DGFT Committee Minutes

1 MINUTES OF THE POLICY RELAXATION COMMITTEE (PRC) MEETING NO.10/AM09 HELD ON 19.02.2009 AT 10.00 A.M. UNDER THE CHAIRMANSHIP OF SHRI R.S. GUJRAL, DIRECTOR GENERAL OF FOREIGN TRADE.

PRC Meeting was held under the Chairmanship of DGFT and list of officers present in the meeting is given below:

  1.         Shri Shyam Aggarwal   Addl. DG 
  2.           Shri V.K. Srivastava       Addl. DG 
  3.           Shri Sanjay Rastogi 

EC 4. Shri S.K.Samal Jt.DGFT 5. Shri Anil Agarwal Jt.DGFT 6. Shri A.K. Singh Jt.DGFT 7. Shri Tapan Mazumder Jt.DGFT 8. Shri O.P. Hisaria Jt.DGFT 9. Shri Akash Taneja Jt. DGFT 10. Shri S.S. Sah Dy.DGFT

After deliberation, the following decision were taken.

Case No. 1: M/s. Smruthi Organics Limited, Solapur

File No. 01/94/180/412/AM09/PC4/ PRC Meeting No.10/AM09 dated: 19.02.2009

Subject: EOP extension of advance authorization No. 3110020390 dated 03.05.2005

upto 31.5.09.

The Committee noted that EO fulfilled in respect of Advance authorisation Nos. 3110020390 dt. 03.05.2005 was more than 50% Qty. and value wise, within valid EOP, as claimed by the firm. Therefore, the Committee decided to extend EOP, against both the aforesaid authorisations, for a period of six months from the date of communication of the decision of PRC subject to verification by RA of EO claimed to have been fulfilled by the firm within the valid EOP and subject to the payment of composition fee @ 1% per month on the duty saved amount for the balance inputs.

Case No. 2: M/s. Cadila Pharmaceuticals Ltd., Ahmedabad

File No. 01/94/180/485/AM09/PC-4 (i)

Subject: Extension in EOP against advance licence nos. 0810019186 dt.

12.06.02 upto 27.10.05 (ii) Revalidation of advance licenceno. 0810010858 dt.25.06.01for the purpose of clubbing

2 The Committee considered the request of the firm and noted that the firm had applied for relaxation to revalidate advance licence no. 0810010858 dt. 25.06.01 and extension in EO period against advance licence no. 0810019186 dt. 12.06.02 for clubbing after a lapse of considerable time period without assigning any valid reason and accordingly the Committee could not accede to the request of the firm.

Case No. 3: M/s. Nocil Ltd., Mumbai.

File No. 01/94/180/824/AM09/PC-4 (01/60/162/354/AM09/EFGC(PRC)

Subject: Revalidation of advance licence Nos.0310137000 dt.7.5.02 for the

purpose of clubbing with advance licence No. 0310137187 dt.8.5.02.

The Committee noted the agenda and accordingly decided to revalidate the advance licence no. 0310137000 dt. 07.05.2002 for a period of six months from the date of communication of the decision of PRC to club the same with another advance licence no. 0310137187 dt. 08.05.02, subject to payment of composition fee @ 1% of the unutilized CIF value of the licence and also subject to verification by RA of EO fulfillment status, as claimed by the firm. No further imports and exports will be allowed against these advance licences.

Case No. 4: M/s. Nocil Ltd., Mumbai

File No. 01/94/180/825/AM09/PC-4 (01/60/162/364/AM08/EFGC(PRC)

Subject: Revalidation of advance licence Nos.0310145223 dt.2.7.02 for the

propose of clubbing with advance licence No. 0310138989 dt.23.5.02.

The Committee noted the agenda and accordingly decided to revalidate the advance licence nos. 0310145223 dt. 02.07.02 and 0310138989 dt. 23.05.02 for a period of six months from the date of communication of the decision of PRC for the purpose of clubbing of both these licences, subject to payment of composition fee @ 1% of the unutilized cif value of the licence and also subject to verification by RA of EO fulfillment status, as claimed by the firm. No further import and exports will be allowed.

Case No. 5: M/s. Claris Lifesciences Ltd., Ahmedabad

File No. 01/94/180/190/AM09/PC-4

Subject: Revalidation of 3 advance licence nos. (i) 0810023252 dt.01.11.02, (ii)

0810019932 dt. 05.07.02 & 0810023251 dt. 01.11.02 for the purpose of clubbing with another licences.
The Committee noted the agenda and the decision of GRC meeting held on 27.11.08, duly approved by the Hon’ble Commerce & Industry Minister. Accordingly the Committee decided to revalidate the advance licence nos. (i) 0810023252 dt.01.11.02, (ii) 0810019932 dt. 05.07.02 & (iii) 0810023251 dt. 01.11.02 for a period of six months from

3 the date of communication of the decision of PRC for the purpose of clubbing of these licences, subject to payment of composition fee @ 1% of the unutilized CIF value of the licence and also subject to verification by RA of EO fulfillment status, as claimed by the firm. No further imports and exports will be allowed against these licences.

Case No. 6: M/s. . Kotsons P. Ltd., Agra

File No. 01/94/180/845/AM09/PC-4

Subject: Extension in EOP against Advance licence No. 0610009809 dated

9.9.2005.

The Committee noted that EO fulfilled in respect of Advance authorisation No. 0610009809 dt. 09.09.2005 was more than 50% Qty. and value wise, within valid EOP, as claimed by the firm. Therefore, the Committee decided to extend EOP, against the aforesaid authorisation, for a period of six months from the date of communication of the decision of PRC subject to verification by RA of EO claimed to have been fulfilled by the firm within the valid EOP and subject to the payment of composition fee @ 1% per month on the duty saved amount for the balance inputs.

Case No. 7: M/s. . Lasurab International, New Delhui

File No. 01/94/180/844/AM09/PC-4

Subject: Extension in EOP against Advance licence No. 0510170404 dated

9.11.2005.

The Committee noted that EO fulfilled in respect of Advance authorisation No. 0510170404 dt. 09.11.2005 was more than 50% Qty. and value wise, within valid EOP, as claimed by the firm. Therefore, the Committee decided to extend EOP, against the aforesaid authorisation, for a period of six months from the date of communication of the decision of PRC subject to verification by RA of EO claimed to have been fulfilled by the firm within the valid EOP and subject to the payment of composition fee @ 1% per month on the duty saved amount for the balance inputs.

Case No. 8: M/s. Mum’s World Baby Products, Mumbai

File No. 01/94/180/843/AM09/PC-4

Subject: Revalidation of Advance Licence No. 0310382399 dt. 30.5.2006.

The Committee noted the agenda and decided to revalidate the advance authorisation No. 0310382399 dt. 30.05.06 for a period of six months from the date of communication of the decision of PRC, subject to payment of composition fee @ 1% of the unutilized cif value of the authorisation and also subject to verification by RA of EO fulfillment status, as claimed by the firm. RA shall reduce the import entitlement on pro-rata basis.

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Case No. 9: M/s. Global Pharma Healthcare Pvt. Ltd., Chennai

File No. 01/94/180/818/AM09/PC-4

Subject: Revalidation of advance authorization No. 0410082519 dt. 30.06.06.

No. 0410082519 dt. 30.06.06 for a period of six months from the date of communication as claimed by the firm. RA shall reduce the import entitlement on pro-rata basis.

Case No. 10: M/s. Doshion Ltd., Ahmedbad

File No. 01/94/180/524/AM09/PC-4

Subject: Revalidation of advance authorization No. 0810053090 dt. 10.01.06

No. 0810053090 dt. 10.01.06 for a period of six months from the date of communication as claimed by the firm. RA shall reduce the import entitlement on pro-rata basis.

Case No. 11: M/s. Bhuwalka Steel Industries Ltd., Bangalore

File No. 01/94/180/658/AM09/PC-4

Subject: Revalidation of advance licence No. 0710045502 dt. 16.06.06 for 6

months.

No. 0710045502 dt. 16.06.06 for a period of six months from the date of communication as claimed by the firm.

Case No. 12: M/s. Vital Laboratories Private Limited, Mumbai

File No. 01/94/180/833/AM09/PC-4

Subject: EOP Extension of advance authorisation No. 0310363446 dated

17.01.2006, issued under Policy Circular No. 9 dated 30.06.03.

The Committee noted that EO fulfilled in respect of Advance authorisation No. 0310363446 dt. 17.01.2006 issued under Policy Circular No. 9/2003 (with an EOP of six months from the date of 1st importation), was 56.47% Qty. wise, within valid EOP, as claimed by the firm and the balance EO was fulfilled much after the expiry of EO period i.e. upto 31.10.07. The Committee noted that EOP expired long back i.e. on 01.08.06 itself. Accordingly the Committee decided to extend EOP, against the aforesaid

5 authorisation, only upto 31.07.07 for regularization of exports made after the expiry of EO period and within 31.07.07, subject to verification by RA of EO claimed to have been fulfilled by the firm within the valid EOP and subject to the payment of composition fee @ 1% per month on the duty saved amount for the balance inputs.

Case No. 13: M/s. Global Pharma Healthcare Pvt. Ltd., Chennai

File No. 01/94/180/819/AM09/PC-4

Subject: Revalidation of advance authorization No. 0410082451 dt. 27.06.06.

No. 0410082451 dt. 27.06.06 for a period of six months from the date of communication as claimed by the firm. This is also subject to the condition the import should not be from unregistered sources. RA shall endorse a condition in the authorisation to this effect. RA shall also reduce the import entitlement on pro-rata basis.

Case No. 14: M/s. Parabolic Drugs Ltd., Chandigarh

File No. 01/94/180/376/AM09/PC-4

Subject: Request for EOP Extension against 88 advance licences as

mentioned below by way of relaxation of condition of EOP within 6 months of importation on import of Pen G & its salts under advance licence.

Advance Licence Nos. & dates 1 2210003145 Dt.16.4. 04 23 2210005314 Dt.10.3.06 45 2210006035 Dt.22.9.06 67 2210006769 Dt.5.6.07 2 2210003146 Dt.16.4. 04 24 2210005351 Dt.21.3.06 46 2210006070 Dt.28.9.06 68 2210006788 Dt.12.6.07 3 2210003283 Dt.25.5.04 25 2210005446 Dt.20.4.06 47 2210006232 Dt.24.11.06 69 2210006790 Dt.13.6.07 4 2210003310 Dt.31.5.04 26 2210005509 Dt.5.5.06 48 2210006233 Dt.27.11.06 70

2210006811 Dt.20.6.07 5 2210003553 Dt.13.8.04 27 2210005522 Dt.9.5.06 49 2210006241 Dt.29.11.06 71 2210006854 Dt.4.7.07 6 2210003629 Dt.30.8.04 28 2210007250 Dt.19.11.07 50 2210006258 Dt.5.12.06 72 2210006862 Dt.6.7.07 7 2210003674 Dt.15.9.04 29 2210007284 Dt.6.12.07 51 2210006308 Dt.18.12.06 73 2210006875 Dt.11.7.07 8 2210003681 Dt.17.9.04 30 2210005547 Dt.18.5.06 52

2210006327 Dt.27.12.06 74 2210006879 Dt.13.7.07 9 2210003706 Dt.21.9.04 31 2210005554 Dt.19.5.06 53 2210006361 Dt.10.1.07 75 2210006899 Dt.17.7.07

6 10 2210003749 Dt.3.9.04 32 2210005555 Dt.19.5.06 54 2210006378 Dt.11.1.07 76

2210006990 Dt.21.8.07 11 2210003750 Dt30.9.04 33

2210005619 Dt.12.6.06 55 2210006392 Dt.16.1.07 77 2210006904 Dt.23.7.07 12 2210003775 Dt.5.10.04 34 2210005641 Dt.15.6.06 56 2210006411 23.1.07 78 2210006931 Dt.31.7.07 13 2210004229 Dt.22.2.05 35 2210005662 Dt.16.6.06 57 2210006580 Dt.15.3.07 79 2210006968 Dt.17.8.07 14

2210004298 Dt.11.3.05 36 2210005684 Dt.26.6.06 58 2210006660 Dt.11.4.07 80 2210007028 Dt.6.9.07

15

2210004619 Dt.24.6.05

33 2210005702 Dt.28.6.06 59 2210006666 Dt.13.4.07 81 2210007042 Dt.7.9.07 16 2210004621 Dt.24.6.05 38 2210005728 Dt.4.7.06 60 2210006676 Dt.18.4.07 82 2210007049 Dt.11.9.07 17 2210004781 Dt.16.8.05 39 2210005729 Dt.4.7.06 61 2210006682 Dt.18.4.07 83 2210007072 Dt.20.9.07 18 2210004953 Dt.27.10.05 40 2210005737 Dt.7.7.06 62 2210006711 Dt.4.5.07 84 2210007092 Dt.25.9.07 19 2210004969 Dt.8.11.05 41 2210005804 Dt.21.7.06 63 2210006712 Dt.7.5.07 85 2210007112 Dt.8.10.07 20 2210004983 Dt.14.11.05 42 2210005903 Dt.22.8.06 64 2210006735 Dt.16.5.07 86 2210007141 Dt.16.10.07 21 2210004995 Dt.18.11.05 43 2210005949 Dt.4.9.06 65 2210006744 Dt.24.5.07 87 2210007189 Dt.25.10.07 22 2210005023 Dt.29.11.05 44 2210005985 Dt.12.9.06 66 2210006751 Dt.29.5.07 88 2210007203 Dt.31.10.07

The Committee noted the agenda and accordingly decided to extend EOP, against the authorizations mentioned above which was enclosed as Annexure –A with the agenda, so that the exports effected within a period of 24 months from the date of issuance of the authorisation(s) subject to payment of applicable composition fee if not already paid. This will be subject to verification by RA of EO claimed to have been fulfilled by the firm within the valid EOP and subject to the payment of applicable composition fee on the duty saved amount for the balance inputs. For exports made/to be made beyond 24 months from the date of issuance of the authorizations, firm need to regularize the cases by payment of Customs duty and interest thereof. For exports made beyond 24 months, relaxation is granted to the extent that the firm need not re-export or destroy the proportionate duty free raw material. However, the raw material (balance) for EO to be fulfilled can only be disposed of as per policy for unregistered sources.

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Case No. 15: M/s. Aarti Drugs Limited, Mumbai

File No. 01/60/162/402/AM09/EFGC(PRC)

Subject: Revalidation and EOP extension of advance licence No. 0310324266 dt.

31.03.05 and EOP extension of advance licence No. 0310235360 dt. 7.11.2003 for the purpose of clubbing and regularization.

Committee noted that more than 50% of EO has been fulfilled by the firm against advance licence no. 0310324266 dt. 31.03.05. Therefore, Committee agreed to revalidation and extension of EO of advance licence No. 0310324266 dt. 31.03.05 subject to payment of composition fee @1% per month on the duty saved amount vis-à-vis the exports made after the expiry of valid EOP and also subject to verification by RA of EO claimed to have been fulfilled by the firm within the valid EOP.

(ii) Committee also approved EOP extension of advance licence No. 0310235360 dt. 7.11.2003 only for the purpose of clubbing and regularization.

It was decided by the committee to allow clubbing of the aforesaid two advance licences only for the purpose of regularization and not for any further import or export against these licences.

Case No. 16: M/s. Jyot Overseas Pvt. Ltd., Ahmedabad

File No. 01/94/162/642/AM06/PC-3

Subject: Request for revalidation of duty credit scrip No. 0810057530 dt.

23.06.2006 issued under VKUY Scheme.

In view of the circumstances for expiry of the duty credit scrip in question are beyond the control of the company, the committee observed that the request of the firm is justified. Therefore, the committee decided to accept the request of the company for revalidation of duty credit scrip No. 0810057530 dt. 23.06.2006 issued under VKUY Scheme.

Case No. 17: M/s. Gopinath Chem-Tech Ltd., Ahmedabad

File No. 01/94/180/897/AM09/PC-4

Subject: Extension in EO period against advance authorisation no.

0810051516 dt.18.10.05.

The Committee noted that EO fulfilled in respect of Advance authorisation No. 0810051516 dt. 18.10.2005 was more than 50% Qty. and value wise, within valid EOP, as claimed by the firm. Therefore, the Committee decided to extend EOP, against the aforesaid authorisation, for a period of six months from the date of communication of the

8 decision of PRC subject to verification by RA of EO claimed to have been fulfilled by the firm within the valid EOP and subject to the payment of composition fee @ 1% per month on the duty saved amount for the balance inputs.

Case No. 18: M/s. Glenmark Laboratories Ltd., Mumbai

File No. 01/94/180/879/AM09/PC-4

Subject: Revalidation against advance licence No. 0310240053 dated 5.12.03

and 0310240029 5.12.03 for clubbing with the other 3 advance licence Nos. 0310285282 dated 10.8.04, 0310280232 dt. 12.7.04 and 0310246442 dated 8.1.04.

The Committee noted the agenda and accordingly decided to revalidate the advance licence nos. 0310240053 dt. 05.12.03 and 0310240029 dt. 05.12.03 for a period of six months from the date of communication of the decision of PRC for the purpose of clubbing with other three advance licence nos. 0310285282 dt. 10.08.04, 0310280232 dt.12.07.04 and 0310246442 dt.08.01.04, subject to payment of composition fee @ 1% of the unutilized cif value of the two licences dated 05.12.03 mentioned above and also subject to verification by RA of EO fulfillment status, as claimed by the firm. No further import and exports will be allowed against these advance licences.

Case No. 19: M/s. Awesome Clothing Company Pvt. Ltd., Bangalore

File No. 01/94/180/354/AM09/PC-4

Subject: Revalidation/Extension in EO period against the following advance

licences required for clubbing these licences and also with another licences:-

S. No. Lic no. & Date S. No. Lic No. & Date i) 0710007077 dt.22.01.01 ii) 0710007206 dt.01.02.01 iii) 0710016027 dt.06.09.02 iv) 0710007192 dt.01.02.01 v) 0710007191 dt.01.02.01 vi) 0710015309 dt.01.08.02 vii) 0710015308 dt.01.08.02 viii) 0710014290 dt.11.06.02 ix) 0710007971 dt.04.04.01 x) 0710013156 dt.26.03.02 xi) 0710016026 dt.06.09.02 xii) 0710020830 dt.28.04.03 xiii) 0710021402 dt.28.05.03 xiv) 0710008328 dt.09.05.02

The Committee noted the agenda and accordingly decided to revalidate the aforesaid advance advances at Sl. Nos:- (i), (ii), (iii), (iv), (v), (ix), (x) & (xiii) for a period of six months from the date of communication of the decision of PRC, subject to payment of composition fee @ 1% of the unutilized CIF value of these licences and to extend EOP [against advance licences mentioned at Sl. Nos:- (i), (vi), (vii), (viii), (ix), (x), (xi), (xii), (xiii) & (xiv)] upto the period within which the exports had already been made, subject to verification by RA of EO claimed to have been fulfilled by the firm within the valid EOP and outside EOP, subject to the payment of composition fee @ 2% & 5% respectively for

9 6 months each from the original EOP of 18 months & for EO period beyond 30 months, @ 1% per month on the duty saved amount for the balance inputs. Revalidation & EOP extension allowed herewith are for the purpose of clubbing of these advance licences and no further import and exports will be allowed.

Case No. 20: M/s. Sanghi Industries Limited, Ahmedabad.

File No. 01/94/180/463/AM09/PC4/

Subject: Revalidation of 14 advance licences, detailed below for the purpose of

clubbing with other advance licence.

List of 14 advance licences:- 1. 0810023410 dt. 14.11.02 8. 0810027536 dt. 04.04.03 2. 0810023422 dt 14.11.02.
9. 0810027844 dt. 16.04.03 3. 0810023810 dt. 27.11.02 10. 0810028962 dt. 21.05.03 4. 0810025159 dt. 10.01.03 11. 0810032192 dt. 08.09.03 5. 0810025296 dt. 17.01.03 12. 0810032306 dt. 11.09.03 6. 0810025431 dt. 22.01.03 13. 0810032336 dt. 12.09.03 7. 0810026533 dt. 07.03.03 14. 0810024902 dt. 02.01.03

The Committee noted the agenda and accordingly decided to revalidate the 14 advance licences, mentioned above, for a period of six months from the date of communication of the decision of PRC for the purpose of clubbing with other advance licences, subject to payment of composition fee @ 1% of the unutilized cif value of these licences and also subject to verification by RA of EO fulfillment status, as claimed by the firm. No further import and exports will be allowed against these 14 advance licences.

Case No. 21: M/s. Shankar Packagings Limited, Mumbai

File No. 01/60/162/372/AM09/EFGC(PRC)

Subject: Revalidation & CIF Enhancement of advance licence No.

0310380836 dated 18.05.2006.

The Committee noted that EO fulfilled in respect of Advance licence No. 0310380836 dated 18.05.2006 is more than 98.54% Qty. wise and 126% value wise within valid EOP, as claimed by the firm. Committee therefore, decided to revalidate the aforesaid advance licence for a period of six months from the date of communication of the decision of PRC, subject to payment of composition fee @ 1% of the unutilized cif value of the licence and also subject to verification by RA of EO fulfillment status, as claimed by the firm. For the request of CIF Enhancement the firm may be advised to approach to RA concerned.

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Case No. 22: M/s. Family Plastics & Thermoware, Thiruvananthapuram

File No. 01/60/162/335/AM09/EFGC(PRC)

Subject: Request for Approval for 2nd Revalidation and value enhancement

of advance licence No. 0310356436 dated 23.11.2005.

The Committee noted that EO fulfilled in respect of Advance licence No. 0310356436 dated 23.11.2005 is more than 100% both in Qty. wise and value wise within valid EOP, as claimed by the firm. Committee therefore, decided to revalidate the aforesaid advance licence for a period of six months from the date of communication of the decision of PRC, subject to payment of composition fee @ 1% of the unutilized cif value of the licence and also subject to verification by RA of EO fulfillment status, as claimed by the firm.

Case No. 23: M/s. Shri Ebby George Chirayath

File No. 01/89/180/52/AM09/PC-2(A)

Subject: Request for acceptance of Type Approval Certificate from an

agency outside the country of origin.

The Committee accorded ex-post-facto approval for acceptance of Type Approval Certificate from an agency outside the country of origin, granted by DGFT on file and the permission for the same has been conveyed to the applicant vide this office letter dt. 11.12.208.

Case No. 24: M/s. SSP (Pvt.) Limited, Haryana

File No. 01/94/180/924/AM09/PC-4

Subject: Revalidation of advance licence No. 0510154931 dt. 04.04.2005.

No. 0510154931 dt. 04.04.05 for a period of six months from the date of communication as claimed by the firm.

Case No. 25: M/s. Gujarat Raffia Industries Ltd., Gandhinagar

File No. 01/94/180/723/AM09/PC-4

Subject: Revalidation of advance authorization No. 0810055034 dt. 23.03.06.

11 No. 0810055034 dt. 23.03.06 for a period of six months from the date of communication as claimed by the firm.

Case No. 26: M/s. Gujarat Raffia Industries Ltd., Gandhinagar

File No. 01/94/180/724/AM09/PC-4

Subject: Revalidation of advance authorization No. 0810055778 dt. 19.04.06.

No. 0810055778 dt. 19.04.06 for a period of six months from the date of communication as claimed by the firm.

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