F. No. S/16 – DEPB – MISC – 08/2002 -

PUBLIC NOTICE NO 96/2002 date 12.08.2002

Export – Import Policy of the year 2002-07-reg.
Attention of the trade is invited to Export – Import Policy of the year 2002- 07 and connecting customs notification issued by the Department of Revenue on D.E.P.B Schemes. Notification No. 45/2002 –Customs dated 22.04.2002 makes it mandatory to debit the element of SAD in the DEPB Scrip for the purpose of availing SAD exemption for goods cleared against DEPB Scrip, whereas the earlier notification no 34/97-Customs dated 07.04.1997 issued under DEPB Scrip did not require debiting of element of SAD in DEPB Scrip for availing SAD exemption.

2. After 01.04.2002, DGFT authorities have issued DEPB Scrips.
Scrutiny of these scrips revealed that some DEPB scrips, where exports had taken place prior to 01.04.2002 have been issued under 2002-07 EXIM policy and in some cases where exports have taken place on or after 01.04.2002 but depb scrips have been issued under 1997-2000 Exim policy. This has created confusion in the minds of Customs field officers as well as trade as to which depb scrip would be governed by which Policy and whether the element of SAD will be required to be debited in it or not.

3. In order to sort out this problem, the matter was discussed an it was decided that the dividing line for issue of DEPB Scrips under a particular policy would be the “let export date” of the shipping bill. In all cases where “let export date” is prior to 01.04.2002 such exports under DEPB Scheme would be governed by 1997-2002 Exim Policy and Customs Notification no 34/97-Customs.In respect of such DEPB Scrips exemption from SAD would be available without the requirement of debiting the element of SAD in DEPB Scrips. In cases where let export date is on or after 01.04.2002, such exports should be governed by EXIM policy 2002-07 and customs notification no. 45/2002-Customs. In respect of such scrips, SAD exemption would be available subject to debiting DEPB scrips for the element of SAD. In this regard, DGFT authorities have also issued Public Notice no 14/2002-07 dated 31.05.2002 to clarify the position.

4. The practice of assessment against provisional duty bond for SAD in case of licence issued after 01.04.2002 under Para 7.38 of 1997-2002 EXIM policy is discontinued. All cases where such P.D. bonds have been taken should be finalised on the basis of above certification.

(C. SEN)
COMMISSIONER OF CUSTOMS
(GENERAL)

Authority: Board’s circular no 39/2002-Customs. Issued from F.No. 605/201/2001 – dbk dated 2nd July, 2002.

Presented by eximkey.com