Exim Policy India

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This site provides comprehensive information on Exim Policy India. The site also focuses on India's achievements as a result of its well crafted modern Exim policy.

The major points of Exim Policy India is discussed as hereunder for each and every export sectors and schemes -

  • Duty free import facility for service sector having a minimum foreign exchange earning of Rs.10 lakhs.
  • The duty free entitlement shall be 10% of the average foreign exchange earned in the preceding 3 licensing years.

Corporate sector with proven credential will be encouraged to sponsor Agri Export Zone and to provide services such as provision of pre/post harvest treatment and operations, plant protection, processing, packaging, storage and related R&D.

Status Holders
  • Duty-free import entitlement for status holders having incremental growth of more than 25% in FOB value of exports.
  • It shall be 10% of the incremental growth in exports and can be used for import of capital goods, office equipment and inputs.

    Hardware & Software
    • To promote growth of exports in embedded software, hardware duty free import for testing and development purposes allowed.
    • Hardware upto a value of US$ 10,000 shall be allowed to be disposed off. 100% depreciation to be available for 3 years.

    Gem & Jewelery Sector
    • Diamond & Jewelery Dollar Account for exporters dealing in purchase/sale of diamonds and diamond studded jewelery.
    • Gem & Jewelery units in SEZ and EOUs can receive precious metal i.e Gold/silver/platinum prior to exports or post exports equivalent to value of jewelery exported.

    Export Clusters
    Upgradation of infrastructure in existing clusters/industrial locations under the Department of Industrial Policy & Promotion (DIPP) scheme to increased.

    Rehabilitation of Sick Units
    Steps for for revival of sick units and extension of export has been modified.

    Removal of Quantitative Restrictions
    Import of 69 items covering animal products, vegetables and spices, antibiotics and films removed from restricted list.

    Special Economic Zones
    • Sales from Domestic Tariff Area (DTA) to SEZs to be treated as export. Foreign bound passengers will now be allowed to take goods from SEZs to promote trade, tourism and exports.
    • Export/import of all products through post parcel/courier by SEZ units will now be allowed.
    • SEZ units will now be allowed to sell all products including gems and jewelery through exhibitions and duty free shops or shops set up abroad.

    EOU of Exim Policy India
    • Agriculture/Horticulture processing EOUs will now be allowed to provide inputs and equipments to contract farmers in DTA.
    • Period of utilization of raw materials prescribed for EOUs increased from 1 year to 3 years.
    • Export/import of all products through post parcel/courier by EOUs will now be allowed.
    • EOUs will now be allowed to sell all products including gems and jewelery through exhibitions and duty free shops or shops set up abroad.

    EPCG of Exim Policy India
    • Shall allow import of capital goods for pre-production and post-production facilities also.
    • To facilitate upgradation of existing plant and machinery, import of spares shall also be allowed.
    • To facilitate diversification into the software sector.

    DEPB of Exim Policy India
    Facility for provisional DEPB rate introduced to encourage diversification and promote export of new products.

    DFRC of Exim Policy India
    Duty Free Replenishment Certificate scheme extended to deemed exports to provide a boost to domestic manufacturer. Value addition under DFRC scheme reduced from 33% to 25%.

    Advance License
    Standard Input Output Norms for 403 new products notified in Exim Policy India. Anti-dumping and safeguard duty exemption to advance license for deemed exports for supplies to EOU/SEZ/EHTP/STP.

    Transaction Cost Reduction
    Applications filed online shall have a 50% lower processing fee as compared to manual applications is notified in Exim Policy India.

    Other benefits extended by new Exim Policy India are -
    • Actual user condition for import of second hand capital goods upto 10 years old dispensed with.
    • Reduction in penal interest rate from 24% to 15% for all old cases of default under Exim Policy.
    • Export of free of cost goods for export promotion @ 2% of average annual exports in preceding three years subject to ceiling of ` 5 lakh permitted.