DGFT Relaxes Para 1.05 Policy to Allow Import of Toor in Advance Payment before 5 Aug Cases

· Procedure of Contract Registration with Regional DGFT Offices Notified

[Ref: Trade Notice No. 15/2015-2020 dated 31 August 2017]

Subject: Implementation of Notification No.19 dated 5.8.2017

Reference is invited to Notification No. 19 dated 5.8.2017 amending the import policy of Pigeon Peas (Cajanus Cajan)/Toor Dal under Chapter 7 of the ITC(HS) 2017 and Trade Notice No 13 dated 11.8.20 I 7 on the above subject.

2. Trade Notice No.13 dated 11.8.2017 has provided for import [as per para 2.17 and 9.11 of the Handbook of the Procedure (20 15-2020)] of Pigeon Peas/Toor Dal for which irrevocable Letters of Credit have been opened prior to 5^th August, 2017 and subsequently registered with the jurisdictional RAs, as per provisions of Para 1.05 of the Foreign Trade Policy (2015-20).

3. Subsequently representations have been received indicating that some firms have entered into contracts prior to 5^th August, 2017 for import of Pigeon Peas/Toor Dal with either (i) advance payment , or (ii) some advance payment and rest amount payable in Cash against Documents (CAD), or (iii) 100% CAD.

4. The matter has been considered and the Director General of Foreign Trade, in exercise of powers under Para 2.58 of the Foreign Trade Policy (2015-20), by relaxing the provisions of Para 1.05, hereby allows registration of such Contracts with the Regional authorities of DGFT for import of Pigeon Peas (Cajanus Cajan)/Toor Dal, wherein advance payment had been made (full or in part) prior to 5.8.2017 and for which a contract/purchase invoice and payment details certified by the bank are available.

5. Further, in relaxation of the provision of time limit for registration of contracts, as in Para 1.05 of FTP, such contracts must be registered with the Jurisdictional Regional Authorities headed only by the Additional DGFTs, latest by 7^th September, 2017 (5.00 p.m.). Applicants seeking relaxation in Para 1.05 of FTP (2015-20) may submit their application to the jurisdictional RAs headed by Addl. DGFT, for registration of their contracts wherein advance payment had been made prior to 5.8.2017, by making an online payment of Rs 2000/- as application fee for seeking relaxation in Policy/procedure as per Appendix 2K.

6. Accordingly, such contracts shall be registered by the Zonal RAs i.e Chennai, Delhi, Kolkata, Mumbai and RAs of Ahmedabad, Bangalore, Hyderabad and Ludhiana as per their jurisdiction, only after duly verifying that firms have entered into contracts prior to the date of issuance of the notification and where advance payments have been made against a contract/ purchase invoice and where the payment objective/intent is clearly mentioned in the payment transaction document by the bank concerned as import of Pigeon Peas/Toor Dal. The registration will be permitted only with the approval of the Head of Office.