DGFT Regulatory Doc

Government of India Ministry of Commerce & Industry Department of Commerce Directorate General of Foreign Trade KKK

Udyog Bhawan, New Delhi Dated 16" May, 2019

TRADE NOTICE No. No. 16/ 2019-20 2019-20

• To NOTICE No. No. 16/ 2019-20 2019-20 1. Members of Trade 2. All Customs Commissioners 3. Federation of Indian Export Organisations, Delhi 4. Federation of Indian Chambers of Commerce and Industry (FICCI), New Delhi, 5. Indian Chemical Council, Mumbai 6. All Regional Authorities of DGFT

• Subject: Prohibition on direct or indirect import and export from/to DPRK (Democratic People's Republic of Korea) in terms of UNSC Resolutions concerning DPRK - Para 2.17 of the Foreign Trade Policy 2015-20 - regarding.

Reference is invited to the enclosed DGFT Notification No. 52/2015-20 dated 07.03.2018 wherein Para 2.17 of the Foreign Trade Policy 2015-20, on imports and exports to Democratic People's Republic of Korea (DPRK), which was notified to implement UNSC Resolution No. 2397(2017) dated 22.12.2017 passed under Chapter VII of the Charter of the United Nations on DPRK.

Democratic People's Republic of Korea (DPRK), which was notified to implement UNSC Resolution No. 2397(2017) dated 22.12.2017 passed under Chapter VII of the Charter of the United Nations on DPRK.

Z. The UNSC Resolution No. 2397(2017) reaffirms the previous DPRK-related UNSC resolutions namely, 1718 (2006), 1874 (2009), 2087 (2013), 2094 (2013), 2270 (2016), 2231 (2016), 2356 (2017), 2371 (2017) and 2375 (2017). 3. Subsequent to the issue of DGFT Notification No. 52/2015-20 dated 07.03.2018, it has been noticed that export and import of sanctioned items from/to DPRK may have been taking place due to lack of clarity on items /HS codes covered under prohibition. 4. To facilitate the industry, the item description and corresponding HS Codes relevant to DGFT Notification No. 52/2015-20 dated 07.03.2018 is attached at Annex-l and Il, purely for reference.

5. Members of trade and industry are hereby advised to adhere to the DGFT Notification No. 52/2015-20 dated 07.03.2018 and the UNSC resolutions referred to therein and Trade Notice No. 15/2019-20 dated 16.05.2019. 6. This issues with the approval of competent authority. | | ‘

Copy[to:]

(Arunoday Goswami) Joint Director General of Foreign Trade Tele No. 23063419 e-mail : arunoday.goswami @nic.in

1. PS to Hon’ble CIM 2. PS to Hon’ble MoS 3. PSO to Commerce Secretary 4. Sr. PPS to DGFT/ Addl. DG(NKS), DGFT

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Government of India Ministry of Commerce & Industry . Department of Commerce Directorate General of Foreign Trade Udyog Bhavan . Notification No. S 2-/2015-20 etn New NO. > = /2015-20 Delhi, Dated: 7 March 2018 Subject: Amendment in Para 2.17 of the Foreign Trade Policy 2015-20 on "Prohibition on direct or indirect import and export from/to DPRK (Democratic People's Republic of Korea) in terms of UNSC resolutions concerning DPRK. S.0.(E). In exercise of the powers conferred by Section 5 and Section 14A of the Foreign Trade (Development and Regulation) Act, 1992, as amended, read with Para 1.02 of the Foreign Trade Policy (FTP) 2015-20, the Central Government hereby makes amendment to the Paragraph 2.17 of FTP 2015-20 as notified vide Notification No. 35/2015-20 dated 18th October. amended.2017, with immediate effect. Consequently, the Appendix I of FTP 2015-20 also stands 2.

t to the Paragraph 2.17 of FTP 2015-20 as notified vide Notification No. 35/2015-20 dated 18th October. amended.2017, with immediate effect. Consequently, the Appendix I of FTP 2015-20 also stands 2. Paragraph 2.17 of the FTP 2015-20 stands substituted as under: (changes made are in bold letters, except bold letters used in Para heading and sub-headings). "2.17 Prohibition on direct or indirect import and export from/to Democratic People's Republic of Korea (DPRK)

“Prohibition on export:

(A) The direct or indirect supply, sale, transfer or export of the following items to Democratic People’s Republic of Korea (DPRK) is prohibited:-

(i) any battle tanks, armoured combat vehicles, large calibre artillery systems, combat aircraft, attack helicopters, warships, missiles or missile systems as defined for the purpose of the United Nations Register on Conventional Arms, or related materiel including spare parts; (ii) all arms and related materiel, including small arms and light weapons and their related materiel; (iii) all items, materials, equipment, goods and technology as set out in the United Nations Security Council (UNSC) and International Atomic Energy Agency (IAEA) documents, namely,

1. S/2006/853*; 2. S/2006/853/Corr.1; 3. Part B of S/2009/364; 4. Annex III of Resolution 2094 (2013); 5. S/2016/1069; aie

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f Resolution 2094 (2013); 5. S/2016/1069; aie

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6. Annex A to INFCIRC/254/Rey.12/Part] (AEA document); 8.7. AnnexS/2014/253; to INFCIRC/254/Rev.9/Part2 (IAEA document); 9. S/2016/308; : . 10. Annex III of Resolution 232] (2016); and 11. other items, materials, equipment, goods and technology, as determined by — the Central Government, which could contribute to DPRK’s nuclear related, programmes;ballistic missile-related or other weapons of mass destruction related (iv) luxury goods, including, but not limited to, the items specified in Annex IV of Resolution 2094 (2013), Annex IV of Resolution 2270 (2016) and Annex [V of Resolution 232] (2016); . (v) items as determined by the Central Government, except food or medicine, that could directly contribute to the development of the Democratic People’s Republic of Korea’s operational capabilities of its armed forces. This measure is Subject to the exemptions set out in paragraph 8 (a) and (b) of Resolution 2270 (2016); Prohibition on import :

(B) The direct or indirect procurement or import from DPRK, of items, whether or not isoriginatprohib i ngted.in DPRK, covered in sub-paragraphs (A)(i), (A)(ii), (A)(iii) and (A)(v) above

Sectoral prohibitions (export)

(C)is pro T h ibited:e direct or indirect supply, sale, transfer or export of the following items to DPRK

(i) new helicopters and new or used vessels, except as approved in advance by the Committee on a case-by-case basis;

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(ii) aviation fuel, including aviation gasoline, naptha-type jet fuel, kerosene-type jet fuel, and kerosene-type rocket fuel. This measure is subject to the provisions of (2016);paragraph 31 of Resolution 2270 (2016) and paragraph 20 of Resolution of 2321 (ili) condensates and natural gas liquids; (iv) refined petroleum products. This measure is subject to the limits, exceptions and procedures set out in paragraph 5 of Resolution 2397 (2017); (v) crude oil. This measure is subject to the limits, exemptions and procedures set out in paragraph 4 of Resolution 2397 (2017); (vi) all industrial machinery [Chapter 84 and 85 of ITC(HS)], transportation vehicles [Chapter 86 to 89 of ITC(HS)], and iron, steel, and other metals [Chapter 72 to 83 of ITC(HS)]. This measure is subject to the exemptions set out in paragraph 7 of Resolution 2397 (2017);

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Sectoral prohibitions (import)

prohibited:(D) The direct or indirect procurement or import from DPRK, of the following items is . (i) coal, iron and iron ore. This measure is subject to the exemptions and procedures set out in paragraph 8 of Resolution 237] (2017); (ii) gold, titanium ore, vanadium ore, and rare earth minerals; (iil) copper, nickel, silver and zinc; (iv) statues, unless the Commi ttee approves on a case-by-case basis in advance; (v) seafood (including fish, crustaceans, mollusks, and other aquatic invertebrates in all forms). This measure is subject to the exemptions, clarifications and procedures 2397set out(2017);in paragraph 9 of Resolution 237] (2017) and paragraph 6 of Resolution (vi) lead and lead ore. This measure is subject to the exemptions and procedures set out in paragraph10 of Resolution 237] (2017); (vil) textiles (including but not limited to fabrics and partially or fully completed apparelin paragraphproducts).16 of ResolutionThis measure2375is subject(2017); to the exemptions and procedures set out _ (viii) food and agricultural products [Chapters 12, 08, 07 of ITC(HS)], machinery [Chapter 84 of ITC(HS)], electrical equipment [Chapter 85 of ITC(HS)], earth and stone including magnesite and magnesia [Chapter 25 of ITC(HS)], wood [Chapter 44 of ITC(HS)}, and vessels [Chapter 89 of ITC(HS)}. These measures are subject to the procedures set out in paragraph 6 of Resolution 2397(201 7).

Explanation.‘

ter 25 of ITC(HS)], wood [Chapter 44 of ITC(HS)}, and vessels [Chapter 89 of ITC(HS)}. These measures are subject to the procedures set out in paragraph 6 of Resolution 2397(201 7).

Explanation.‘

• a) UNSC means the United Nations Security Council; b) IAEA means the International Atomic Energy Agency; c) Committee means the Committee of the UNSC set up in terms of paragraph 12 of d) Resolution 1718 (2006); Resolution, as the case may be, means the UNSC Resolutions under Chapter VII of the Charter of the United Nations on Democratic People’s Republic of Korea, namely, 1718 (2006), 1874 (2009), 2087 (2013), 2094 (2013), 2270 (2016), 2231 (2016), 2356 (2017), 2371 (2017), 2375 (2017) and 2397(2017)”.

3. Effect of the Notification

|

This Notification seeks to update the Para 2.17 of the Foreign Trade Policy 2015-20, on imports and exports to Democratic People's Republic of Korea (DPRK), to account for UNSC Resolutions under Chapter VII of the Charter of the United Nations gn\Democratic People’s Republic of Korea, namely, 1718 (2006), 1874 (2009), 2087 (2013), 2994'(2013), 2270 (2016), 2231 (2016), 2356 (2017), 2371 (2017), 2375 (2017) and 2397(2017). C (Alok Vardbarf Chaturvedi) Director Geftefal of Foreign Trade E-mail: dgft@nic.in

(Issued from F.No.01/91/180/991/AM07/PC-III/EC)

Paget ai

|||||Annexure-||
|---|---|---|---|---|
||HSCodes<br>Coal|:|HSCodesforUNSCResolutions2270(2016)and2321(2016)<br>—<br>DescriptionSe____| Resolutions 2270 and 2321_<br>2701 | Coal; briquettes, ovoidsandsimilarsolid<br>Para26ofRes.2321appliescap<br>fuels manufactured from coal<br>on exports and conditions for||
|||IronOre||2601 | Iron oresandconcentrates, including|procurements underthe cap.|
||||roasted iron pyrites|Livelihood exemption remains|
||lron||Chapter72 | Iron and steel products (7201-7229)|for Ironand Iron ore|
||Iron and Steel<br>products||7301-7326 | Iron and steel products||
||Gold||261690 | Gold oresandconcentrates|AllexportsfromDPRKprohibited|
||||7108| Gold (including gold platedwith platinum)||
||||unwrought or in semi-manufactured forms,||
|||;|or in powderform||
||||710811 |Gold Powder||
||||710812 | Gold in Other Unwrought Forms||
||||710813 | Gold in OtherSemi-manufactured Forms||
||||710820 |Monetary Gold||

mi-manufactured forms,||
|||;|or in powderform||
||||710811 |Gold Powder||
||||710812 | Gold in Other Unwrought Forms||
||||710813 | Gold in OtherSemi-manufactured Forms||
||||710820 |Monetary Gold||
||RareEarthMinerals||2612 | Uranium orthorium oresandconcentrates<br>[261210 and 261220]||
||||2617 | OtherOresand concentrates||
||||[261790 -OtherOres and Concentrates]||
||||2805| Alkali metals etc, rare-earth metals etc,||
||||mercury||
||||2844| Radioactivechemical elements& isotopes||
|[EE<br>Copper|||etc<br>ae<br>eee<br>7401-7419<br>Newmineralsadded in para 28of||
||Zinc||2603<br>|Copperoresandconcentrates<br>7901-7907|resolution 2321 (2016)|
||Nickel||2608| Zinc oresand concentrates<br>msor7s0s|SSCSCS~S~S~S<br>2604| Nickel ores and concentrates||
||Silver||7106,7107| Silveroresand concentrates||
||||7114| Articles of goldsmiths or silversmiths’||
||||wares or parts thereof, of silver, whether||
||||or not plated or clad with other precious||
||||metal||

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Annexure-II

Harmonized System Codes for all sectoral bans in UNSC Resolutions 2270 (2016), 2321 (2016), 2371(2017), 2375 (2017) and 2397 (2017)

Table 1: HS codes for Sectoral Bans on Imports from the DPRK

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C Resolutions 2270 (2016), 2321 (2016), 2371(2017), 2375 (2017) and 2397 (2017)

Table 1: HS codes for Sectoral Bans on Imports from the DPRK

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|||||||||
|---|---|---|---|---|---|---|---|
|||
|manufactured from|coal|res|2371|
|e047|
|or|not|agglomerated;|retort|carbon|
|||
|_ron___||Chapter|72 ||ironpyrites and|steel|products|(7201-7229)|
|products|
|Para.|30|of|
||___ 710811|| GoldmanufacturedPowder, forms Unwrought or powder|(2016)|
|____710813|| Goldin Other|Semi-manufactured Forms|
|Titanium|
|Peds —||508|van|
|Minerals|and|261220|
|2805|| alkali metals- Other Ores and etc., Concentrrare-e|a|rthtes]metals|etc, mercury|
|Copper|Para.|28 of|
|Mi|eats)|
|i|ee|
|2616100}|Silver ores|and|concentrates|
|7106,|7107)|Silver unwrought|or semi|manufactured|forms,|or|in|
|powdered|forms;|base|metals|clad|with|silver,|not|
|further worked|than|semi-manufactured|
|7114||articles|of goldsmiths|or silversmiths’|wares or parts|
|thereof,|of silver, whether or|not|plated|or clad|with|
|other|precious|metal|
|fish,|Invertebrates|(0301-0308|res 2371|
|crustaceans,|a.|Extracts and juices of meat, fish or crustaceans,|(2017)|
|molluscs, and|molluscs or other aquatic|invertebrates)|
|;|substitutes|prepared|from|fish|eggs|
|invertebrates|1605||Crustaceans, molluscs and other aquatic invertebrates,|
|in|all forms)|prepared or preserved|

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| ,

itutes|prepared|from|fish|eggs| |invertebrates|1605||Crustaceans, molluscs and other aquatic invertebrates,| |in|all forms)|prepared or preserved|

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| , 

```text
||aot__<br>Chapter 78 [ teed and articles thereof(va0i-7a06)<br>J}|aot__<br>Chapter 78 [ teed and articles thereof(va0i-7a06)<br>J}||
|---|---|---|---|
|||res 2371||
|||(2017)||
||and natural<br>.<br>minerals<br>res2375<br>gasliquids ou Bitinpemactemennmanes (ai <br>Refined<br>2710| Petroleum oils and oils from bituminous minerals, not | Para. 14of<br>petroleum<br>crude; preparations n.e.c, containing byweight70% or | res2375<br>products<br>more of petroleum<br>oils or<br>oils from bituminous<br>(2017)|||<br>of|
||minerals; these being the basic constituents of the|||
||preparations; waste oils|||
||2712| Petroleum _ jelly;<br>paraffin<br>wax,<br>micro-crystalline<br>.<br>petroleum wax, slack wax, ozokerite, lignite wax, peat<br>wax, other mineral waxes, similar products obtained by<br>synthesis, other processes; coloured or not.|||
||petroleum<br>oils or<br>oils obtained from<br>bituminous<br>minerals.<br>ee | _ eos S eTo o<br>minerals, crude|res 2375<br>(2017)|-|
||(including but<br>50 -63|res2375||
||partiallyor<br>And Woven Fabrics Thereof; Horsehair Yarn And<br>fully<br>Woven Fabric<br>completed |<br>52|Cotton,including Yarns And Woven Fabrics Thereof<br>apparel<br>a: Vegetable Textile Fibers Nesoi;

allyor<br>And Woven Fabrics Thereof; Horsehair Yarn And<br>fully<br>Woven Fabric<br>completed |<br>52|Cotton,including Yarns And Woven Fabrics Thereof<br>apparel<br>a: Vegetable Textile Fibers Nesoi; Yarns And Woven<br>products)<br>FabricsOfVegetableTextile Fibers NesoiAndPaper<br>A lela<br>Fabrics Thereof<br>ee<br>RTO<br>FabricsThereof<br>a<br>Cordage, RopesAnd CablesAnd Articles Thereof|||
|;||||
||Fabrics; specialwoven fabrics, tufted textilefabrics,<br>lace, tapestries, trimmings, embroidery<br>Ea<br>laminated; textile articles ofa kind suitable for<br>industrialuse;<br>_____61 |Anpar**e**landclothing accessories; kitted or crocheted;<br>a sei<br>croch ted;<br>Textiles, made up articles; sets;worn clothingandworn|||
||textile articles; rags|||
||Oil seedsand oleaginous fruits; miscellaneousgrains,<br>seedsand fruit, industrial or medicinal plants; strawand|||
||fodder|||

rege 749

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||||||||||
|---|---|---|---|---|---|---|---|---|
|Electrical|appliances;|parts thereof|res. 2397|
|equipment|Electrical|machinery|and|equipment|and|parts|thereof;|| (2017)|
|sound|recorders|and|reproducers;|television|image|and|.|
|sound|recorders and|reproducers,|parts and|accessories|
|of such|articles|
|Earth and|Salt; sulphur; earths, stone;|plastering|materials,|lime and|
|stone|cement|
|including|
|magnesite|
|and|magnesia|
|Wood ___|______44 ||Wood|and|articles of|wood;|wood charcoal|
|Wessels|__|_____88||structures) Ships, boats|and|floating|

erials,|lime and| |stone|cement| |including| |magnesite| |and|magnesia| |Wood ___|____44 ||Wood|and|articles of|wood;|wood charcoal| |Wessels||_____88||structures) Ships, boats|and|floating|

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Table 2: Harmonized System Codes for Sectoral Bans on Exports to the DPRK according to<br>paragraph 7 of UNSC Resolution 2397 (2017)<br>**----- End of picture text -----**<br>


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```text
|||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
|Machinery|;|appliances;|parts thereof|res.|2397|
|Electrical|machinery|and|equipment|and|parts|||(2017)|
|thereof;|sound|recorders|and|reproducers;|television|
|image|and|sound|recorders|and|reproducers,|parts|
|and|accessories|
|of such|articles|
|Transportatio|Railway, tramway locomotives,|rolling-stock and|parts|||Para.|7 of|
|n|vehicles|thereof;|railway or tramway track fixtures and fittings|| "eS. 2397|
|mechanical)|traffic signaling|equipmentofall|kinds|
|___|__89ee||Ships,|boats|andfloating structures|SS|
|steel|and|72|- 83|res.|2397|
|metals|
||__75||Nickel|and|articles thereof|—=——=S=S~S|
|80|Tinand articles thereof|
|a1SSSother base metals; cermets|ances thereof|
|oe|
|_____ 83 ||Miba|s|cellaneouse metal;|partsarticl th|e|res|of|ofbase bas m|e|metaltal.|SSS|

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