Cotton
Export Policy Liberalised – No Bank Guarantee Required
[DGFT Notification No. 74 dated 12th September
2011]
Subject:
Policy for export of cotton with effect from 1st October, 2011.
In exercise of the powers
conferred by Section 5 of the Foreign Trade (Development & Regulation) Act,
1992 (No.22 of 1992) read with Para 2.1 of the Foreign Trade Policy, 2009-14,
the Central Government hereby makes the following amendments in respect of Sl.
No. 161 A { ITC(HS) Classification} in the Notification No. 12(RE-2010)/2009-14 dated 16.12.2010 read
with Notification No. 62(RE-2010)/2009-14 dated 02.08.2011 :-
2. The entries against Sl. No. 161 A in Chapter 52 of ITC(HS) Classification} are substituted as follows:-
|
Chapter 52 |
|||||
|
S. No. |
Item
Tariff Code |
Unit |
Item Description |
Export
Policy |
Nature
of Restriction |
|
161 A |
5201 |
Cotton, not carded or combed |
Free |
Prior
registration of contracts with DGFT. Other conditions as at Para 3 below. |
|
|
5203 |
Cotton, carded or combed |
Free |
Prior registration
of contracts with DGFT. Other conditions as at Para 3 below. |
||
3. The procedure stipulated in Notification No.
63(RE-2010)/2009-14 dated 04.08.2011 for (i)
Obtaining Registration Certificate (RC) for Export of Cotton [ITC (HS) Code
5201 & 5203] (ii) Time to
Export (Validity of RC) and (iii) Procedure for reporting, shall continue to
apply. Only condition regarding performance
Bank Guarantee, wherever it appears, in Notification No.
63(RE-2010)/2009-14 dated 04.08.2011 will not apply now.
4. This will come into effect from 01.10.2011.
5. Effect of this notification:
Export of cotton [ITC(HS) Codes 5201 & 5203] will continue to be free
subject to registration of contracts with DGFT. Performance guarantee (as was
given in Notification No. 63 of 04.08.2011) will no longer be required.