DGFT Minutes

MINUTES OF EPCG COMMITTEE HELD AT 11.00 A.M ON 13.7.2009 IN ROOM NO. 04, UDYOG BHAVAN, NEW DELHI UNDER THE CHAIRMANSHIP OF SHRI AMITABH JAIN, ADDITIONAL DIRECTOR GENERAL OF FOREIGN TRADE.     Export Promotion Capital Goods (EPCG) Committee Meeting was held on at 11.00 AM on 13.7.2009.  Following officials participated:   S. No.  Name and Designation 1.         Shri Amitabh Jain,  Addl. DGFT, Chairman 2.         Shri Akash Taneja, Jt. DGFT 3.         Shri V.C. Aggarwal, Industrial Advisor, Deptt. of Heavy Industries 4.         Shri D.N. Mathur, Deputy I.A.,  Deptt. of Pharmaceuticals. 5.         Shri S.S. Tak, I.A., Ministry of Steel. 6.         Shri S.K.Jain, Development Officer, DIPP. 7.         Shri Pramod Kumar, Technical Officer, D/o Revenue, Ministry of Finance. 8.         Shri RA Lal Dy. Dir. o/o Textile Commissioner 9.         Shri Ishwar Singh, Dy. DGFT. 10.       Shri Kamlesh Kumar, FTDO (EPCG­I).       2.         Confirmation of Minutes of last  Meeting dated 4.6.2009 with minor modification of Minutes in respect of Case No. 2  pertaining to  M/s Madura Coats Ltd, Madurai i.e. “Cost of Spares to be as per policy provisions ” in place of’ Cost of Spares being as per policy provisions.’   3.         The Committee took following decisions after deliberations:     S. No. Name of Firm Licence No. & date Import item Export Product Decision of the Committee 1. M/s  ARR  ESS International Pvt.  Ltd.,  New Delhi 0530134037 dated 2.4.2003 As  per Agenda Services  to Foreign Tourist                       The  Committee  decided  to obtain the  following  information  from

S International Pvt.  Ltd.,  New Delhi 0530134037 dated 2.4.2003 As  per Agenda Services  to Foreign Tourist                       The  Committee  decided  to obtain the  following  information  from the firm, viz actual duty saved amount, amount  claimed  as  Insurance  and amount  received  as  Insurance  Claim. Further, the Section is to examine as to why the Average EO in licence is Nil, while  there  is  a  previous  export performance  stipulated for the relevant sector  in  Para  5.1  of  FTP.  The Committee also directed that the details

of  use  of  capital  goods  from  date  of import  till  date  of  accident  and  EO fulfillment  through  it  may  also  be obtained.   2. M/s  Flamingo Hotels  Pvt. Ltd., Gandhidhamm 0047001 dated 8.3.1999 Do Service Providers being a hotel industry Committee  noted  that  this  case  had been  considered  and  rejected  by  the EPCG Committee, in 2002 and 2005.  Committee  further  observed  that  the Chiller  –  Heater  cannot  be  destroyed completely    to  zero  value  in  the earthquake.  Therefore, the information as to the value of the damaged Capital Goods  and  their  uses  details  w.e.f .January,  2001  may  also    be  obtained from the firm.   3.   M/s  Foam Matting’s (India)  Pvt. Ltd., Alleppey 2135276 dated 20.01.2000 Do Mattings   Committee  noted  that  Policy Relaxation  Committee  (PRC)  in  its decision dated 31.08.2007 extended the period  from  19.01.2005  to  19.01.2007 (i.e. only for a period prior to decision of  PRC)      The  firm  has  sought  for   onward  shifting  of  the  period  of extension

31.08.2007 extended the period  from  19.01.2005  to  19.01.2007 (i.e. only for a period prior to decision of  PRC)      The  firm  has  sought  for   onward  shifting  of  the  period  of extension  granted  by  PRC  from 19.1.2009  to  18.1.2011.Therefore  the comments of Policy division  may first be  obtained  and  examined  on  file before  placing  the  same  before  the EPCG Committee.   4.   M/s  H&R Johnson (India)  Ltd., Mumbai 01500541 dated 16.10.1996 Do Ceramic Glazed  Tiles &  Vitrified Unglazed Smooth  & Mirror Polished Ceramic Tiles   Committee  recommended  extension for  18  months  commencing  from 16.10.2008  till  15.04.2010  subject  to the terms and conditions stipulated by the  Grievance  Redressal  Committee while  granting  the  extension  upto 16.10.2008. 5.   M/s  Brij Naturstein Ltd. 3039945 dated Do Granite Tiles & slabs   Committee  approved  extension  of

27.03.1997 EOP for  8 months from 27.03.2002 to 27.11.2002  subject  to  payment  of  2% Composition Fee on unfulfilled export obligation as on 27.03.2002.    6.   M/s  Pioneer Polymers  Pvt. Ltd., Noida 0530133605 dated 04.12.2002 Do Moulding Plastic Components  The CIF value of CG destroyed in fire is    Rs.  4.08  crores.  The  Committee observed  that  the  firm  has  received Insurance  Claims  worth  Rs.  4.77 crores.  The  Committee  therefore recommends  that  the  firm  may  be asked  to  deposit  customs  duty alongwith interest, on the proportionate unfulfilled  EO.    The  Committee recommends that subject to deposit of said  customs  duty  with  interest,  the

may  be asked  to  deposit  customs  duty alongwith interest, on the proportionate unfulfilled  EO.    The  Committee recommends that subject to deposit of said  customs  duty  with  interest,  the unfulfilled EO beyond the date  of  fire accident will stand waived and the firm would  be  entitled  to  remove  the residual scrap material.   7.   M/s  Tata  BP Solar  India Ltd.,  New Delhi 0730006881 dated 01.04.2008 Do Solar Photovoltaic Cells,  Solar Photovoltaic Modules and Solar  Power Generating Systems Solar  Power Generating systems The Committee  decided to recommend that  the  value   of  the  existing  licence may be enhanced to enable the firm to import  same  capital  goods  again subject  to  the  condition  that  the  firm would  fulfill  the  export  obligation including  average  export  obligation stipulated  against  the  existing    un­ enhanced  licence  together  with additional  export  obligation  imposed  in  lieu  of  import  of  new  machinery.  Further, the Committee recommends to allow  disposal  of  residue  /  scrap  on payment  of  applicable  Customs  Duty after above enhancement. 8.   M/s  Kirloskar Electrical Company 01500325 dated 25.03.1996 Do Rotating Electrical Machines etc. The Committee observed that the firm could  not  undertake  any  kind  of production  during  February,  2005  to September, 2006(20 months) owing to

25.03.1996 Do Rotating Electrical Machines etc. The Committee observed that the firm could  not  undertake  any  kind  of production  during  February,  2005  to September, 2006(20 months) owing to

implementation  of  arrangement  – decreed by Karnataka High Court. The firm  may  be  asked  if  it  is  willing  to fulfil  the  average  EO  imposed  during the  above  20  months  period  in  the current/extended  period.  A  decision would be taken on receipt of reply.     4.         The Committee then  took up the cases for nexus approval. The following cases were approved:     S. No. Name of Firm Licence  No. & date Import item Export product Decision of  the Committee Reference of T.A. 9.   (A­ 6) M/s Kanhaiyalal Kalyanmal 0189628 dated 9.12.1999 Do Ready  made garments Approved  On the basis of  comments of  Commissioner  of Textiles  vide letter                                   No. 21(12)/07/EPCG/RON/380 Dated 30.03.2009.   10. (A­ 10A) Eros International Ltd, Mumbai 0330003474 dated 31.3.2003 As  per Agenda Video Software (pre­recorded video cassettes) DVD Approved  On the basis of Letter No. 13(3)/2003­ITP  dated 10.07.2009  received  from Depttt.  Of  Information Technology.   11. (A­ 10K) Emcure Pharmaceuticals Ltd 3130000310 dated 27.01.2003. Do Medicaments­ Pharmaceutical Products. Approved O.M.  No.  3014/4/2008 dated  03.07.2009  received from  Deptt.  of Pharmaceutical.   12. (A­ 10G) Navjeevan Textiles Corporation  , Pune 3130000115 dated 2103.2001 Do Weft  Knitted Fabricks Approved On  the  basis  of  oral comments  of    Shri  R.A.Lal,  DD,  office  of

aceutical.   12. (A­ 10G) Navjeevan Textiles Corporation  , Pune 3130000115 dated 2103.2001 Do Weft  Knitted Fabricks Approved On  the  basis  of  oral comments  of    Shri  R.A.Lal,  DD,  office  of Textiles Commissioner. .

5.                  The  Committee  deferred  the  under­mentioned  cases  for  following  up  with  the  respective  Technical  Authorities  for  sending  their views/comments and also for  pursuing with the firms for sending information/documents requisitioned by the Technical Authorities, etc.:          S. No. Name of Firm Licence No. & date Import item Export product Decision  of the Committee Observations  of the Committee 13. (10­ B) PRP  Granites, Madurai 3530000044 dated 26.7.2000 Do Granite Blocks Reminder  to Firm  for sending wanting information sought  by DIPP Final  reminder to firm  may  be sent  for furnishing   information  in reply  to  DIPP’s U.O.  No. IPP/6(13)/2008 –  TSW  dated 18.12.2008. 14. (10­ C) Venky  (India) Limited , Pune. 3130000288  dated 16.12.2000 Do Hatching Egg(Lecithin  for Poultry Feed) Animal Husbandry  & Dairying D.O  letter  may be  sent  to  Jt. Secretary, Department  of Animal Husbandry  and Diary  seeking their comments.   15. (10­ D) Technova Imaging  Systems(P) Limited 0330004410 dated 29.9.2003 Do Off­set  Printing Plates  used  for Image Transfer. Deferred  to obtain opinion  of Heavy Industry. A  set  of documents  may be  sent  to Industrial Advisor, Department  of Heavy Industry. 16. (10­ E) Abad  Overseas (P0  Ltd., Cochin. 1030000203 dated 5.8.2002  Do Frozen fish and fishery products Deferred  to

ocuments  may be  sent  to Industrial Advisor, Department  of Heavy Industry. 16. (10­ E) Abad  Overseas (P0  Ltd., Cochin. 1030000203 dated 5.8.2002  Do Frozen fish and fishery products Deferred  to obtain  view of  D/Animal Husbandry and  Dairying Development. D.O  letter  may be  sent  to  Jt. Secretary, Department  of Animal Husbandry  and Diary  seeking their comments.

(10­ F) Polybond  India Pvt.  Limited, Pune 3130000427dated07.07.2003 Do Injection moulded Rubber Goods. Deferred  for further examination and  for  obtaining  comments  of DIPP A  set  of documents  may be sent to DIPP  for comments. 18. (10­ H) Idea  Cellular Ltd, Pune 3130000412  dated 20.06.2003 Do International Roaming Service. Deferred  to obtain written comments  of Deptt.  of Telecom. Reminder  may be  sent  to Department  of Tele­ Communication. 19. (10­ I) Amphenol Interconnect India  Pvt Limited., Pune 3130000398  dated 29.05.2003 Do Connectors and parts of connectors Deferred  to obtain  comments  of Deptt.  of  Information & Technology. Reminder  may be  sent  to Department  of Tele Communication. 20. (10­ J) Bio­ved­ Pharmaceuticals Pvt Ltd., Pune 3130000113  dated 13.03.2001 Do Ayurvedic Capsules I.E. Artex Deferred  to obtain  comments  of Deptt.  of    AYUSH Reminder  may be sent to Deptt. of Ayush. 21. (10­ L) Dyna  – Automotive Stampings  Pvt Ltd, Pune. 3130000491  dated 11.09.2003 Do Heat Shield (Pressed/Stamped parts) Deferred  to obtain  report from DHI A  set  of  papers may  be  sent  to DHI. 22. (10­ M) Videocon Appliances Ltd, Mumbai. 0330000155  dated 24.02.2000 Do

2003 Do Heat Shield (Pressed/Stamped parts) Deferred  to obtain  report from DHI A  set  of  papers may  be  sent  to DHI. 22. (10­ M) Videocon Appliances Ltd, Mumbai. 0330000155  dated 24.02.2000 Do Washing Machines, Refrigerators and Air Conditioners. Deferred  to obtain  report from DIPP A  set  of  papers may  be  sent  to DIPP.   The Meeting ended with  thanks to the Chair.