Introduction: The Government of India, through the Ministry of Commerce & Industry, Department of Commerce, and the Directorate General of Foreign Trade, has issued Notification No. 56/2023-DGFT dated January 1, 2024. This notification focuses on the amendment of Para 2.31 of the Foreign Trade Policy, 2023, specifically addressing the import policy for Used IT Assets from Special Economic Zones (SEZ) to Domestic Tariff Area (DTA).
Detailed Analysis: The key amendment introduced is the addition of Para 2.31 [I (e)], which outlines the import policy for Used IT Assets such as laptops, desktops, monitors, and printers. While the import of these assets from SEZ to DTA is restricted, certain conditions have been specified to facilitate the process.
1. Import Conditions:
- Used IT Assets can be moved from SEZ to DTA without a Restricted Imports License, provided there is a minimum usage of 2 years in the SEZ area, and the goods are not older than 5 years from the date of manufacturing.
- In the case of a unit closing down operations in SEZ and relocating to DTA, the import is allowed without a Restricted Imports License, given that the goods are not older than 5 years from the date of manufacturing.
- The relaxation for import is subject to the condition that no exemption from regulatory requirements (CRO, WPC, RoHS) was availed at the time of importing Used IT Assets into the SEZ.
2. License for Restricted Import:
- Import of Used IT Assets not meeting the specified criteria will require a License for Restricted Import.
Conclusion: The notification signifies a significant development in the Foreign Trade Policy, streamlining the import of Used IT Assets from SEZ to DTA. Businesses engaging in such transactions must adhere to the outlined conditions to benefit from the relaxed import policy. This amendment aligns with the government’s efforts to facilitate trade and promote the efficient use of IT assets within the country.
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Government of India
Ministry of Commerce & Industry
Department of Commerce
Directorate General of Foreign Trade
Notification No. 56/2023-DGFT | Dated: 01st January,2024
Subject: Amendment in Para 2.31 of the Foreign Trade Policy, 2023 – reg.
S.O.22(E): In exercise of powers conferred by Section 3 and Section 5 of Foreign Trade (Development &Regulation) Act, 1992, read with paragraph 1.02 and 2.01 of the Foreign Trade Policy, 2023, as amended from time to time, the Central Government hereby amends Para 2.31 of Foreign Trade Policy, 2023 and inserts Para 2.31 [I (e)] as under:
|
S. No. |
Categories of Second-Hand Goods | Import Policy | Conditions, if any |
| 1(e) | Used IT Assets (Laptops, desktops, monitors, printers)- Import from Special Economic Zone (SEZ) to Domestic Tariff Area(DTA) | Restricted | However import policy will be free subject to the following conditions :
1. Used IT Assets may be moved from SEZ to DTA without a Licence for Restricted Imports for the purpose of further use in their DTA operations only; given that there is a minimum usage of 2 years in the SEZ area and that the goods are not older than 5 years from the date of manufacturing. 2. In cases where a unit is closing down its operations in SEZ, and re-locating to the DTA, the import of Used IT Assets from SEZ into DTA is allowed without a Licence for Restricted Imports, given that the goods are not older than 5 years from the date of manufacturing. However IT assets that have entered the SEZ area in second 3. The relaxation for import from SEZ to DTA, under condition 1 & 2 above, shall be applicable given that no exemption from any regulatory requirements (i.e., CRO, WPC, RoHS) was availed at the time of import of the Used IT Assets into the SEZ. 4. Import of any Used IT Assets which do not fulfill the above-mentioned criteria shall be subject to a Licence for Restricted Import. |
Effect of the Notification: Import policy of Used IT Assets (laptops, desktops, monitors, Printers) from SEZ to DTA has been notified under Para 2.31 of the Foreign Trade Policy, 2023.
This issues with the approval of Minister of Commerce & Industry.
(Santosh Kumar Sarangi)
Director General of Foreign Trade &
Ex-officio Addl. Secretary to Govt. of India
Email: dgft@nic.in
(Issued from File No. 01/89/180/39/AM-13/PC-2(A)/Part-1/E-18838)
