DGFT Minutes

MINUTES OF EPCG COMMITTEE MEETING HELD ON 18.2.2008 AT 3.00 P.M. UNDER CHAIRMANSHIP OF DR. SHYAM AGARWAL, ADDITIONAL DIRECTOR GENERAL OF FOREIGN TRADE ………..

EPCG Committee Meeting was held on 18.2.2008.. The following officials participated:

S. No.
Name and Designation

1.    Dr. Shyam Agarwal, Addl. DGFT, Chairman 
   

2.    Sh. G. Seetharam Reddy, Jt. DGFT, Member Secy. 
   

3.    Sh. Navneet Goel, Director, Deptt. of Revenue 
   

4.    Sh. Ishwar Singh, Dy. DGFT. 
   

5.    Sh. S.K.Panigrahi, FTDO (EPCG-I).   
   

6. Sh. Samir Sinha, FTDO(EPCG-II)

EPCG Committee took following decisions after deliberations:-

2.1 Case No.1: Issue of EPCG Licence to GTL Infrastructure Ltd., Thane, Mumbai (with special permission of the Chair)

Licence may be issued subject to clarificatory details as to

(i) Business plan/project report/model indicating the capital goods proposed to be imported and export goods/services having nexus’

(ii) site details (where installation would be done) initially (as fixed
already) and subsequent additional ones,

(iii) elaborating the details/ modalities of services proposed to be exported( e.g. transport of goods by road services, renting of immovable property services apparently are not comprehensible, more information are thus needed for explaining adequately), and

(iv) technical specifications of import items may be obtained from the firm .

ty services apparently are not comprehensible, more information are thus needed for explaining adequately), and

(iv) technical specifications of import items may be obtained from the firm .

     After the above details are received and on due analysis of the same, the 

licence for Rs.484 crores as applied may be issued. With the above, it was decided to recommend for approval of C&IM.

2.2 Case No.2: Indian Handicrafts, New Delhi .

Lic.No. Date Cif value (in Rs) Original Revised E.O. (in US $) Original. Revised 097697 6.11.1998 1,07,75,285/- 1,32,83,190/- 1510554/- 353226/- 0530130903 28.4.2000 16,52,876/- 1,89,550.00

     Details as to the date(s) of  import of capital goods and  date of  installation 

etc. i. e, chronological sequence of events, may be obtained from firm. Simultanesously, RLA’s file may be called for and examined. Case may be put up again .

2.3 Case No.3: Ballarpur Industries Ltd, Mumbai
(EPCG Licence No.01500186 dated 12.01.1996,
CIF value in Rs. 1,87,07,00,40/-E.O in US$ 32,09,66,611/- )

DOR representative pointed out that Custom Notification No. 111/95 dated 5.6.1995 did not allow extension in export obligation period beyond 12 years even in respect of licences with cif value of and above Rs.100 crores. However, it was noted that Custom Notification No.

.1995 did not allow extension in export obligation period beyond 12 years even in respect of licences with cif value of and above Rs.100 crores. However, it was noted that Custom Notification No. 97/2004, which though put bar on extension in export obligation period in respect of BIFR cases, yet do not put any bar in respect of licences with cif value of and above Rs. 100 crores. Committee desired DOR to come up with their comments in next meeting.

2.4 Case No. 4: Harman Plastic Industries, Mumbai. (EPCG Licence No. 0330003743 dated 9.6.2003
Duty saved amount Rs. 1,344,200.00/-
E.O in US$ 224,735.63/-)

Nexus was approved as per comments of DIPP vide U.O. No. IPP/6/2/2008-TSW dated 18.1.2008 in respect of ‘Carlson Nail Polish Brush Machine Model 25CF and subject to furnishing of Chartered Engineer’s certificate in respect of ‘Auto Spray Painting Machine(HD-200) and Molds for caps.

2.5 Case No.5 Ford India Ltd (formerly Mahindra Ford
India Ltd. )

                         (EPCG Licence No. 01500681 dated 26.12.1997,  
                            CIF value in Rs.1,19,63,70,590/- E.O in US$ 16,61,16,938/-) 


        Committee desired that the details of exports made by firm may be 

handed over to the representative of DOR for their examination and comments.

63,70,590/- E.O in US$ 16,61,16,938/-)

        Committee desired that the details of exports made by firm may be 

handed over to the representative of DOR for their examination and comments. Accordingly, a set of documents was handed over to Shri Navneet Goel, Director(DBK) in the meeting itself.

2.6 Case No.6: Visoka Engineeing Private Ltd., Chennai
(EPCG Licence No04500572 dated 16.8.1999,
CIF value in Rs. 53,03,018/- E.O in US$ 4,93,304/-)

Committee approved extension in export obligation period for one year subject to payment of 2% composition fee. In case exports of alternate product(s) is claimed for fulfillment of EO, average export obligation for the alternate product(s) would also need to be maintained.

2.7 Case No.7: Essar Steel Ltd, Vishakapatnam, (EPCG Licence No.01500622 dt. 10.7.1997, CIF value in Rs.65,07,03,986/- E.O.in US$9,40,37,459/-)

Representatives of firm appeared before Committee and explained their case. Committee desired them to submit details as to date(s) of import made and installation thereof and also year-wise exports since year of issue of licence onwards. Case may be put up after examining these details.

2.8 Case No.

s as to date(s) of import made and installation thereof and also year-wise exports since year of issue of licence onwards. Case may be put up after examining these details.

2.8 Case No. 8: Refixation of export obligation on duty saved amount basis
as per para 5.19 of the HBP (2004-09)

Representative of DOR pointed out that in view of huge financial implications involved in the proposal, quantum assessment is a pre-requisite.
Details of requests pending for re-fixation of export obligation may be obtained from all RAs and financial implications may be assessed.

2.9 Case No.9: Approval of Draft New Format of Agenda for the
EPCG Committee Meeting.

Representative of DOR suggested that number and date of relevant custom notification may also be indicated below (ii) of III i.e. in column meant for’ %age duty scheme’. With this amendment, Committee approved New Format for Agenda.

2.10 Case No.10: M/s. Mahaveer Safety Glass Co. Ltd, Chennai. (EPCG Licence No.0410082855 dt. 14.7.2006, Duty saved amount Rs.2,62,800/- E.O. In US$45,359.22/-)

Case was deferred for want of further details.

Meeting ended with thanks to all participants.