Peas Import Restrictions – DGFT Clarification on Advance Payment in Transitional Arrangement means Full Payment – Part Payment Cases of Advance is not Covered under Past Commitments

[Trade Notice No. 12/2018 dated 18 May 2018]

Subject: Implementation of Notification No.4 dated 25.4.2018

Reference is invited to Notification No. 4 dated 25.4.2018 amending the import policy of Peas under Exim Code 07131000,Chapter 7 of the ITC (HS) 2017 from 'Free' to 'Restricted'.

2. In the said Notification, inter alia, the following was provided for transitional arrangement.

"Already Imported" will include shipment already arrived from 01.04.2018 till 25.04.2018 and those shipments backed by Irrevocable Commercial Letter of Credit (ICLC) and Advance Payment made through Banking Channel before 25.04.2018. Both these categories will be required to be registered with Jurisdictional Regional Authority as per Para 1.05 of Foreign Trade Policy, 2015-20.

3. Clarifications were sought by some RAs whether 'advance payment' in the above paragraph will include part advance or only full advance payment. It has been decided that apart from ICLC, only those shipments which are backed by 100% advance payments before 25 April, 2018, will qualify to be registered by the Regional Authorities of DGFT.

4. In cases where RAs have already registered contracts with part advance payments, such cases may be treated as recalled/cancelled henceforth. Accordingly, RAs/Customs Commissioners may take necessary action.