foreign parent company / another subsidiary of foreign parent company;
c. Failure to do so may entail imposition of penalty and / or suspension/revocation of GAICT.
Note: Revised ANF (Aryat Niryat Form) – ANF 20(b), ANF 20(c) and End Use Certificate proforma Appendix 2S (iv) enclosed with this Public Notice.
D. Record Keeping
The exporter will be required to keep records of all the export documents, in manual or electronic form, in terms of Para 2.73 (c) of HBP, for a period of 5 years from the date of GAICT issued by DGFT.
E. General conditions
a. GAICT would not be issued in case of items including software and technology to be used to design, develop, acquire, manufacture, possess, transport, transfer and / or used for chemical, biological, nuclear weapons or for missiles capable of delivering weapons of mass destruction and their delivery system;
b. GAICT would not be issued for countries or entities covered under UNSC embargo or sanctions list or to the countries or entities assessed for risk of proliferation concern, based on national security and foreign policy considerations;
c. In case of inclusion or amendment of items (including software and technology) or inclusion of new companies or amendment in existing companies in the supply chain, the applicant exporter will obtain prior permission of DGFT with relevant details;
d. IMWG shall reserve the right to deny issuance of authorization GAICT for any reason and also relax any provision of the policy, if so required in exceptional cases.
F. Re-exports / re-transfer of the items including software and technology (processed or incorporated)
Further re-exports / re-transfers of the items including software and technology (processed or incorporated) from the foreign subsidiary company or foreign parent company / another subsidiary of foreign parent company to end users in other countries would be subject to the export control regulations of the country of the foreign subsidiary of Indian company or foreign parent company / another subsidiary of foreign parent company.
G. Validity
a) GAICT issued for intra-company transfers of SCOMET items including software and technology shall be valid for a period of three years from the date of issue of GAICT;
b) GAICT cannot be revalidated in terms of Paragraph 2.80 of FIBP of FTP 2015-20.
H. Suspension / Revocation
GAICT issued shall be liable to be suspended by the DGFT on receipt of intimation about initiation of any inquiry from the country concerned or from any domestic agency. GAICT shall be revoked on receipt of an adverse report on proliferation concern or for non-submission of mandatory reports/documents within the prescribed timelines or for noncompliance of any of the condition of this Public Notice.
3. Effect of this Public Notice:
Existing entry at Paragraph 2.79F has been substituted in the Handbook of Procedures (HBP) of the Foreign Trade Policy (FTP) 2015-20 to amend the procedure for issue of Global Authorisation for Intra-Company Transfer (GAICT) of SCOMET items including software and technology. Henceforth, GAICT policy would be applicable only for export / re-export of items, including software and technology under SCOMET Category 8 (except items listed in Annexure-I), and to only the countries listed in Table 1 above. Revised ANF (Aayat Niryat Form) – ANF 20(b), ANF 20(c) and End Use Certificate proforma Appendix 2S (iv) for applying for GAICT also notified.
(Santosh Kumar Sarangi)
Director General of Foreign Trade &
Ex-officio Additional Secretary to the GoI
E-mail: [email protected]
(Issued from F.No. 01/91/180/18/AM17/EC(S) (Computer No. 2862)
Annexure – I
List of Items excluded under SCOMET Category 8 for export / re–export under GAICT POLICY notified, vide Public Notice No. 14/2021 dated 13.06.2022
S.No |
SCOMET Category/ Sub Category | Description
[Please refer updated SCOMET list (URL : shorturl.at/dgyJR) for full text and details] |
(1) | (2) | (4) |
1. | 8A102.a.1 | “Composite” structures or laminates, as follows:
a. Made from any of the following: 1. An organic “matrix” and “fibrous or f ilamentary materials” specified by 8C110.c, 8C110.d or |
2. | 8C101 | Materials specially designed for absorbing electromagnetic radiation… |
3. | 8C107.c | Ceramic-“matrix” “composite” materials… |
4. | 8C107.d | Reserved |
5. | 8C110.c. & 8C110.d. | “Fibrous or filamentary materials”… |
6. | 8C112 | Materials as follows… |
7. | 8D102 | “Software” for the “development” of organic “matrix”, metal “matrix” or carbon “matrix” laminates or “composites” specified by this List. |
8. | 8E101 | “Technology” according to the General Technology Note for the “development” or “production” of equipment or materials specified by 8A102 to 8A105, 8A106.b, 8A107, 8B1 or 8C. |
9. | 8E102.e. & 8E102.f. | Other “technology”… |
10. | 8B201.a. | Machine tools for turning having two or more axes which can be coordinated simultaneously for “contouring control” having any of the following: |
11. | 86201.b. | Machine tools for milling having any of the following:… |
12. | 86201.d. | Electrical discharge machines (EDM) of the non-wire type which have two or more rotary axes which can be coordinated simultaneously for “contouring control”… |
13. | 86201.f. | Deep-hole-drilling machines and turning machines modified for deep-hole-drilling, having a maximum depth-of-bore capability exceeding 5 m… |
14. | 86203 | “Numerically controlled” or manual machine tools, and specially designed components, controls and accessories therefor, specially designed for… |
15. | 8D201 | “Software”, other than that specified by 8D202 as follows:
a. “Software” specially designed or modified for the “development” or “production” of equipment specified by 8A2 or 82B; b. “Software” specially designed or modified for the “use” of equipment specified by 8A201.c, 8B201, or 8B203 to 8B209. Note 8D201 does not apply to part programming” software” that generates “numerical control” codes for machining various parts. |
16. | 8E201 | “Technology” according to the General Technology Note for the “development” of equipment or “software” specified by 8A2, 8B2 or 8D2.
Note 8E201 includes “technology” for the integration of probe systems into coordinate measurement machines specified by 8B206.a. |
17. | 8E202 | “Technology” according to the General Technology Note for the “production” of equipment specified by 8A2 or 8B2 |
18. | 8A301 b.2. | “Monolithic Microwave Integrated Circuit” (“MMIC”) amplifiers that are any of the following:… |
19. | 8A301 b.3. | Discrete microwave transistors that are any of the following:… |
20. | 8A302 g.1 | Atomic frequency standards… “Space-qualified” |
21. | 86301 a.2. | Equipment designed for epitaxial growth as follows :…
Metal Organic Chemical Vapour Deposition (MOCVD) reactors designed for compound semiconductor epitaxial growth of material having two or more of the following elements: aluminium, gallium, indium, arsenic, phosphorus, antimony, or nitrogen; |
22. | 8D301 | “Software” specially designed for the “development” or “production” of equipment specified by 8A301.b to 8A302.h or 8B3. |
23. | 8 E301 | “Technology” according to the General Technology Note for the “development” or “production” of equipment or materials specified by 8A3, 8B3 or 8C3; |
24. | 8A401.a.2. | Electronic computers… Radiation hardened to exceed any of the following specifications:… |
25. | 8A403.b. | ” Digital computers” having an ‘Adjusted Peak Performance’ (‘APP’) exceeding 29 Weighted TeraFLOPS (WT)…. |
26. | 8A403.c. | “Electronic assemblies” specially designed or modified for enhancing performance by aggregation of processors so that the ‘APP’ of the aggregation exceeds the limit specified by8A403.b…. |
27. | 8D401 | Software” as follows: .. software” specified by 8A4 or 8D4…. |
28. | 8E401 | “Technology” according to the General Technology Note for the “development” or “production” of any of the following equipment or “software specified by 8A4 or 8D4… specified by 8E401.a., |
29. | 8A501 b.3 | Being radio equipment… |
30. | 8A501 b. 5. | Being digitally controlled radio receivers… |
31. | 8A501 h. | Counter Improvised Explosive Device (IED) equipment and related equipment… |
32. | 8B501.a. | Equipment and specially designed components or accessories therefor, specially designed for the “development” or “production” of equipment, functions or features, specified by 8A501; |
33. | 8D501.a. | “Software” specially designed or modified for the “development”, “production” or “use” of equipment, functions or features, specified by 8A501; |
34. | 8D501.b. | Reserved |
35. | 8E501.a. | “Technology” according to the General Technology Note for the “development”, “production” or “use” (excluding operation) of equipment, functions or features specified by 8A501 or “software” specified by 8D501.a. or 8D501.e.; |
36. | 8A601 a. 1. b. | Systems or transmitting and receiving arrays, designed for object detection or location, having any of the following:…
1. A transmitting…… 2. Sound pressure level exceeding 224 dB… 4. Forming beams of less than 1.. 5. Designed to operate with 6. Designed to and a. Dynamic compensation … b. Incorporating other than …. |
37. | 8A601 a. 1. b.1 | Systems or transmitting and receiving arrays, designed for object detection or location, having any of the following:
1. A transmitting frequency below 10 kHz;… |
38. | 8A601 a. 1. e. | Active individual sonars… |
39. | 8A601 a. 2.a.1 8A601 a. 2.a.1 8A601 a. 2.a.3 8A601 a. 2.a.5 8A601 a. 2.a.6 | Hydrophones…Incorporating… Hydrophones…Incorporating flexible assemblies… Hydrophones…Having any… Hydrophones…Designed to operate… Hydrophones…Designed for… |
40. | 8A601 a. 2. b. | Towed acoustic hydrophone arrays… |
41. | 8A601 a. 2. c. | Processing equipment, specially designed for real time application with towed acoustic hydrophone arrays, having “user-accessible programmability” and time or frequency domain processing and correlation, including spectral analysis, digital filtering and beamforming using Fast Fourier or other transforms or processes; |
42. | 8A601 a. 2. d. | Heading sensors… |
43. | 8A601 a. 2. e. | Bottom or bay-cable hydrophone arrays having any of the following:
1. Incorporating hydrophones… or 2. Incorporating multiplexed hydrophone group signal modules… |
44. | 8A601 a. 2. f. | Processing equipment, specially designed for real time application with bottom or bay cable systems, having “user-accessible programmability” and time or frequency domain processing and correlation, including spectral analysis, digital filtering and beamforming using Fast Fourier or other transforms or processes. |
45. | 8A602 a. 1. a.b. &c | “Space-qualified” solid-state detectors… |
46. | 8A602 a. 1. d. | “Space-qualified” “focal plane arrays”…. |
47. | 8A602 a. 2.a | Image intensifier tubes having all of the following:…
1. A peak response in the wavelength range exceeding 400 nm but not exceeding 1,050 nm; 2. Electron image amplification using any of the following: a. A microchannel plate with a hole pitch… b. An electron sensing device with a … 3. Any of the following photocathodes: a. Multialkali photocathodes (e.g, S-20 and S-25) b. GaAs or GaInAs photocathodes; or c. Other “III/V compound” semiconductor photocathodes |
48. | 8A602 a. 2.b | Image intensifier tubes… |
49. | 8A602 a. 3. | Non-“space-qualified” “focal plane arrays”…; |
50. | 8A602 b. | “Monospectral imaging sensors” and “multispectral imaging sensors”… |
51. | 8A602 c. | Direct view’ imaging equipment incorporating any of the following: 1. Image intensifier tubes having the characteristics listed in 8A602.a.2.a or 8A602.a.2.b;
2. “Focal plane arrays” having the characteristics… |
52. | 8A602 e. | (Reserved) |
53. | 8A603 b.3. | Imaging cameras incorporating image intensifier tubes having the characteristics listed in 8A602.a.2.a or 8A602.a.2.b; |
54. | 8A603 b.4. | Imaging cameras incorporating “focal plane arrays” having any of the following:
a. Incorporating “focal plane arrays” specified by 8A602.a.3.a to 8A602.a.3.e; b. Incorporating “focal plane arrays” specified by 8A602.a.3.f; or… |
55. | 8A603 b.5. | Imaging cameras incorporating solid-state detectors specified by 8A602.a.1. |
56. | 8A604 c. | “Space-qualified” components for optical systems, as follows:… |
57. | 8A604 d. | Optical control equipment as follows:… |
58. | 8A606 a. | “Magnetometers” and subsystems,…. |
59. | 8A606 a.1. | “Magnetometers” using “superconductive” (SQUID) “technology” and having any of the following:… |
60. | 8A606 a.2. | “Magnetometers” … Using optically pumped or nuclear precession (proton/Overhauser) “technology” having a ‘sensitivity’ lower (better) than 2pT rms per square root Hz; |
61. | 8A606 c.1. | “Magnetic gradiometers” as follows:
1. “Magnetic gradiometers” using multiple “magnetometers” specified by 8A606.a; |
62. | 8A606 d | “Compensation systems” for magnetic or underwater electric field sensors resulting in a performance equal to or better than the specified parameters of 8A606.a, 8A606.b, or 8A606.c; |
63. | 8A606 e | Underwater electromagnetic receivers incorporating magnetic field sensors specified by 8A606.a or underwater electric field sensors specified by 8A606.b. |
64. | 8A608 d | Radar systems…Capable of… |
65. | 8A608 h | Radar systems…Employing processing… |
66. | 8A608 k | Radar systems…Having “signal processing”… |
67. | 8A608 l.3 | (Reserved) ; |
68. | 8B608 | Pulse radar cross-section… |
69. | 8D601 | “Software” specially designed for the “development” or “production” of equipment specified by 8A604, 8A605, 8A608 or 8B608. |
70. | 8D603.a. | “Software”, as follows:… |
71. | 8E601 | “Technology” according to… |
72. | 8E602 | “Technology” according to the General Technology Note for the “production” of equipment or materials specified by 8A6, 8B6 or 8C6. |
73. | 8D702 | “Source code” for the operation or maintenance… |
74. | 8D703.a. | “Software” specially designed or modified to… |
75. | 8D703.b. | “Source code” for… |
76. | 8D703.c. | (Reserved) |
77. | 8D703 d.1‐4 &7 | (Reserved) |
78. | 8D704 a.to d. &g | “Source code” incorporating “development” “technology” specified by… |
79. | 8E701 & 8E702 |
“Technology” according to the General Technology Note… |
80. | 8A801.b. | Manned, untethered submersible vehicles… |
81. | 8A801.c. | Unmanned submersible vehicles… |
82. | 8A801.c.1 | Unmanned submersible vehicles… |
83. | 8A801.d. | (Reserved) |
84. | 8A802.b. | Systems specially designed or modified for the automated control of the motion of submersible vehicles specified by 8A801, using navigation data, having closed loop servo-controls and having any of the following:
1. Enabling… 2. Maintaining… 3. Maintaining… |
85. | 8A802.h. | “Robots” specially designed for underwater use… |
86. | 8A802.j. | Air independent power systems… |
87. | 8A802.o.3 | Noise reduction systems for use on vessels… |
88. | 8A802.o.3.b | ‘Active noise reduction or cancellation systems’ or magnetic bearings, specially designed for power transmission systems |
89. | 8A802.p | Pumpjet propulsion systems… |
90. | 8D801 | “Software” specially designed or modified for the “development”, “production” or “use” of equipment or materials, specified by 8A8, 8B8 or 8C8. |
91. | 8D802 | Specific “software”… |
92. | 8E801 | “Technology” according to the General Technology Note for the “development” or “production” of equipment or materials, specified by 8A8, 8B8 or 8C8. |
93. | 8E802.a. | Other “technology”… |
94. | 8A911 | Ramjet, scramjet or combined cycle engines… |
95. | 8B901 | Equipment, tooling or fixtures, specially designed for manufacturing gas turbine engine blades, vanes or “tip shrouds”, as follows:
a. Directional-solidification or single-crystal casting equipment; b. Casting tooling, manufactured from refractory metals or ceramics, as follows: 1. Cores; 2. Shells (moulds); 3. Combined core and shell (mould) units; c. Directional-solidification… |
96. | 8D901 | “Software”, not specified in 8D903 or 8D904, specially designed or modified for the “development” of equipment or “technology”, specified by 8A9, 8B9 or 8E903. |
97. | 8D902 | “Software”, not specified in 8D903 or 8D904, specially designed or modified for the “production” of equipment specified by 8A9 or 8B9. |
98. | 8D904.a. | 2D or 3D viscous “software”, validated with wind tunnel or flight test data required for detailed engine flow modelling; |
99. | 8D904.c. | “Software” specially designed to control directional-solidification or single-crystal material growth in equipment specified by 8B901.a or 8B901.c; |
100. | 8E901 | “Technology” according to the General Technology Note… |
101. | 8E902 | “Technology” according to the General Technology Note… |
102. | 8E903 a. 1. to 5 | “Technology” “required” for… |
103. | 8E903 a. 3. a | “Technology” “required” for… Components… Manufactured from organic “composite” materials designed to operate above 588 K (315°C). |
104. | 8E903.h | “Technology” “required” for gas turbine “FADEC systems”… |
****
ANF- 2 O(b)
APPLICATION FORM FOR EXPORT OF SCOMET ITEMS INCLUDING SOFTWARE AND TECHNOLOGY (UNDER GLOBAL AUTHORISATION FOR INTRA COMPANY TRANSFER) LISTED IN APPENDIX 3 TO SCHEDULE 2 OF ITC (HS) CLASSIFICATION
[Please see DGFT’s Public Notice No. 14 /2015–20 dated 13.06.2022 before filling the application]