Foreign Trade Procedures 2008-2009 - Directorate General of ...

Export Obligation 4.22 Fulfillment Period of EO under an Advance Authorisation shall(EO) Period andcommence from Authorisation issue date. EO shall be fulfilledits Extensionwithin 24 months except in case of supplies to projects / turnkeyprojects in India / abroad under deemed exports category whereEO must be fulfilled during contracted duration. In case of Spices{(covered by chapter 9 of ITC (HS)}, EO shall be fulfilled within90 days from the date on which first import consignment is clearedby Customs Authorities.However, in case of import of spices for VA purpose like crushing/grinding / sterlisation or for manufacture of oils and oleoresins ofpepper, cardamom and chillies and not for simple cleaning, grading,repacking etc., EO shall be fulfilled within 120 days from the dateof importation of first consignment. In case of import of spices(other than pepper, cardamom and chillies) for manufacture ofspice oils and oleoresins, EO shall be fulfilled within 12 monthsfrom the date of issuance of Advance Authorization.EO Period for import of drugs (with a specific export order andpre-import condition) and for import of tea shall be 6 monthsfrom the date of importation of first consignment.4.22.1 Request for extension in EOP may be made in ANF 4E. RAshall grant one extension for six months from expiry date withpayment of composition fee of 2% of duty saved on all unutilizedimported items as per Authorisation.Request for a further extension of six months may be consideredby RA with payment of composition fee of 5% of duty saved,based on all unutilized imported items as per Authorisation.Facility of extension of EOP shall not be allowed in case of AdvanceAuthorisation wherein import of penicillin and its salts (ITC (HS)Code No. 29411010) and 6 – APA (ITC (HS) Code No. 29411050) have been allowed as an input and also for import of spicesand tea. RA shall make an endorsement in Advance Authorisationto this effect.Such extensions would not be permitted in erstwhile Value BasedAdvance Authorisations (VABALs). Additionally, no extension inEO would be allowed in respect of Authorisations wheremisrepresentation / fraud has come to notice of RA. Further, inrespect of Authorisations where adjudication orders have alreadybeen passed, no extension in EOP shall be admissible.The period for discharge of export obligation against AdvanceAuthorisations (erstwhile licences) issued for Export of Sugarstands automatically extended for one year (without payment ofComposition Fee) w.e.f the date on which their export obligation66