Changes in the Foreign Trade Policy (2009-14) have been made vide notification no.01/2014-Customs dated 17.01.2014  permitting the export of items which are otherwise prohibited for export, under the Advance Authorization Scheme with specific conditions:

(a) export is subject to pre-import condition and the resultant product exported has to be manufactured out of the raw material already imported under the scheme

(b) there has to be notified SION/prior fixation of norms by Norms Committee in terms of Para 4.4.2 of HBP

(c) the Import/Export is permitted only through specific  EDI enabled ports

(d) EO period is 90 days from the date of clearance on import with no extensions (e) facility of regularisation of bonafide defaults under para 4.28 of HBP vol.1 is not available

(f) imported material is subject to actual user condition and no transfer for any purpose, including job work, is permitted

(g) imported material found defective or unfit for use has to be re-exported within thirty days, extendable by another thirty days.

Further, at the time of export an undertaking from the authorization holder has been prescribed to the effect that the resultant products, being exported against the authorization, which is otherwise prohibited for export, has been manufactured from the material already imported under the authorization. This undertaking is to also contain details of imports and exports made under the authorization. This condition has been prescribed to enable the customs officer to form a reasonable satisfaction that the goods under export are not the prohibited goods. The officer is to record suitable comments in this regard in the EDI field for departmental comments.

For original Circular, please click here