Government of India
Ministry of commerce &
Industry
Department of Commerce
Directorate General of
foreign Trade
POLICY CIRCULAR NO. 29
(RE 2003 )2002-2007
DATED: 9th March ,
2004
To
All
Licensing Authorities
All
Commissioners of Customs,
Subject: Clarification on issues related to Duty
Free Entitlement
Certificate for service
Providers.
Attention
is invited to the Policy Circular No.4 dated 14th May, 2003 wherein
it was clarified by this office that certain items are not allowed to be
imported under the scheme.
Representations have been received to further clarify on the issue of
consumables, office equipments and professional equipments and other relevant
issues. Accordingly, the matter was
discussed with Department of Revenue and it has been decided to clarify the
following issues related to the Duty Free Entitlement Certificate for service
providers as per paragraph 3.8 of the Exim Policy:-
i)
Import
of consumables other than milk and dairy products, vegetable, horticulture and
agriculture products would be permitted
under the scheme. However, beverages,
spirits and vinegar covered under Chapter 22 of ITC(HS) Classification or
seafood items ( both processed and semi processed) are permitted to be
imported.
ii)
The
scheme will not be available for 100% EOUs and units operating under SEZ,
STPI and EHTP Schemes. The
clubbing of turn over of services rendered by these units with the turn over of the DTA units shall
also not be allowed.
iii)
Payment
received from export earners foreign currency
(EEFC) account will not be
counted for the scheme.
iv)
Goods allowed to be imported under this scheme shall
have nexus with the services rendered.
v)
Policy Circular No.4 dated 14th May, 2003 stands withdrawn.
This issues with the approval
of DGFT.
( A.K. SRIVASTAVA )
JT. DIRECTOR GENERAL OF FOREIGN TRADE
( File
01/92/180/19/AM04/PC.IV )