In the world of export-import, each shipment counts. And you cannot afford to make any “uninformed investment”. So, if you have any doubt or a question, ask us. Our team of experts at The Dollar Business Intelligence Unit will be happy to answer your queries. Your question(s), if approved, will also be published on www.thedollarbusiness.com, and/or in forthcoming issue of The Dollar Business

Can we import gold jewellery from Indonesia? How much do we have to pay as import duty? (Rajesh Hingorani, Owner, S K Traders, Burhanpur, Madhya Pradesh, +9198260758xx, [email protected])

Dear Rajesh: Under the India-ASEAN free trade agreement, gold jewellery (under ITC HS Code: 711590) can be imported at a preferential rate of 0% from Indonesia. You can read CBEC Notification No 58/2015 (dated 30th December 2015) on https://in.thedollarbusiness.com/provide-deeper-tariff-concessions-in-respect-of-specified-goods-when-imported-from-asean-countries-under-the-india-asean-free/ for more details. In case you have further queries, The Dollar Business Intelligence Unit would like to hear from you. Your question means a lot to us.

Response by: Steven Philip Warner, President (VMPL) & Editor-in-Chief, The Dollar Business

Refer to Para 4.52 of HBoP – Consideration of cases against lost EP Copy of the Shipping Bills and/or Bank Realisation Certificate/e-BRC. I hope this para is not applicable to the shipments made through EDI Ports as the current FTP states that there is no need to submit any physical copies of Shipping Bills / e-BRC and is only applicable to the shipments made through Non-EDI Ports? (N. Paramasivan, Head – Import-Export Logistics, Thirumalai Chemicals, [email protected] )

Dear Paramasivan: Para 3.01 (c) of Handbook of Procedures (2015-2020) states that “if application is filed for exports made through EDI ports, then hard copy of the following documents need not be submitted to RA: hard copy of applications to DGFT, EDI shipping bills, electronic Bank Realisation Certificate (e-BRC) and RCMC. The applicant shall submit the proof of landing in the manner prescribed under paragraph 3.03 of HBP.” [For details refer to https://in.thedollarbusiness.com/handbook-of-procedures-2015-2020.] However, HBP also states that the documents which are not required to be submitted in original, shall be retained by the applicant for a period of 3 years from the date of issuance of scrip. Licensing Authority may call such documents in original at any time within 3 years. In case the applicant fails to submit the original documents on demand by Licensing Authority the applicant shall be liable to refund the rewards granted along with interest at the rate prescribed under Section 28 AA of Customs Act 1962, from the date of issuance of scrip. In case you have further queries, The Dollar Business Intelligence Unit would like to hear from you.

Response by: Manish K. Pandey, Editor, The Dollar Business

Is there any export incentive available under Merchandise Exports from India Scheme (MEIS) for Indian Kabuli Chickpeas (HS Code: 07132000) in FTP2015-2020? (Bharat Parekh, Director, Tricos Exports Pvt. Ltd., +9198200342xx, [email protected])

Dear Bharat: Indian Kabuli Chickpeas (HS Code: 07132000) does not qualify for MEIS benefit or any other such benefit under the new Foreign Trade Policy FY2015-2020.

Response by: Dr. A. K. Sengupta, Chief Consulting Editor, The Dollar Business

We want to import used jumbo bags and plastic granules. Are their imports allowed? If yes, what are the applicable import duties on the two products? (Jaiprakash, Import Manager, Hanuman Impex and Trading, +9199935000xx, [email protected])

Dear Jaiprakash: We assume you are interested in importing plastic granules falling under HS Code: 39019090. Plastic granules falling under the said HS code attract a total import duty of 26.43%. [In case our assumption about the intended import product and country isn’t exact, please write to us.] When it comes to “used” jumbo bags, imports of the said item is Restricted. Hence you would require permission of DGFT to import the said item.

Response by: Manish K. Pandey, Editor, The Dollar Business

We are traders of capital goods and suppliers of raw material in the domestic market. We have received an order from a SEZ in Chennai. We know that if we supply to a SEZ, the transaction is termed as deemed exports. My questions are: (1) How to avail the benefits? (2) Will the transactions be in foreign currency or local currency? (3) What are the procedure to supply the goods to SEZ? (Jai Kumar, +91-97899100xx, [email protected])

Dear Jai: All supplies to SEZs are not considered deemed exports but actual exports. Because supplies to all SEZs are treated as physical exports, they are eligible for incentives and remissions like Advance Authorisation, Duty Drawback [The shipments are however ineligible for Duty Credit Scrip entitlement under MEIS.] Such exports from a DTA are also considered for discharge of export obligation (EO) under EPCG. As far as transactions (receivables) are concerned, the inward remittance should occur in foreign currency in any bank account held by the DTA unit or in domestic currency provided the payment is realised from Foreign Currency Account of the SEZ unit. Also, since the exports to SEZ are considered real and outside the Customs territory of India, as per the SEZ Act, 2005, all sales made from a DTA unit to an SEZ will be eligible for Excise duty rebate and refund of accumulated Cenvat credit. The DTA supplier can therefore sell goods to SEZ unit either by paying the Central Excise Duty and thereafter claiming rebate on tax paid or without paying CENVAT and declaring accordingly. To supply goods to an SEZ, a DTA supplier must apply with Form A.R.E. 1 or A.R.E. 2, as the case may be. In case you have further queries, The Dollar Business Intelligence Unit would like to hear from you.

Response by: Steven Philip Warner, President (VMPL) & Editor-in-Chief, The Dollar Business