( corresponding to para 7.5 in Handbook of Procedures Vol. 1 1997-2002).

As per para 4.7 of current Handbook of Procedures Vol-1, 2002-2007, RLAs may also issue advance licence where SION are not fixed, subject to conditions given in that para. The basic objective of this paragraph is to dispense with the requirement of prior approval by ALC of the Input Output norms of the licence so as to facilitate immediate issue of the licence for obtaining uninterrupted supplies of input required for export production. All other procedures and requirements applicable to the grant of Advance Licence are to remain unchanged and would continue to be applicable. It is considered expedient to consolidate the existing instructions and to streamline the procedure for licensing under the above category in the following manner:

2. Filing of Applications and issue of licences :-

It has been decided that Procedure as given below shall be followed by the applicants for licensing under paragraph 4.7 of Handbook of Procedures, Vol.1, 2002-2007:-

The exporters desirous of obtaining the licence under para 4.7 shall submit their application, in 7 sets, in the prescribed proforma, i.e., Appendix 10 B to the Handbook of Procedures Vol.1, 2002-2007, complete in all respect along with Check Sheet as annexed to this notice.

The Check Sheet is designed to ensure submission of details on the technical aspects of the application so as to enable the Technical Authorities and the ALC to undertake technical scrutiny thereof for determining the input output requirements. Therefore, the applicant should ensure that the relevant details against each and every point (related to the appropriate Export Product Group) as listed in the said Check Sheet either in the appropriate column of the application (Appendix 10-B) itself or in a separate enclosure are furnished. Wherever any point is not applicable to the specific application, the applicant should state so with the remarks “not applicable for the reasons given below -------“

After scrutinising the application and if no deficiency is found by the Licensing Authority, the licence would be issued within the prescribed time limit (3 working days). In terms of para 4.7.4 of Handbook of Procedures Vol. 1 the Licensing Authority shall forward 5 complete sets of application with prescribed documents, technical details (as per Check Sheet), and copy of the licence to ALC, New Delhi.

3. Implementation of ALC decisions:-

On receipt of the minutes of the ALC by the RLA, the RLA within a week will be initiating necessary consequential action as enumerated below:-

(a) In case the licence has been ratified by ALC as applied for, the relevant position will be communicated to the party for their information and record.

(b) In case licence has been approved by ALC with modification, RLA shall immediately call for the licence from the firm (within 7 days) alongwith statement of imports already made for making necessary amendment therein as per the decision of the ALC. While issuing amendment sheet it may be made clear to the licensee that in case excess import has been made, they should immediately deposit the custom duty with prescribed interest thereon within a period of 30 days. This excess import as may be calculated by the RLA with reference to quantities approved by ALC and that actually imported by the licensee, may be conveyed to the licensee.

In case of failure of the licensee to deposit the custom duty with interest on the excess import within the stipulated period, RLA should immediately initiate action under Foreign Trade (Development & Regulation) Act, 1992 (within a period of 15 days after the expiry of the stipulated period) to recover the custom duty and interest unless the licensee has requested for pro-rata enhancement in the export quantity with a view to account for the excess imports. For this purpose, RLA may also deny grant of licences in future under the said Para 4.7.

4. Review of the cases

(a) If the licensee so desires, he can make representation to the concerned ALC against the decision of the Committee rejecting or modifying his application alongwith full justification and requisite details. Such representations should, however, be submitted within a period of 30 days from the date of the communication of relevant decision by the RLAs/ HQrs.

(b) These representations may normally be placed before the ALC within 15 days. However, in such cases the time limit as laid down in para 4.7 will not be applicable.

Henceforth all Applicants who makes applications under para 4.7 of HB are required to follow the above instructions.

S.S.Sandhu
(Zonal Joint DGFT)

OFFICE OF THE JT. DIRECTOR GENERAL OF FOREIGN TRADE, MUMBAI

CHECK SHEET TO BE USED BY THE COUNTER ASSISTANCE IN THE OFFICE OF THE RLA FOR SCRUTINY OF THE APPLICATION FILED UNDER PARA 4.7 OF Handbook of Procedures VOL.1 2002-2007 FOR GRANT OF SELF DECLARED ADVANCE LICENCE FOR THE EXPORT PRODUCT FOR WHICH SION DO NOT EXIST____

PART I

Particular of the applicant

1. Name and address of the applicant:-

2. CIF value of the licence applied for:-

3. Description of Export Product :-

PART II - GENERAL REQUIREMENT

Whether the applicant has furnished the following in the application:-
 

	1.	Bank receipt					Yes/NO	2.	Project Authority Certificate in case			Yes/No/NA		of Advance Licence for Deemed Exports	2(A)	Certificate from the Ministry of		of Power (duly signed by an officer		of and above the level of Joint		Secretary) in the case of Advance			Yes/No/NA		Licence for Deemed Exports for		supply to Thermal Power Plant		as per para 8.6.6.1 of 		Handbook of Procedures Vol.1	3.	Copy of invalidation letter in the			Yes/No/NA		case of Advance Licence for 		intermediate supply 	4.	All the columns of the application			Yes/No		in appendix 10B have been filled in	5.	Annexure to Appendix 10B duly			Yes/No		filled in has been furnished	6.	Chartered Engineer Certificate			Yes/No/NA		(for products other than chemical		& Allied Product) Chemical Engineer 		Certificate certifying the import requirement		in the case of “Chemical and Allied Products”.	7.	Declaration/ undertaking in appendix			Yes/No		10B as well as in annexure to appendix		10B has been signed.

PART III-TECHNICAL DETAILS

Whether the applicant has furnished the following technical details/ information/documents for the export product falling under the respective export product group listed below:-
 

NOTE:- Wherever the answer to the above
relevant columns is found to be “NO” or Not
applicable whether the applicant has given                         Yes/No
reasons for not furnishing
the relevant details/ documents/
information.

PART-IV-SUMMARY OF THE RESULTS OF SCRUTINY

The application is returned (in original) to the applicant for rectifying the deficiencies indicated against the relevant columns above (column numbers…………………………………………….).

The application has been found to be complete in all respects and may be accepted for allotment of file number.

Initial of dealing hand with date

Signature of FTDO/ADGFT