Dated: the 19th April, 2000

Policy Circular No. 5 (RE-2000)/2000-2001

1.All Customs Authorities

2. All Licensing Authorities.

3. All Others as usual.

Subject: Export of Sandalwood Oil.

Attention is invited to the entry at S.No.33 of Schedule 2, Appendix I of the Book Titled “ITC(HS) Classifications of Export and Import Items, 1997-2000″(incorporating amendments made upto 31.8.1998) prescribing the conditions for export of sandalwood oil.

2. In accordance with the conditions prescribed for export of Sandalwood Oil, the Director General of Foreign Trade hereby specifies the conditions and procedures to be folllowed in respect of the export of Sandalwood Oil including the classes of Sandalwood permitted for the distillation of Sandalwood Oil to be exported.

3. The overall ceiling of Sandalwood Oil to be permitted against this Policy Circular for exports against ceiling in the licencing year of 1999-2000 shall be 22 M.T. as follows:

a. A quantity of 15 MT of Sandalwood Oil is earmarked for export by Tamilnadu Forest Plantation Corporation Ltd.,Tiruchirapalli, Tamilnadu(TAFCON) subject to the result of Global Tenders.

b. A quantity of 7 MT is earmarked for export by private exporters from the material purchased through Government auctions.

2. Only the Sandalwood Oil distilled from two classes of Sandalwood viz. Sandalwood Root Class and Ainchilta Class procured directly from the State Forest Department shall be permitted for exports.

5. The Director General of Foreign Trade, New Delhi shall issue authorisation to the eligible exporters for export of Sandalwood Oil in terms of the procedures as mentioned below:-

i. Prospective exporters shall submit their application in the form given in Appendix 18 A with Appendix 1A of the Handbook of Procedures, 1997-2002 within thirty days from the date of issue of this Policy Circular to the DGFT(Headquarters Office), New Delhi.

(ii) The application Shall be accompanied by the following documents:-

(a) A copy of the valid export Order/irrevocable letter of Credit from the foreign buyer;

(b) Exporters should submit copy of Certificate(s) of Origin/Legal Procurement Certificate(s) issued by the Principal Chief     Conservator of Forests of the concerned State showing the procurement and availability of Sandalwood Root Class/Ainchilta Class with the exporter in the format as prescribed at Annexure I to this Policy Circular;

(iii} Application received within the stipulated period would be considered by the DGFT on merit, in consultation with Min. of Environment & Forests, for issue of authorisation for export of Sandalwood Oil and shall be subject to any other condition that may be stipulated. The export price indicated in the confirmed Export Order/irrevocable LC shall be one of the factors to be taken into consideration for issue of authorisation.

(iv) The authorisation to the eligible exporters for export of Sandalwood Oil shall be issued by the Headquarters Office of DGFT only after the firm produces the Certificate of Physical Verification of stocks from the Regional Deputy Director (Wildlife) in case of Delhi/Mumbai/Calcuttta and Chennai or from the Divisional/District Forest Officers or Deputy Conservator of Forests of the concerned territorial division.. The Ministry of Environment & Forests shall issue suitable instructions in this regard.

(v) At the time of issue of authorisation, the exporter shall produce the Original Certificate(s) of the Origin/ Legal Procurement Certificate complete in all respects of Sandalwood Root/Ainchilta Class to D.G.F.T., New Delhi for an endorsement to the effects that against the said Legal Procurement Certificate(s)/Certificate(s) of Origin, an authorisation for export of the quantity of Sandalwood Oil as specified on the said authorisation has been issued.

6. Export of Sandalwood Oil against the authorisation so issued shall be completed within six months from the date of issue of authorisation.

Sd/- (Ajay Sahai )

Joint Director General of Foreign Trade

For Director General of Foreign Trade.

( Issued from F. No.01/91/180/1321/AM00-PC.III)


DATED 19th APRIL, 2000.

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Category : DGFT (3786)
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