The Directorate General of Foreign Trade (DGFT), under the Ministry of Commerce & Industry, Government of India, issued Notification No. 16/2024-25-DGFT on June 6, 2024. This notification introduces enabling provisions for the import of inputs subjected to mandatory Quality Control Orders (QCOs) by Advance Authorisation holders, Export Oriented Units (EOUs), and Special Economic Zones (SEZs).
Legal Framework: The notification is enacted under Section 3 and Section 5 of the Foreign Trade (Development & Regulation) Act, 1992, in conjunction with Para 1.02 and 2.03 of the Foreign Trade Policy (FTP), 2023. These provisions empower the Central Government to amend regulations related to foreign trade.
Amendments to FTP: The amendments specifically target Para 2.03(A) (i) (g) of the FTP, 2023, which pertains to Advance Authorisation. The revised policy exempts inputs imported under Advance Authorisations from mandatory QCOs, facilitating smoother import procedures for authorized entities.
Scope of Exemption: Advance Authorisation holders, EOUs, and SEZs are now enabled to import inputs without adherence to QCOs. Additionally, Duty Credit Pass Book (DCPC) has been notified in Appendix 2Y of FTP, 2023. However, the Export Obligation (EO) period for products subject to QCO exemption by the Ministry of Textiles and the DCPC is restricted to 180 days from the clearance date of import consignments.
******
Government of India
Ministry of Commerce & Industry
Department of Commerce
Directorate General of Foreign Trade
Vanijya Bhawan
Notification No. 16/2024-25-DGFT | 06th June, 2024
Subject: Enabling provisions for import of inputs that are subjected to mandatory Quality Control Orders (QCOs) by Advance Authorisation holders, EOU and SEZ – Regarding.
S.O. 2213(E).— In exercise of powers conferred by Section 3 read with Section 5 of the Foreign Trade (Development & Regulation) Act, 1992 (No. 22 of 1992), as amended, read with Para 1.02 and 2.03 of the Foreign Trade Policy (FTP), 2023, the Central Government hereby makes the following amendments relating to Advance Authorisation in para 2.03(A) (i) (g) of FTP, 2023, notified vide Notification No. 71/2023 dated 11.03.2024, with immediate effect (changes made are indicated in bold letters):
This issue with the approval of the Minister of Commerce & Industry.
| Existing Policy [para 2.03(A) (i) (g)] |
Revised Policy [para 2.03(A) (i) (g)] |
| The Export Obligation period for such The authorizations shall be as per 4.40 of authorizations Handbook of Procedures. However, Handbook period is restricted to 180 days from the date of clearance of import consignments date in respect of QCO exemption for textile Products. | Export Obligation period for such shall be as per 4.40 of of Procedures. However, EO period is restricted to 180 days from the of clearance of import consignments respect of QCO exemption for textile and chemical Products, notified by Ministry of Textiles and Department of Chemicals & Petro-chemicals (DCPC) respectively. |
Effect of this Notification: Enabling provisions are made for exempting inputs imported by Advance Authorisation holders, ECM and SEZ, from mandatory Quality Control Orders (QCOs). Also. DCPC have been notified in Appendix 2Y of FTP, 2023. The EO Period for the products of Ministry of Textiles and the DCPC is restricted to 180 days from the date of clearance of import consignments in respect of QCO exemption.
(Santosh Kumar Sarangi)
Director General of Foreign Trade &
Ex-Officio Additional Secretary to the Government of India
E-mail. dgft@nic.in
[Issued from File No 01/89/180/13/AM-15/PC-2[A]/E-5910]
***
Government of India
Ministry of Commerce & Industry
Department of Commerce
Directorate General of Foreign Trade
Bhawan, New Delhi
Dated: 12th June, 2024
CORRIGENDUM
Subject: Corrigendum to Notification No. 16/2024-25 dated 06.06.2024 on enabling provisions for import of inputs that are subjected to mandatory Quality Control Orders (QCOs) by Advance Authorisation holders, EOU and SEZ —regarding
S.O. 2255(E) In exercise of the powers conferred by Section 3 read with Section 5 of the Foreign Trade (Development & Regulation) Act, 1992 (as amended from time to time) read with Para 1.02 and 2.04 of the Foreign Trade Policy 2023; the Director General of Foreign Trade hereby makes amendments in Notification No. 16/2024-25 dated 06th June, 2024.
2. In the English version of Notification No. 16/ 2024-25 dated 06.06.2024, the words ‘2.30(A) (i) (g)’ in the fifth line of Paragraph 1 and in the table thereunder shall be read as ‘2.03(A) (i) (g)’.
(Santosh Kumar Sarangi)
Director General of Foreign Trade &
Ex-Officio Additional Secretary to the Government of India
E-mail: dgft©nic.in
[Issued from File No.01/89/180/13/AM-15/PC-2[A]/E-5910]
