DGFT Minutes
In force — no superseding record on file.
MINUTES OF 8th MEETING OF EPCG COMMITTEE HELD UNDER THE CHAIRMANSHIP
OF SHRI SATYAN SHARDA, ADDITIONAL DIRECTOR GENERAL OF FOREIGN TRADE
AT 11.00 AM ON 13.09.2019 IN COMMITTEE ROOM NO.11, H WING, UDYOG BHAWAN,
NEW DELHI.
I. Following officers attended the meeting:
i.
Shri S.S. Ahuja, OSD, Department of Revenue
ii.
Shri Rajbir Sharma, Joint Director General of Foreign Trade, DGFT
iii.
Shri Randheep Thakur, Deputy Director General of Foreign Trade, DGFT
II. Minutes of the last Meeting held on 30.08.2019 were confirmed.
III. The Committee deliberated upon all the cases and following decisions were taken:
Sl.
No.
Firm’s Name
and Numbers
EPCG
Authorisatio
n No.
Subject
Decision of the EPCG Committee
1.
M/s. Lifelong
Meditech Pvt
Ltd., Gurgaon
01/36/218/55/
AM-20/EPCG
i.0530152611
dated
30.06.2010
ii.0530150211
dated
30.10.2009
iii.0530156254
dated
17.08.2011
iv.0530155074
dated
18.03.2011
v.0530155073
dated
18.03.2011
vi.0530157077
dated
30.11.2011
vii.0530154266
dated
16.12.2010
viii.053015324
9 dated
01.09.2010
Request for waiver of submission of installation certificate for issuance of EODC. The request of the party is for waiver of submission of installation certificate as their plant/branch Lifelong Meditech Limited Plot No. 23, Sec-5, IMT Manesar, Distt. Gurgaon (Haryana) was burnt down on 27.05.2012 due to massive fire.
submission of installation certificate as their plant/branch Lifelong Meditech Limited Plot No. 23, Sec-5, IMT Manesar, Distt. Gurgaon (Haryana) was burnt down on 27.05.2012 due to massive fire.
The Committee noted that earlier the party
had
requested
for
condonation
from
submission of installation certificate or
acceptance of audit certificate instead of
installation certificate in respect of EPCG
authorisation
No.0530137695
dated
24.12.2004,
No.0530138846
dated
13.06.2005,
No.0530140191
dated
04.01.2006
and
No.0530142185
dated
19.10.2006. The case was taken up in EPCG
Committee meeting held on 26.10.2016 on
the ground that their entire record along with
equipments/plants and soft copies of the
computerized record was completely burnt
down on 27.05.2012 due to massive fire at
Plot No.23, Sector–5, IMT Manesar, Distt.
Gurgaon. The Committee noted that the
party has fulfilled 100% EO in respect of 03
EPCG authorizations and 80.74% EO against EPCG authorization No.0530140191 dated 04.01.2006. The case was taken up in the EPCG Committee meeting held on 26.10.2016 and it was allowed to permit submission of audit certificate instead of installation certificate.
The Committee observed that the request was placed in its meeting held on 12.07.2019 and it was decided to defer it for examination on file as the party had not included these EPCG authorisation in their earlier request.
The Committee deliberated upon the case and decided to defer it for calling report from Jurisdictional Custom Authority. 2. M/s.
t included these EPCG authorisation in their earlier request.
The Committee deliberated upon the case
and decided to defer it for calling report
from Jurisdictional Custom Authority.
2.
M/s. Kanodia
Technoplast
Ltd., New
Delhi
01/36/218/56/
AM-
19/EPCG-I
0530149271
dated
30.06.2009
Regularizati
on
of
shifting
of
capital
goods
and
accepting
the
installation
certificate
issued
by
Chartered
Engineer in
place
of
Central
excise
authority
The Committee observed that the case was
deferred in EPCG Committee meeting held
on 29.08.2019 for RA‟s report which has
since been received vide their email dated
26.08.2019.
The Committee took into account submission of the party that the capital goods had been installed initially at their lease hold premises for which the authorization was applied for, i.e., B-72/3, Wazirpur Industrial Area, New Delhi- 110052. They had to shift the capital goods due to expiry of the lease to their own unit at Plot No. 113, Sector -56, Kundli Industrial Area, Sonepat, Haryana. The new address is mentioned in RCMC and IEC.
and decided to defer it with the direction to
obtain report from Jurisdictional Customs
Authority.
A
letter
will
go
to
the
Jurisdictional Customs Authority to provide
the same within one month from the date of
the
letter.
In
case
the
report
from
Jurisdictional Customs
Authority.
A
letter
will
go
to
the
Jurisdictional Customs Authority to provide
the same within one month from the date of
the
letter.
In
case
the
report
from
Jurisdictional Customs Authority is not received within one month‟s time, the case will again be placed in the Meeting for deciding it on the basis of available facts. 3. M/s. Pragati Transmission Pvt Ltd., Bangalore
01/37/218/242
/AM-
19/EPCG-II
0730004339
dated
11.07.2006
i. Request for
extension
in
EOP.
ii.
Regularization
of shifting of
capital goods
and;
iii. Acceptance
of installation
certificate
from
Chartered
engineer
instead
of
central excise.
The party has requested for (i) extension in
EOP (ii) Regularization of shifting of capital
goods and (iii) Acceptance of installation
certificate from Chartered engineer instead
of central excise authority.
The Committee observed that the case was deferred in EPCG Committee meeting held on 24.05.2019 it was decided to call RA‟s report.
The Committee took into account the submission of the party that due to legal issues, the owner of the rented premises forced them to vacate the premises at No. B- 55, III Stage, Peenya Industrial Estate, Bengaluru. They had to move the imported Capital Goods to their own unit at A-103- 104, 3rd Main. 2nd Stage, Peenya Industrial Area. Bengaluru-560 058. RA has informed them to approach EPCG committee for condonation of procedural lapse of not obtaining prior permission for shifting.
3rd Main. 2nd Stage, Peenya Industrial Area. Bengaluru-560 058. RA has informed them to approach EPCG committee for condonation of procedural lapse of not obtaining prior permission for shifting. The party has also submitted installation certificate issued by Chartered Engineer certifying the installation of capital goods at the new address.
The Committee decided to recommend to DG for relaxation under Para 2.58 of FTP 2015-20 to :
(a) allow acceptance of installation certificate from Chartered Engineer instead of Central Excise Authority, subject to verification by Jurisdictional GST authority and also subject to payment of Rs.5000/- against the Authorisation.
(b) grant ex-post facto approval regarding
shifting of capital goods from No. B-55, III
Stage, Peenya Industrial Estate, Bengaluru
to A-103-104, 3rd Main, 2nd Stage, Peenya
Industrial Area. Bengaluru -560 058, subject
to the condition that new address is
mentioned in the IEC and RCMC. The
decision is also subject to condition that
confirmation of installation of capital goods
is obtained by RA from Jurisdictional
Customs
Authority
and
payment
composition fee of Rs.5000/- to RA. Further,
RA to verify that no ECA/DRI/ Customs
action has been initiated against the party.
The Committee also decided that the request for extension in EOP may be considered by RA in terms of provisions of Public Notice No. 35 and 36/2015-20 dated 25.10.2017 ready with the provisions of Public Notice no.78/2015-20 dated 11.03.2019. This has the approval of DG. 4. M/s.
RA in terms of provisions of Public Notice No. 35 and 36/2015-20 dated 25.10.2017 ready with the provisions of Public Notice no.78/2015-20 dated 11.03.2019. This has the approval of DG. 4. M/s. AB Mauri India Pvt Ltd., Bangalore
01/60/162/261
/AM20/PRC
0330004466
dated
08.10.2003
Request
for
condonation
of delay in
installation
of
capital
goods
beyond
18
months
in
respect
of
EPCG
authorization
no.
0330004466
dated
08.10.2003.
and decided to defer it with the direction to
call reports from RA as well as from
Jurisdictional Customs Authority.
5.
M/s. Lubi
Industries
LLP.,
Ahmedabad
01/60/162/359
i. 0830003049
dated
04.08.2009
ii.0830003086
dated
21.08.2009
iii.0830003244
Request
for
counting
of
excess
exports
of
EPCG
authorization
.
and decided to defer it for further
examination.
/AM-20/PRC
dated
08.12.2009
6.
M/s. In
Trading Pvt
Ltd., New
Delhi
01/60/162/303(B )/AM20/PRC
0530145954
dated
10.04.2008
Acceptance
of
installation
certificate
issued by
Chartered
Engineer
instead of
Central
Excise
against
EPCG
license no.
0530145954
dated
10.04.2008.
The Committee took into account submission of the party that they have completed EO and submitted redemption application to CLA, Delhi. They have received deficiency letter dated 03.01.2019 from CLA, Delhi for furnishing installation certificate issued by Central Excise Authority.
mitted redemption application to CLA, Delhi. They have received deficiency letter dated 03.01.2019 from CLA, Delhi for furnishing installation certificate issued by Central Excise Authority. The party has submitted that they were unaware of getting installation certificate issued from Central Excise and they had obtained the same from Chartered Engineers but now since the excise department is closed they request for allowing to redeem their EPCG authorisation with installation certificate issued by Chartered Engineer instead of central excise.
and noted that the current FTP allows that the Authorization holder can produce the installation certificate from the jurisdictional Customs authority or an independent Chartered Engineer, at the option of the authorisation holder and further that where the authorisation holder opts for independent Chartered Engineer‟s certificate, he shall send a copy of the certificate to the jurisdictional Customs Authority for intimation/ record.
The Committee decided to recommend to DG for relaxation under Para 2.58 of FTP 2015-20 to allow acceptance of installation certificate from Chartered Engineer instead of Central Excise, subject to confirmation of installation from Jurisdictional Customs authority, and also subject to payment of Rs.5000/-against the Authorisation. RA to verify that no ECA/DRI/Customs action against the party is pending.
installation from Jurisdictional Customs authority, and also subject to payment of Rs.5000/-against the Authorisation. RA to verify that no ECA/DRI/Customs action against the party is pending.
M/s. In Trading Pvt Ltd., New Delhi
01/60/162/303
(A)/AM20/PR
C
0530139599
dated
26.09.2005
Acceptance
of
installation
certificate
issued by
Chartered
Engineer
instead of
Central
Excise
against
EPCG
license no.
0530139599
dated
26.09.2005.
The
Committee
took
into
account
submission of the party that they have
completed EO and submitted redemption
application to CLA, Delhi. They have
received deficiency letter dated 03.01.2019
from CLA, Delhi for furnishing installation
certificate
issued
by
Central
Excise
Authority. The party has submitted that they
were
unaware
of
getting
installation
certificate issued from Central Excise and
they had obtained the same from Chartered
Engineers
but
now
since
the
excise
department is closed they request for
allowing to redeem their EPCG authorisation
with
installation
certificate
issued
by
Chartered Engineer instead of central excise.
now since the excise department is closed they request for allowing to redeem their EPCG authorisation with installation certificate issued by Chartered Engineer instead of central excise.
and noted that the current FTP allows that the Authorization holder can produce the installation certificate from the jurisdictional Customs authority or an independent Chartered Engineer, at the option of the authorisation holder and further that where the authorisation holder opts for independent Chartered Engineer‟s certificate, he shall send a copy of the certificate to the jurisdictional Customs Authority for intimation/ record.
The Committee decided to recommend to
DG for relaxation under Para 2.58 of FTP
2015-20 to allow acceptance of installation
certificate from Chartered Engineer instead
of Central Excise, subject to confirmation of
installation from Jurisdictional Customs
authority, and also subject to payment of
Rs.5000/-against the Authorisation. RA to
verify that no ECA/DRI/ Customs action
against the party is pending.
8.
M/s. In
Trading Pvt
i.0530146178
dated
Acceptance
of
The
Committee
took
into
account
submission of the party that they have
no ECA/DRI/ Customs action
against the party is pending.
8.
M/s. In
Trading Pvt
i.0530146178
dated
Acceptance
of
The
Committee
took
into
account
submission of the party that they have
Ltd., New Delhi
01/60/162/303
(C)/AM20/PR
C
22.05.2008
ii.0530136802
dated
16.08.2004
installation certificate issued by Chartered Engineer instead of Central Excise against EPCG license nos. 0530146178 dated 22.05.2008 and 0530136802 dated 16.08.2004.
completed EO and submitted redemption application to CLA, Delhi. They have received deficiency letter dated 03.01.2019 from CLA, Delhi for furnishing installation certificate issued by Central Excise Authority. The party has submitted that they were unaware of getting installation certificate issued from Central Excise and they had obtained the same from Chartered Engineers but now since the excise department is closed they request for allowing to redeem their EPCG authorisation with installation certificate issued by Chartered Engineer instead of central excise.
and noted that the current FTP allows that the Authorization holder can produce the installation certificate from the jurisdictional Customs authority or an independent Chartered Engineer, at the option of the authorisation holder and further that where the authorisation holder opts for independent Chartered Engineer‟s certificate, he shall send a copy of the certificate to the jurisdictional Customs Authority for intimation/ record.
that where the authorisation holder opts for independent Chartered Engineer‟s certificate, he shall send a copy of the certificate to the jurisdictional Customs Authority for intimation/ record.
The Committee decided to recommend to DG for relaxation under Para 2.58 of FTP 2015-20 to allow acceptance of installation certificate from Chartered Engineer instead of Central Excise, subject to confirmation of installation from Jurisdictional Customs authority, and also subject to payment of Rs.5000/-against each Authorisation. RA to verify that no ECA/DRI/Customs action against the party is pending. 9. M/s. In Trading Pvt Ltd., New Delhi
0530141665
dated
03.08.2006
Acceptance
of
installation
certificate
issued by
The
Committee
took
into
account
submission of the party that they have
completed EO and submitted redemption
application to CLA, Delhi. They have
received deficiency letter dated 03.01.2019
01/60/162/303 /AM20/PRC Chartered Engineer instead of Central Excise against EPCG license no. 0530141665 dated 03.08.2006. from CLA, Delhi for furnishing installation certificate issued by Central Excise Authority. The party has submitted that they were unaware of getting installation certificate issued from Central Excise and they had obtained the same from Chartered Engineers but now since the excise department is closed they request for allowing to redeem their EPCG authorisation with installation certificate issued by Chartered Engineer instead of central excise.
now since the excise department is closed they request for allowing to redeem their EPCG authorisation with installation certificate issued by Chartered Engineer instead of central excise.
and noted that the current FTP allows that the Authorization holder can produce the installation certificate from the jurisdictional Customs authority or an independent Chartered Engineer, at the option of the authorisation holder and further that where the authorisation holder opts for independent Chartered Engineer‟s certificate, he shall send a copy of the certificate to the jurisdictional Customs Authority for intimation/ record.
The Committee decided to recommend to DG for relaxation under Para 2.58 of FTP 2015-20 to allow acceptance of installation certificate from Chartered Engineer instead of Central Excise, subject to confirmation of installation from Jurisdictional Customs authority, and also subject to payment of Rs.5000/-against the Authorisation. RA to verify that no ECA/DRI/ Customs action against the party is pending. 10. M/s. Shahi Exports Pvt Ltd., New Delhi
01/60/162/401
/AM20/PRC
0530155841
dated
24.06.2011
Request
for
acceptance
of
„Glass
Wool‟‟
as
capital goods
under EPCG
authorization
The Committee noted that the firm has
obtained EPCG authorization on 21.06.2011
for import of Glass Wool required for
Humidification Plant at their unit and applied
for redemption to CLA New Delhi on
30.10.2012 which has been rejected by CLA,
Delhi. CLA, Delhi has rejected their
mport of Glass Wool required for Humidification Plant at their unit and applied for redemption to CLA New Delhi on 30.10.2012 which has been rejected by CLA, Delhi. CLA, Delhi has rejected their
no. 0530155841 dated 24.06.2011. application for redemption on the grounds that the nature of goods was not capital nature and asked them to pay full custom duty along with the interest. The party has submitted reasons of pendency for the said authorization that it is a matter of interpretation whether to treat Glass Wool as capital goods for their industry or not.
and decided to reject it on the ground that the import item “Glass Wool” cannot be considered as capital goods under EPCG Scheme. 11. M/s. Arjuna Solvent Extraction Pvt Ltd., Mumbai
01/36/218/139
/AM-
20/EPCG
0330020767
dated
24.07.2008
Condonation
of
procedural
lapse
of
delay
in
payment of
excess
utilisation
fee.
The Committee noted that in the case
of the party, the authorisation was utilised
for import of goods in excess of duty
saved amount by more than 10% by
customs authority as per para 5.16 of HBP
of FTP 2015-20. They have fulfilled the
export
obligation
and
submitted
the
documents for redemption to the RA but
could not pay fee for excess utilization
within one month‟s time and requested to
allow regularization of late payment of
additional fee to cover excess imports.
or redemption to the RA but could not pay fee for excess utilization within one month‟s time and requested to allow regularization of late payment of additional fee to cover excess imports.
and decided to recommend to DG for relaxation under Para 2.58 of FTP 2015- 20 for condonation of procedural lapse of delay in payment of fee for excess duty saved amount as envisaged in Para 5.16(a) of HBP 2015-20. 12. M/s. Kisan Udyog ., Mumbai
01/36/218/138
/AM-
20/EPCG
0330008253
dated
24.03.2005
Condonation
of
Procedural
lapse
of
delay
in
payment of
excess
utilisation
The Committee noted that in the case
of the party, the authorisation was utilised
for import of goods in excess of duty
saved amount by more than 10% by
customs authority as per para 5.16 of HBP
of FTP 2015-20. They have fulfilled the
export
obligation
and
submitted
the
documents for redemption to the RA but
fee.
could could not pay fee for excess
utilization within one month‟s time and
requested to allow regularization of late
payment of additional fee to cover excess
imports.
and decided to recommend to DG for relaxation under Para 2.58 of FTP 2015- 20 for condonation of procedural lapse of delay in payment of fee for excess duty saved amount as envisaged in Para 5.16(a) of HBP 2015-20. 13. M/s. Anchor Health & Beauty Care Pvt Ltd., Mumbai
01/60/162/332
/AM20/PRC
i.0330025156
dated
09.02.2010
ii.0330025187
dated
11.02.2010
Extension in
EOP.
(a) of HBP 2015-20. 13. M/s. Anchor Health & Beauty Care Pvt Ltd., Mumbai
01/60/162/332
/AM20/PRC
i.0330025156
dated
09.02.2010
ii.0330025187
dated
11.02.2010
Extension in
EOP.
The party has sought second extension in
the EO period for 2 years against zero duty
EPCG authorization. The Committee noted
that even after more than nine years of
obtaining subject two EPCG authorisations,
the party has not made any exports at all in
one authorization and in the other has made
only up to 31% exports.
and decided that since the export performance of the party is poor, there is no merit in the request and thus rejected it. 14. M/s. Indorama Industries Limited., Chandigarh
01/36/218/311
/AM-
18/EPCG-I
i.2230001705
dated
05.05.2011
ii.2230001715
dated
12.05.2011
iii.223000182
9
dated
25.08.2011
iv.223000183
3 dated
30.08.2011
v.2230001832
dated
30.08.2011
Request for
block
wise
extension in
EOP
and
second
extension in
EOP.
The party has requested for second extension
of EOP in respect of their zero duty EPCG
authorizations to fulfil the remaining export
obligation. The applicable FTP allows only
one extension of two years beyond the
original EO period. The request was taken up
in the EPCG Committee meeting held on
13.02.2019. The representatives of the party
had appeared for the personal hearing.
sion of two years beyond the original EO period. The request was taken up in the EPCG Committee meeting held on 13.02.2019. The representatives of the party had appeared for the personal hearing. The party has stated, inter-alia, that they are the sole manufacturer of Spandex/ Elastomeric Yarn in India and that they failed to complete the EO in six years for the following reasons:
i)The EPCG licenses in the year 2011 were
vi.223000183
6 dated
30.08.2011
issued at 45.19 INR and today it is about 70
INR per 1 USD. Also, the raw material
involved in the product are not available in
India. Thus, this has contributed towards the
rise in the cost of production for the party;
ii)The party also obtained orders from Pakistan/Iran/Turkey for their products. However, because of the political reasons and fluctuations in the foreign exchange market, i.e., devaluation of the currency, they could not send exports to the respective nations;
iii)Further, in the year 2010, the rate of Spandex (exported good) in the international market fell from USD 9 per Kg to USD 4-4.5 per kg. Eventually they had to nearly sell double the quantity to meet their export obligation;
iv) Moreover, the present demand for the Spandex in India is 25,000 MT, however, they are producing 8600 MT, which means India is still the net importer of the product. Also, the importers in India are importing the product from the ASEAN countries @ USD 5.5 per kg under ASEAN FTA Agreement.
ng 8600 MT, which means India is still the net importer of the product. Also, the importers in India are importing the product from the ASEAN countries @ USD 5.5 per kg under ASEAN FTA Agreement.
The Committee after deliberations had decided to defer the matter for further examination on file. Thereafter, the matter was examined on file. The party had submitted a representation dated 31.05.2019 and further stated, inter-alia, that they have already completed 84% of the export obligation in INR. The matter was again discussed in the meeting dated 28.06.2019. The representatives of the party appeared for personal hearing and submitted that quantity wise they have already fulfilled the EO in upto 84% in rupee terms and upto 55% in dollar terms. They also stated that in addition
to the facts and reasons already narrated above, another factor that has also started hampering their exports is imposition of additional import duty on their export product in Turkey and thus they need more time to export. The Committee asked them to submit these grounds in writing so that these submissions could also be in placed in the agenda for the next meeting to decide the matter and thus deferred the case for the next meeting. The party vide their mail dated 06.08.2019 forwarded copy of their letter dated 28th May 2019, in which they had mentioned that Turkish Govt. had issued a Notification imposing additional import duty of 5% on import of spandex yarn, and in this regard, also forwarded copy of the said Notification.
they had mentioned that Turkish Govt. had issued a Notification imposing additional import duty of 5% on import of spandex yarn, and in this regard, also forwarded copy of the said Notification. The request was taken up in the Meeting held on 30.08.2019 but got deferred to next meeting.
Thereafter, in the present meeting the matter was discussed again. The representative of the Department of Revenue present in the meeting opined that in the present case the party could not fulfil the EO within the allotted EOP due to circumstances and ups and downs in the business that a business enterprise may generally face while running the business and not due to circumstances which were beyond their control and, therefore, recommended rejection of their request being devoid of genuine hardship. The Committee took into consideration various averments made by the party for allowing them two years extension as also the averments made by the representative of the Department of Revenue and noted that in the present case the party has already fulfilled the EO upto 84% in rupee terms and upto 55% in dollar terms. The Committee noted that the party has stated that it faced genuine hardship in their business in
ase the party has already fulfilled the EO upto 84% in rupee terms and upto 55% in dollar terms. The Committee noted that the party has stated that it faced genuine hardship in their business in
completing the EO in time as the party‟s major export destinations were Pakistan, Iran and Turkey but the party could not maintain its export performance to Pakistan and Iran due to political reasons and in respect of Turkey, their customers were reluctant to buy due to sharp devaluation of their currency and imposition of additional import duty @5% on import of spandex. In the wake of these facts and circumstances, the Committee did not accept the averments of the representative of the Department of Revenue and was of the view that these were the extraordinary circumstances beyond party‟s control and, therefore, the party, in spite of its intent to complete the exports, has faced genuine hardship in completing the exports in allotted EOP.
The Committee, therefore, decided to recommend to DG for relaxation under
Para 2.58 of FTP 2015-20 to allow further
two years extension in the EOP on payment
of composition fees equal to 2% of the
proportionate duty saved amount on the
unfulfilled export obligation.
15.
M/s. Jaksons
Engineer Ltd.,
Delhi
01/36/218/301
/AM-
18/EPCG-I
i.0530150994
dated
09.10.2010
ii.0530146558
dated
04.07.2008
iii.053014655
9
dated
01.07.2008
iv.053014301
4 dated
05.02.2007
Request
for
condonation
of procedural
lapse of not
mentioning
of
EPCG
authorization
no. and date
on
ARE-3
and
condonation
of procedural
lapse of not
attesting
of
the
each
ARE-1
and
and decided to defer it for further
examination.
ARE-3 individually by Central Excise Authority.
M/s. Ratna Offsets Ltd., Ahmedabad
01/37/218/225
/AM-
18/EPCG-II
i.1530000702
dated
29.06.2011
ii.1530000703
dated
29.06.2011
Request for
review
of
decision for
extension in
export
obligation
period
for
further two
years.
The Committee noted that the party has
requested for second extension of EOP in
respect of their EPCG authorizations issued
under Zero Duty EPCG Scheme which
allows only one extension in the EOP
beyond six years of original EO period.
The Committee took into account submission of the party that they are one of the oldest printing units of India established in the year 1894 by Dr Annie Besant, Bharat Ratna Pt Madan Mohan Malviyaji and their great grandfather for printing of Sanskrit, English and Hindi books for Banaras Hindu University and the Theosophical Society of India.
ie Besant, Bharat Ratna Pt Madan Mohan Malviyaji and their great grandfather for printing of Sanskrit, English and Hindi books for Banaras Hindu University and the Theosophical Society of India.
The Committee noted that the party has stated that in respect of subject EPCG authorisations it has completed 67% EO within the original and extended EOP but due to the explosive growth of e-Books, the domestic and the international market for printing industry has been drastically hit; further, because of tremendous slowdown in the printing trade worldwide they were not able to meet the remaining obligation even in extended period of two years; that the prominent reason for decline in the demand of printed material in the International market is "Digitalization" which has almost terminated the demand of printed paper for personal, business or Government Sector. The party has also stated that another reason for decline in the production of paper is shortage of raw material, i.e., "paper pulp" due to restriction on cutting of trees due to
ernment Sector. The party has also stated that another reason for decline in the production of paper is shortage of raw material, i.e., "paper pulp" due to restriction on cutting of trees due to
global environment saving goals.
The matter was discussed by the Committee. The representative of the Department of Revenue present in the meeting opined that in the present case the party could not fulfil the EO within the allotted EOP due to circumstances and ups and downs in the business that a business enterprise may generally face while running the business and not due to circumstances which were beyond their control and, therefore, recommended rejection of their request being devoid of genuine hardship. The Committee took into consideration various averments made by the party for allowing them two years extension as also the averments made by the representative of the Department of Revenue.
The Committee after considering that in the present case the party has faced genuine problems and hardship in their printing business in the wake of the technological changes and digitalization that have taken place all over the world with introduction of e-books resulting in decline in the demand of printed material in the International market did not accept the averments of the representative of the Department of Revenue and decided to recommend to DG for relaxation under Para 2.58 of FTP 2015- 20 to allow further two years extension in the EOP on payment of composition fees equal to 2% of the proportionate duty saved
ecided to recommend to DG for
relaxation under Para 2.58 of FTP 2015-
20 to allow further two years extension in the
EOP on payment of composition fees equal
to 2% of the proportionate duty saved
amount on unfulfilled EO.
17.
M/s. CM
Smith and
Sons Limited,
Nadiad
Gujarat
0830003151
dated
30.09.2009
Request for
adjustment
up to 50% of
the
export
obligation
with
the
The Committee noted that the case is being
placed second time before the EPCG
Committee. The case was deferred in EPCG
Committee meeting held on 26.07.2019 and
30.08.2019 for calling the party for PH.
01/36/218/25/ AM-20/EPCG export made by the Group company M/s. Nitrex Chemicals. The representative of the party did not turn up for PH.
and decided to defer it and give the party
one last chance to appear in the next
meeting.
18.
M/s. More
Retails Ltd.,
Mumbai
01/36/218/66/
AM-20/EPCG
i.0330017124
dated
14.08.2007
ii.0330017977
dated
01.11.2007
Request for
consideratio
n
of
EO
fulfilment
by
100%
subsidiary
company
M/s
Trinethra
Super Retail
private
Limited
The Committee noted that the case is being
placed second time before the EPCG
Committee. The case was deferred in EPCG
Committee meeting held on 30.08.2019 for
calling the party for PH.
The representative of the party did not turn up for PH.
and decided to defer it and give the party one last chance to appear in the next meeting.
DGFT = Directorate General of Foreign Trade, DG = Director General, FTP = Foreign Trade Policy, HBP v1 = Handbook of Procedure Vol.
the party one last chance to appear in the next meeting.
DGFT = Directorate General of Foreign Trade, DG = Director General, FTP = Foreign Trade Policy, HBP v1 = Handbook of Procedure Vol. I, EO = Export Obligation, EODC = Export Obligation Discharge Certificate, EOP = Export Obligation Period, B.O.E.=Bill of Entry, EPCG = Export Promotion Capital Goods, RA = Regional Authority, BG = Bank Guarantee, FFE = Free Foreign Exchange, IEC = Importer-Exporter Code, DoR = Department of Revenue, IEM = Industrial Entrepreneurs Memorandum, RCMC = Registration-cum-Membership-Certificate.
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