Procedure for Third Party Exports under EDI System for Currency Conversion Introduced

[DGFT Public Notice No. 46 dated 8^th January 2014]

Subject: EDI Procedure for claiming benefits in respect of Third Party exports

In exercise of the powers conferred under Paragraph 2.4 of the Foreign Trade Policy, 2009-14, the Director General of Foreign Trade hereby introduces two new Paragraphs 9.14 & 9.15 in the Handbook of Procedures (Vol. I) 2009-14 for claiming benefit of Third Party exports under EDI system and for conversion of currencies into US$ with immediate effect as under:

2. These two new Paras 9.14 & 9.15 would read as under:

“9.14 For claiming benefits under EDI system in respect of Third Party exports the process will be initiated by the First party who will link shipping bills and BRCs to repository. If the First Party chooses not to claim benefit for a particular shipping bill item/s, it may authorize Third Party to claim benefit for such shipping bill item/s. After such authorization by First party, Third Party will be able to utilize the shipping bill item/s in its application”.

“9.15 (a) Currencies, where Exchange rates are notified by CBEC

The foreign exchange realized (as mentioned by bank in the eBRC) is converted to Indian Rupee (INR) using the monthly exchange rates published by CBEC.

(b) Currencies, where Exchange rates are not notified by CBEC

In such cases, total realized value in INR (as mentioned by bank in the eBRC), will be converted into US$ by using the US$ /INR exchange rate prevailing on the date of realization as published by CBEC.”

Effect of the Public Notice

A procedure for claiming of benefits in respect of Third Party exports under EDI system and a guideline for conversion of currencies are being published.