APPENDIX-14 L
NORMS OF SCRAP/WASTE MATERIAL FOR AN EXPORT PRODUCT UNDER
EXPORT ORIENTED UNITS AND UNITS IN EXPORT PROCESSING ZONES
----------------------------------------------------------Note :
Please see Para 6.8 of the Policy and Para 6.8 of
this Handbook.
---------------------------------------------------------------------Percent
S.No Goods
Goods used
.
Manufactured
ages of
scrap
or
waste
on
importe
d goods
1.
2.
3.
4.
1.
Stainless steel
utensils
Stainless steel sheets
and circles
2.
Spectacle frames,
if produced-
Cellulose nitrate
sheets and cellulose
acetate sheets
(i) by
fabrication out
of cellulose
nitrate sheets
and cellulose
acetate sheets
25%
65%
20%
(ii) by moulding
from cellulose
acetate powder
3.
Pharmaceuticals.
4.
Adelphane
Esiderex tablets.
Remactane
Capsules
5.
Chloramphenicoloral
anspenium
chloramphenicol
capsules celatia
capsules
Granulated tablets
mass.
a) Rifampicin, USP
b) Lactose Crystalline
c) Empty Gelatine
2.8%
4.28%
6.67%
1.5%
0.83%
0.83%
6.00%
6.
Embroidery on
fabrics
Imported nylex fabrics
and other embroidery
materials like straw
yarn, metallic yarn and
sequences
4.23%
7.
Salted peanuts
and cashewnuts
Hand Knitting
Machines
Imported tin sheets
8.9%
Imported components
such as selectors,
carries, needles, beds
and brushes
a) PVC Plastic
b) Metal Parts for hand
bags
c) Metal Parts for
Jewellery
d) Glass Chatons and
Beads
0.40%
8.
9.
Imitation
Jewellery
8.0%
1.3%
3.5%
2.7%
App-173
10.
Polythene Bags
PVC Granules
5%
11.
Ivory Carvings
Raw Ivory
30%
12.
Raw ivory
10%
13.
Plain ivory
bangles
Industrial chains
Cold rolled steel
-do-
40%
35%
14.
(I)1/2” pitch
chain
(ii) 3/4” pitch
chain
Soap
5%
15
PVC pipes
16.
Lead Glass tubing
Fatty Acid, Oils and
perfumes
PVC resin, PVC
Stabilizer PVC
lubricants, filter
processing acids,
pigments and
plasticisers
Glass Tubes
20%
17.
Lead in Wire
Wire
15%
18.
Fluorescent
a)
14.96%
Lead Glass tubings.
5%
starter
19.
Builders hardware
20.
Combs and brushes
21
Jeens
22.
Bed Linen sets
23.
Jacket
24.
25.
b) Bimetal
c) Lead in wire(small)
d) Lead in wire(big)
e)Glow lamps
f) Capacitors
g) Revetting
h) Aluminium alloy
rods
I) Bakelite sheets
Brass rods, profiles
sections of brass etc.
24.70%
25.00%
23.50%
6.5%
7.5%
5.5%
25%
35%
Cellulose nitrate and
acetate sheets
100% cotton denim
50.00%
34.00%
16.00%
100% cotton printed
sheeting
Knitted fabrics
5.37%
23.00%
Shirts
Plain fabrics
Check (printed)fabrics
19.16%
20.00%
PVC reinforced
hoses,extruded
moulded plastic
products
PVC Resin
PVC Stabiliser
PVC Lubricants
Filter processing aids,
Pigments and
plasticisers.
5.00%
App-174
26.
Kraft paper & flutting
media
Lactose
Analgin
10.00%
27.
Corrugated sheets
and boxes.
Baraglin tablets.
28.
Skirts
Fabrics
20.00%
29.
65% polyester/35%
cotton fabrics.
M.S.Plates
22.00%
30.
Embroidered
Kaftan
Air compressors
31.
Detergent Powder
Alkyl benezene, soda
ash, caustic soda,
5.00%
3.00%
4.20%
5.00%
sodium tripry
phosphate, carbonyl
methyl cellulose
perfumes.
Diazionon stablised
Neocidol bulk
Stainless steel sheets.
35.00%
i)Copper enamelled
ii)Insulating paper
1.5%
23%
Aluminium Rod and Steel
Wire
HDFE,PP, LDPE, & PVC
1.75%
5%
L.D.P.E. Granules
10%
Woollen Pullovers
and other Knitted
Garments.
Agarbatti
Woollen and other yarn
10.02%
(a) Packing
Tubes for
Agarbatti
MIS Sheets/Tin Plates
5%
Foil Board Sheet(Paper
Board-Gold)
-do-do-
22.5%
32.7%
37.5%
32.
Neocidol 60 Ex.
33.
Stainless steel
Cutlery
Domestic Mixers
34.
35.
36.
37.
38.
39.
AAC/ACSR Overhead
Conductors
Injection/blow
moulded plastic
articles.
Flexivial
(b) Packing
Cartons for
Agarbatti
(i) 15”
agarbatti Unit
Carton
(ii) 10”
Agarbatti Unit
Carton
(iii) 5 Tola 55
Series Unit
Carton
(c) Bamboo
Sticks Waste
Bamboo Sticks
3.00%
21.78%
App-175
40.
HRC Fuses
41.
Carry Strappings
42.
Polypropylene
Bags
Fire Hoses
43.
44.
Processed
Vegetable Oil
45.
Lipsticks
(a) Resistance Wire
(b) Indicator
(c) Contact Knives
(d) Exconal (Aluminium
Profiles)
(e) Shrinkage Plastic
(f) Pull Lugs
(g) Hexagonal-1 Nut
(h) Cylinder Head
Screw
(I) Spring Washer
(j) Name Plates
(k) Silicon Rubber
(l)
Striker Plat
(m) Striker Hose
(n) Striker Pin
(o) Extractor Rivets
(p) Compression Spring
(q) Support Card
Boards
(r)
Soldering Wire
(s) Phenol Chalk
Mineral
(t) Copper Strips
Polypropylene,Colour
and pigments
Polypropylene
Aluminium Coupling(nut
& tail piece)
(a) Oil Blend
(b) Tins/Jars
(c) Outer Cartons
(d) Cellophane
Sheets/Bopp Rolls
(e) Gum Tape/Cello
Tape
(f) Carry Stripping
Rolls
(a) Base
Mechanisms/Case
(b) Inner Cartons
10%
10%
1%
13%
15%
2%
1%
1.05%
5.25%
1%
2%
1%
1%
1%
3%
5%
3%
10%
5%
8 to
10%
7.5%
5.5%
1%
0.62%
5%
5%
3%
1%
1%
5%
5%
5%
46.
Powder Compacts
(c) Outer Cartons
(d) Labels/Stickers
(e) Gum/Cello Tapes
(f) Carry Stripping
Rolls
(a) Raw Bulk Powder
(b) Holding Cases
(c) Godets
(d) Pressing Cloth
(e) Acetate Sheets
(f)
Applicators/Brushes
(g) Labels/Stickers
(h) Innner Cartons
(I) Outer Cartons
(j) Gum/Cello Tapes
(k) Carry Stripping
Rolls
1%
1%
1%
5%
5%
5%
5%
1%
5%
5%
1%
1%
App-176
47.
Eyebrow /Eye
Shadow Pencils
48.
Perfumary
Products
49.
Shampoo/Condition
er
(a) Raw Pencils
(b) Foils
(c) Caps
(d) Trays
(e) Inner Cartons
(f) Plastic Cover for
Trays
(g) Outer Cartons
(h) Gum/Cello
Tapes/Carrystrap Rolls
(a) Bottles/cans
(b) Caps
(c) Valves
(d) Actuators
(e) Lables/Stickers
(f) Inner/Outer
Cartons
(g) Gum/Cello Tapes
(h) Carrystrap Rolls
(a) Bottles
(b) Inner
Cartons/Polybags
(c) Outer Cartons
(d) Cellophane
Sheets/Bopp Rolls
5%
5%
5%
5%
1%
5%
5%
2%
5%
1%
5%
1%
1%
5%
5%
5%
3%
1%
1%
50.
Hand Bags
(e) Gum Tape
(f) Cello Tape
(g) Carry Stripping
Roll
1%
(a) Gobelin
Tapestry/Fabric(Basic
Fabric)
(b) Nylon Lining
Fabric
(c) Frames
(d) Chains
65% Polyester/35%
Cotton and all types of
Fabrics
Aluminium Sheets
27.15%
30.83%
Polyester Pongee cloth
30%
Steel
4.6%
Plastic Shets
4%
Polyester/Cotton
Fabrics
19.48%
Printed Fabrics
17.04%
35.75%
7.40%
6.30%
51.
Ladies Nighties
52.
57.
Aluminium Claded
Stainless Steel
Utensils
Artificial
Flowers
Marine Freight
Containers
Disposable Food
Containers
Overalls(Industri
al &
Institutional
Garments)
Bags
58.
Pareos
59.
Shorts
Fabrics
22.82%
60
Polycarbonate
Cans
Polycarbonate granules
06.00%
53.
54.
55
56.
-do-
11.27%
06.12%
App-177
61.
Polyester Film
Capacitors
I) Aluminium Foils
ii) Polyester Foils
iii)Coply wire
iv)Resin
v) Adhesive Tapes
vi) Capacitors
02.00%
01.50%
02.50%
05.00%
100%
04%
62.
63.
Domestic sewing
machine needles
Silver
High Carbon Steel wire
44.86%
Lithographic
Films(different sizes)
105.23
%
64.
Carved Limestones
Unifinished Limestones
33.33%
65.
Carved marbles
Unfinished Marbles
22.75%
66.
Bone China
Tablewares
a)
b)
c)
d)
e)
f)
g)
7.8%
67.
Printed cartons
Duplex Board
31.18%
68.
Leaflets (Folder)
Maplitho paper
15.06%
69.
Shirts Band
Art paper
20.00%
70.
Sticker
Presumed paper
27.00%
71.
Jackets Quilted
21.42%
72.
Night shirts
73.
Dressing Gown
100% polyester
Filler Taffata 100%
Nylon
100% polyester Satin
fabrics
100% polyester
Terry Fleece Fabrics
74.
Quilted House
Coats/Dressing
Gown
Bone Ash
Ball Clay
China Clay
Feldapar
Quartz
Vir.Body
CER.GLAZE
a) 100% Polyester
Fabrics
b) 100% Polyester
Wadding
c) Nylon Fabrics:
15.00%
18.98%
22.42%
App-178
75.
Stainless Steel
Utencils
a) Colander in 4 size
b) Colander stand in 3
size
c) Colander handle in
2 size
d) Multi Cookerware
set- a set of 4 pcs
e) Cocktail Shaker
f) Thala
g) Stainless steel
Boerner Ring
h) Zara in 5 size
I) Thavetha in 5 size
j) Laddle 4 size
k) Bhaji spoon pan in
4 size
l) Champage Bucket
m) Charni
n) Vegetable Steamer
o) Supreme Bowl
p) Cannister in 8 size
q) Pickle Tray
r) Double body cup and
saucer
s) Tiffin 28 swg
Dabba, Frame, Lock
clip
t) Pasta Cannister
u) Tea Kettles
v) Q Tip Container
w) Charge Plate
x) cotton Container
y) Kettle Covers
z) Pressure Cooker
aa)Stock pot
bb)Butter Warmer
cc)Mixing Bowl,
Serving Bowl
Stainless Steel Coil
39.00
76.
77.
dd)Cookware set
Sandwich BottomCasserol in 6 size
saucepan in 2 size and
Frypan in 3 size.
Hings with Ball
Bearings
Syringes with or
without needles
I) Brass Sections
39.00
Plastic film medical
disposable film
422mx100micron
11%
App-179
78
.
Synethic yarn/blended
yarn
Input material for
synthetic/blended yarn
2%
79
Plastic granules &
plastic articles
LDPE, HDPE, LLDPE,
EPPS, ABS & HIPs etc.
5%
80
Hot water bottles
of rubber
Rubber
5%
81
Denim fabrics
Waste in the form of
cotton(from cotton to
yarn
14%
Waste in the form of
hard waste(from yarn to
fabric)
82
83
Surimi(minced
fish paste) fresh
and frozen fish
etc.
Bicycle Frames
and forks
4%
9.23%
Waste in the form of
fabrics(fents,
rags/chindies during the
process of finishing and
packing
Surimi fish paste
60%
Steel sheets
Bicycle
frames(wt.3000
gms) Model genius
Bicycle
ii)
frames(wt.3000
gms)
Regular model MTB
Fork MTB (wt.1061
Iii) gms)
ERW Steel tubes
7.69%
ESW Steel tubes
6.25%
ERW steel pipes
12.53%
84
Input material for
Halogen Lamps
5%
i)
Halogen Lamps
App-180
85
Barium Ferrite
Powder/Strontum
Ferrite Powder
Input powder
30%
86.
Terry Towels
i)
Terry Towel
without border
Input thread
5.66%
ii)
Terry Towel with
border
Import thread
10.80%
87.
Embroidered
fabrics
15%
Base
cloth(Blended/100%polyes
ter)
9%
Yarn waste(Embroidered
88.
Rice
yarn)
Waste of out put allowed
Bran
Broken Rice
Sortex(Rejects)
Impurities(Organic/Inorg
anic
8%
20%
15%
2%
App-181
89.
Wire wheels
HR sheet for Rim
HR sheet for shell
Billets for shell
Spoke wire
21%
41%
69%
13%
90.
Servo Control
Mechanism and
components
Nipple wire
39%
Stator Housing G4x2
32.7%
Stator Housing G4x3
29.5%
Stator Housing G4x4
26%
Front Flage G4x4
11.9%
Resolver Housing G4x2
19.56%
Resolver Housing G4x3
15.6%
Resolver Housing G4x4
15.6%
Nozzie Block as per
drgB65804
18.46%
6.25%
G4x2 Stator Complete
copper wire
Radex cable
1%
4%
Stator Core scrap
4.3%
G4x3 Stator Complete
copper wire
Radex cable
Stator core scrap
1%
4%
5%
G4x4 Stator Complete
copper wire
Radex cable
Stator Core Scrap
91.
92.
Knitted cotton
sports and dress
socks
Upto 24s carded
yarn
1%
2.4%
Nylon and lycra yarn
10%
Cotton
Cotton
14%
13%
24s to 60s carded
yarn
App-182
93.
Bulk
drugs/intemediate
s
Acetone
Methanol
Isoprophy Alcohol
Acetic Acid
30%
6%
65%
90%
94.
Paper Cone for
Yarn
Bicycle and
bicycle
components(Rims)
Input material
40%
95.
Aluminum alloy rims
profiles
26”
24”
20”
Watch screws
Watch pinions
Watch reverts
7.75%
6.34%
7.24%
96.
Watch screw and
parts
97.
Charge Chrome
Charge Chrome
50%(of
granulate
d slag.)
98.
Acrylic
Blankets(one ply
and two ply)
Printed books and
related products
Acrylic yarn
17%
Paper
Graphic films
Pre-sensitized
Aluminimum plates
11.9%
4.6%
2.6%
100
(a) Combed cotton
yarn
Cotton
30%
101
Disposable Gas
Cylinders
CRC Sheets
31%
102
Oil Seal plates
Stainless steel
Journal Bearing
Steel bar
SS bar
(i) Phosphor bronze
tube
(ii) Phosphor bronze
bar
50%
43%
40%
50%
99.
82.66%
92.72%
78.24%
103
Engg &Textile
machinery
components
i)Iron castings, Steel
Bars non ferrous
metals and non-Metals
and aluminum
ii) CR/HR Sheets
10%
15%
App-183
104
Double throttle
Check valve
Casting
Steel bar
0.974/Kg
0.036/Kg
Double check
Valve
Casting
Steel bar
0.594/kg
0.663/kg
Gear Pump
Aluminum Extrusion
0.830/kg
105
Guar Gum refined
splits
Guar Seeds
1.3%
106
100% Cotton gauze
Swabs
Cotton yarn
11%
11%
Cotton bandage &
Length wise
elastic cloth
107
Silk fabrics
108
Silk Garments
i)Ladies skirt
ii)Ladies blouse
iii) Ladies dress
iv) Ladies Jacket
v) Ladies
Cotton yarn
Mulberry raw
silk/Douppion yarn
35%
100% silk fabric
-do-do-do-do-do-do-
10%
trousers
vi) Men's shirt
vii)Ladies shirt
109
100% silk fabric
100% silk
2%
110
Plain Jewellery
and articles and
ornaments like
Mangalsutra
containing gold
and black
beeds/imitation
stones, cubic
zirconia etc.
but excluding
diamonds,
precious, semiprecious stones.
(i) Gold/ Platinum
(by weight)
3.5%
(ii) Silver
(by weight)
4.5%
App-184
111
112
113
Studded jewellery
other then those
covered by
S.No.110 above
and articles
thereof
Mountings and
findings
manufactured
indigenously
i) Gold/ Platinum
(by weight)
Chains/Bangles
manufactured by a
fully mechanised
process and
i) Gold/ Platinum
(by weight)
(ii) Silver
(by weight)
i) Gold/ Platinum
(by weight)
(ii) Silver
(by weight)
9%
10%
3.5%
4.5%
1.25%
113
114
115.
116
unstudded.
(ii) Silver
(by weight)
1.25%
Mountings whether
imported or
indigenously
procured/manufact
ured, used in the
studded jewellery
Gold/silver/plati
num medallions
and coins
(excluding the
coins of the
nature of legal
tender)
Repair/remaking
of plain /studded
gold/silver/plati
num jewellery
i) Gold/ Platinum
(by weight)
2.5%
(ii) Silver
(by weight)
i) Gold/ Platinum
(by weight)
2.5%
(ii) Silver
(by weight)
0.25%
Gold /silver/ platinum
jewellery
2%
Garbare bass
Carry bars
with handle
Ethylene(HMHDPE)
Ethylene(LD/LLDPE)
5%
12%
0.25%
App-185
117
Semi woolen yarn
Woolen
Fibres/sliver/roving
etc
7.13%
118
Decorative glass
window panels
Glass
20%
119
Bulk drugs and
bulk drugs
intermediates
Acetone, Methanol
Isoprophy, Alcohol,
Acetic Acid
40%
120
Timing Gears
Gear Lubricant Oil RH,
Gear Water
Pump RH,
Gear Crank RH, Gear
Idler LH, Gear
Accessory RH, Gear
Idler RH, Gear Hyd.
Pump LH, Gear Cam
Shaft(Hobbed)
24.56%
121
Items not covered
above
(excluding Gem &
Jewellery)
As applicable
Upto 5%
App-186
TO BE PUBLISHED IN THE GAZETTE OF INDIA EXTRAORDINARY
(PART-I, SECTION-1)
GOVERNMENT OF INDIA
MINISTRY OF COMMERCE AND INDUSTRY
PUBLIC NOTICE No 21 /2002-07
NEW DELHI: the 1st July, 2002
In exercise of powers conferred under paragraph 2.4 of the Export and Import Policy,
2002-07, the Director General of Foreign Trade hereby makes the following
amendment/correction in the Handbook of Procedures (Vol.1):
1) Paragraph 3.6 pertaining to the “Export Promotion Council” is amended as under:
“ The general policy relating to the Export Promotion Councils is given in Chapter – 2 of
the Policy. A list of Export Promotion Councils/ Commodity Boards is given in
Appendix 27.”
2) Paragraph 6.15 (a) to (f) pertaining to the provision of “Sub Contracting” is corrected.
The corrected paras would read as under:
(a) EOU/ EPZ/ EHTP units may be permitted to remove moulds, jigs, tools, fixtures,
tackles, instruments, hangers and patterns and drawings to the premises of the sub
contractors subject to the conditions that these shall be brought back to the bonded
premises of EOU/ EPZ/ EHTP unit on completion of the job work within a stipulated
period.
(b) Export of finished good directly from the job worker’s premises may be permitted
provided the job worker’s premises is registered with the Central Excise authorities.
However, export of such products from the job worker’s premises shall not be allowed
through third parties as provided under paragraph 6.10 of the Policy.
Accordingly para 6.15 (g) pertaining to “ Contract farming” is renumbered as 6.15 (c).
3) Paragraph 7.12 pertaining to the provision of “ Sub Contracting” for SEZ units is
corrected. The corrected para would read as under:
(a) Export of finished goods directly from the job worker’s premises may be permitted
provided the job worker’s premises are registered with the Central Excise authorities.
Export of such products from the job worker’s premises shall not be allowed through
third parties as provided for under paragraph 7.10 of the Policy.
(b) In case of SEZ units undertaking job work for export on behalf of DTA unit in terms
of paragraph 7.12 of the Policy, the finished goods shall be exported directly from the
SEZ unit and export documents shall be in the name of DTA unit.
(c) SEZ units may be permitted to remove moulds, jigs, tools, fixtures, tackles,
instruments, hangers and patterns and drawings to the premises of sub contractors subject
to the conditions that these shall be brought back to the bonded premises of SEZ units on
completion of the job work within a stipulated period.
4) The last sub- para of paragraph 8.6.1 is deleted without making any alterations in the
first two sub paras. Hence para 8.6.1 is amended as under:8.6.1 In respect of supplies under paragraph 8.2 (b) of the Policy, the DTA unit shall
claim the Advance Licence for deemed export from the concerned licencing authorities.
Alternatively, the DTA unit may claim deemed export drawback from the concerned
Development Commissioner. However, for supplies to EHTP/ STP , the DTA unit shall
claim deemed export benefits from the licencing authorities concerned.
Such supplies shall be certified by the receiving agencies.
5) S.No 2 of the documents to be enclosed with the application form in Appendix 10 B
pertaining to the “Application Form for Grant of Advance Licence under Duty
Exemption Scheme” is amended as under:
2. Project Authority Certificate in case of application for Advance Licence for deemed
export (except in the case of supplies to an EPCG licence holder wherein the invalidation
letter would suffice) or a copy of invalidation letter in case of application for Advance
Licence for intermediate supply.
6) Four new Agri Export Zones are added at S. Nos 25, 26, 27 & 28 in Appendix 15
pertaining to “Agri Export Zone”. Similarly the Agri export zone at S.No 6 which was
restricted to 13 mandals of Chitoor district of Andhra Pradesh has been expanded to
cover the entire Chitoor district. All these amendments/ additions are tabulated as under:
S.No Product
State
Districts covered
6
Mango Pulp & Fresh
Andhra Pradesh Chitoor
Vegetables
25
Flowers (Orchids) & Cherry Sikkim
East Sikkim
Pepper
26
Ginger
Sikkim
North, East, South & West
Sikkim
27
Rose Onion
Karnataka
Bangalore (Urban), Bangalore
(Rural), Kolar
28
Flowers
Karnataka
Bangalore (Urban), Bangalore
(Rural), Kolar, Tumkur,
Kodagu and Belgaum
This issues in public interest.
(N.L.Lakhanpal)
Director General of Foreign Trade
(A.B.Menon)
Dy.Director General of Foreign Trade
(F.NO. 01/94/180/26/AM03/PC-IV)
(TO BE PUBLISHED IN THE GAZETTE OF INDIA EXTRAORDINARY (PART-I,
SECTION-1)
GOVERNMENT OF INDIA
MINISTRY OF COMMERCE AND INDUSTRY
PUBLIC NOTICE No. 16/2002-07
NEW DELHI: the 5th June, 2002
In exercise of powers conferred under paragraph 2.4 of the Export and Import Policy,
2002-07, the Director General of Foreign Trade hereby makes the following amendment
in the Handbook of Procedures (Vol.1):1. Para 6.2 (j) is corrected as under:
“(j) The unit shall be able to account for the entire quantity of goods imported/procured
duty free, by way of exports and sales in DTA or transfer to other EOU/EPZ/ EHTP/
STP/ SEZ units, and balance in stock. However, at no point of time the units shall be
required to co-relate every import consignment with each category of homogenous goods
exported, transferred to other EOU/ EPZ/EHTP/STP/SEZ units, sales in DTA and
balance in stock. In case of doubt the matter shall be referred to BOA for decision.”
2. Note (i) of paragraph 6.5 is corrected as under:(i) If any goods are obtained from another EOU/EPZ/EHTP/STP unit, or procured
from an international exhibitions held in India and precious metals procured from
nominated agencies, the value of such goods shall be included under B.
3. Paragraph 6.8 (c) is corrected as under:“ DTA sale shall be admissible only to similar goods as that of the goods
manufactured and exported from the unit. In case of doubt in regard to similar
nature of goods, the matter shall be referred to the BOA for decision”.
4. In paragraphs 6.8(e) and 6.8 (f), the words and expression “Appendix 14-M” is
corrected to read as “Appendix 14-L”.
5. A new paragraph 6.9 (d) is added as under:
“ ITA –I items to be cleared in the DTA shall undergo tariff change at four digit level.
Only the value added products, which have undergone the process of manufacture would
be allowed to be clear in the DTA.
6. Paragraph 6.20 (d) is corrected as under:
“The depreciation norms for capital goods of units, including electronics, would be
subject to an overall limit of 90% as notified by the Department of Revenue.
(i) Depreciation for computers and computer peripherals for all types of electronic units
would be as follows:
10% for every quarter in the first year;
8% for every quarter in the second year;
7% for every quarter in the third year;
(ii) For capital goods, other than the above, the depreciation rate would be as follows:
4 % for every quarter in the first year;
3 % for every quarter in the second and third year; and
2.5 % for every quarter in the fourth year and thereafter.
7. Paragraph 6.22 (a) is corrected as under :
“ (a) NFEP and EP shall be monitored in terms of paragraph 6.22 of the Policy as per the
guidelines given in Appendix 14-E of the Handbook (Vol.1).”
8. The sub- paras of Paragraph 6.27 b) (v), are re-numbered as (a), (b),(c),(d),(e) & (f).
9. Paragraph 6.29 is corrected as under:
“A fast track procedure will be separately notified for EOU/EPZ units with actual
investment in plant and machinery, both imported and indigenous imported of Rs.5 crores
and above.”
10. A) The Note at S.No 1. of Appendix 14-A pertaining to the “Application for setting
up EOUs or Units in Export Processing Zone / SEZ” is corrected as under:
“1. Please see Paras 6.7 and 7.7 of EXIM Policy & Paras 6.7 and 7.7 of this Handbook.”
B) In Annexure to Appendix 14 A pertaining to “Proforma to be filled in by the existing
DTA units seeking conversion into the EOU/ EPZ/ SEZ Scheme” , clause “(h)” is deleted
and the existing entry “(i)” is renumbered as “(h)”
11. A) The Note at the beginning of Appendix 14-D pertaining to “Form of Legal
Agreement for Export Oriented Units and EPZ/ SEZ Units” is corrected as under:
“Please see paras 6.6 & 7.6 of EXIM Policy and Paras 6.6 & 7.6 of the Handbook of
Procedure.”
B) The words and expression “Central Excise and Salt Act 1944” at S.No 7 of Appendix
14 D, is substituted by the words and expression “Central Excise Act, 1944”.
12. Appendix 14-E pertaining to the “Guidelines for monitoring the performance of
EOU/ EPZ/ SEZ/ STP/ EHTP units” is corrected as per the Annexure to this Public
Notice.
13. Appendix 14-F pertaining to the “Guidelines for sale of goods in the Domestic Tariff
Area (DTA) by EOU/ EPZ/ SEZ/ STP/ EHTP units” is corrected as per the Annexure to
this Public Notice.
14.
A)
The note at the beginning of Appendix 14-G pertaining to “Procedure
to be followed for reimbursement of Central Sales Tax (CST) on
supplies made to Export Oriented Units (EOU’s) and units in Export
Processing Zones (EPZ), Electronic Hardware Technology Park
(EHTP), Software Technology Park (STP) and Special Economic
Zones (SEZ) from Domestic Tariff Area (DTA)” is corrected as under :
“ Please see Paras 6.12 & 7.9 of EXIM policy and paras 6.12 & 7.9 of
this Handbook.”
B)
Clause (c) in the Undertaking and Declaration to Annexure 1 of
Appendix 14 G, is deleted and the exiting clause (d) is renumbered as
(c).
15. The note at the beginning of Appendix 14-K pertaining to “ Guidelines on revival/
debonding of sick EOU/ EPZ units” is corrected as under:
(Please see Para 6.28 of EXIM Policy & Para 6.28 of this Handbook)
16. A) The note at the beginning of Appendix 14-L pertaining to the “Norms of Scrap/
Waste Material for an export product under export oriented units and units in export
processing zones” is corrected as under:
“Please see Para 6.8 of Policy and 6.8 of this Handbook.”
B) S.No 107 of Appendix 14 L is amended as under:
S.No
Goods Manufactured
Goods Used
Percentage of scrap or
waste on imported goods
107
Silk fabrics
Mulberry raw silk/ 35%
Douppion yarn
17. The email ID of Development Commissioner, Cochin at S.No 36 of Appendix 24
pertaining to “List of Licensing Authorities and their Jurisdiction”, is corrected as under :
“dc@csez.com”
18. The following corrections are made in Appendix 35 pertaining to the List of Agencies
Authorised to issue GSP Certification”
S.No.
Agencies Authorised to issue GSP Authorized for
Certification
8.
Madras Export Processing Zone, All products manufactured by Units
Administrative Office Building, National in Madras EPZ and EOUs. Located
Highway 45, Tambaram, Chennai within the respective jurisdiction of
600045
Development Commissioner
9.
Kandla
Special
Economic
Zone, All products manufactured by Units
Gandhidham, Kutch,
in Kandla & Surat SEZs. and EOUs.
Gujarat, 370230
located within the respective
jurisdiction
of
Development
Commissioner
10.
SEEPZ Special Economic Zone Andheri All products manufactured by Units
(East), Mumbai, 400096
in SEEPZ SEZ and EOUs. located
within the respective jurisdiction of
Development Commissioner
11.
Cochin
Special
Economic
Zone All products manufactured by Units
Kakkanad Cochin 682037
in Cochin SEZ and EOUs. located
within the respective jurisdiction of
Development Commissioner
12.
Noida Export Processing Zone Noida All products manufactured by Units
Dadri Road, Noida 201305
in Noida EPZ and EOUs. located
within the respective jurisdiction of
Development Commissioner
*14.
Visakhapatnam Export Processing Zone, All products manufactured by Units
Administrative
Building,
Duvvada in Visakhapatnam EPZ and EOUs.
Visakhapatnam 530046
located within the respective
jurisdiction
of
Development
Commissioner
15
Falta Export Processing Zone 2nd MSQ All products manufactured by Units
Building 4th Floor Nizam Palace, in Falta EPZ and EOUs. located
Kolkata 700020
within the respective jurisdiction of
Development Commissioner
* At present Visakhapatnam and Falta EPZs. are combined at S.No. 14. 19. The
following corrections are made in Appendix 35 A pertaining to the “List of agencies to
issue Certificates of Origin for SAPTA and Bangkok Agreement”
29.
SEEPZ Special Economic Zone
Andheri (East),
Mumbai, 400096
30
Kandla Special Economic Zone,
Gandhidham, Kutch,
Gujarat, 370230
32.
Cochin Special Economic Zone
Kakkanad
Cochin 682037
This issues in public interest.
(N.L.Lakhanpal)
Director General of Foreign Trade
Annexure to Public Notice No dated
Appendics E & F
AMENDMENTS IN HOP
1. Para 6.2 (j) is corrected as under:
“(j) The unit shall be able to account for the entire quantity of goods imported/procured
duty free, by way of exports and sales in DTA or transfer to other EOU/EPZ/ EHTP/
STP/ SEZ units, and balance in stock. However, at no point of time the units shall be
required to co-relate every import consignment with each category of homogenous goods
exported, transferred to other EOU/ EPZ/EHTP/STP/SEZ units, sales in DTA and
balance in stock. In case of doubt the matter shall be referred to BOA for decision.”
2. Note (i) of paragraph 6.5 is corrected as under:(i) If any goods are obtained from another EOU/EPZ/EHTP/STP unit, or procured from
an international exhibitions held in India and precious metals procured from nominated
agencies, the value of such goods shall be included under B.
3. Paragraph 6.8 (c) is corrected as under:“ DTA sale shall be admissible only to similar goods as that of the goods manufactured
and exported from the unit. In case of doubt in regard to similar nature of goods, the
matter shall be referred to the BOA for decision”.
4. In paragraphs 6.8(e) and 6.8 (f), the words and expression “Appendix 14-M” is
corrected to read as “Appendix 14-L”.
(e) Norms for disposal of Waste/scrap/remnants arising out of production process and in
connection therewith, including wastage or manufacturing loss on gold/silver/ platinum
jewellery and articles thereof, is given in Appendix 14-L of the Handbook (Vol.1).
(f) In respect of items not covered by Appendix- 14-L, Development Commissioner shall
fix the wastage keeping in view the norms notified under Duty Exemption Scheme. For
items not covered by these two, the Development Commissioner shall send proposals to
the Board of Approval for decisionAll cases where wastage norms have not been fixed by
the Development Commissioner within 45 days from the date of receipt of application,
the same shall be referred to the Board of Approval for information alongwith reasons for
delay.
5. A new paragraph 6.9 (d) is added as under:
“ ITA –I items to be cleared in the DTA shall undergo tariff change at four digit level.
Only the value added products, which have undergone the process of manufacture would
be allowed to be clear in the DTA.
6.
Paragraph 6.15 is amended as follows:-
(a) EOU/ EPZ/ EHTP units may be permitted to remove moulds, jigs, tools, fixtures,
tackles, instruments, hangers and patterns and drawings to the premises of the sub
contractors subject to the conditions that these shall be brought back to the bonded
premises of EOU/ EPZ/ EHTP unit on completion of the job work within a stipulated
period.
(b) Export of finished good directly from the job worker’s premises may be permitted
provided the job worker’s premises is registered with the Central Excise authorities.
However, export of such products from the job worker’s premises shall not be allowed
through third parties as provided under paragraph 6.10 of the Policy.
c) EOUs in agriculture/horticulture engaged in contract farming may on the basis of
annual permission from the Customs authorities take out inputs and equipments to the
DTA farm subject to the following conditions:
i) Supply of inputs by the EOU to the contract farm(s) shall be subject to the input-output
norms notified by the Directorate General of Foreign Trade.
ii) There shall be contract farming agreement between the EOU and the DTA farmer(s);
iii) The contract farm(s) shall be within the jurisdiction of the same Commissioner of
Customs/Excise under whose jurisdiction the unit is registered.
iv) The unit has been in existence for at least two years and engaged in export of
agriculture/ horticuture products; otherwise it shall furnish bank guarantee equivalent to
the duty foregone on the capital goods/inputs proposed to be taken out to the Assistant
Commissioner of Customs/ Central Excise till the unit completes two years.
7. Paragraph 6.20 (d) is corrected as under:
“The depreciation norms for capital goods of units, including electronics, would be
subject to an overall limit of 90% as notified by the Department of Revenue.
(i) Depreciation for computers and computer peripherals for all types of electronic units
would be as follows:
10% for every quarter in the first year;
8% for every quarter in the second year;
7% for every quarter in the third year;
(ii) For capital goods, other than the above, the depreciation rate would be as follows:
4 % for every quarter in the first year;
3 % for every quarter in the second and third year; and
2.5 % for every quarter in the fourth year and thereafter.
8. Paragraph 6.22 (a) is corrected as under :
“ (a) NFEP and EP shall be monitored in terms of paragraph 6.22 of the Policy as per the
guidelines given in Appendix 14-E of the Handbook (Vol.1).”
9. The sub- paras of Paragraph 6.27 b) (v), are re-numbered as (a), (b),(c),(d),(e) & (f).
(v) Change of location/expansion: To permit change of location from the place mentioned
in the LOP/LOI to another and/or include additional location provided that:
(a) no change in other terms and conditions of the approval is envisaged.
(b) the new location is within the territorial jurisdiction of the DC.
(c) other locational, zoning, land-use or environmental conditions are also complied with;
(d). Extension of validity of LOP/LOI: To extend validity period of LOP/LOI by two
years beyond the initial validity period of the LOP/LOI (except in case where there is a
restriction on initial period of approval, like setting up of oil refinery projects) ;
(e). To recommend extension of LOP/LOI to BOA along with field inspection report of
the unit for the sixth year.
(f). The Development Commissioner may also cancel LOI/LOI/IL wherever warranted.
10. Paragraph 6.29 is corrected as under:
“A fast track procedure will be separately notified for EOU/EPZ units with actual
investment in plant and machinery, both imported and indigenous imported of Rs.5 crores
and above.”