ADVANCE AUTHORISATION SCHEME
An Advance Authorisation is issued to allow duty free import
of inputs, which are physically incorporated in export
product (making normal allowance for wastage). In addition,
fuel, oil, energy, catalysts which are consumed / utilised
to obtain export product, may also be allowed. DGFT, by
means of Public Notice, may exclude any product(s) from
purview of Advance Authorisation.
DUTY ENTITLEMENT PASSBOOK (DEPB) SCHEME
Objective of DEPB is to neutralise incidence of customs duty
on import content of export product. Component of Special
Additional Duty and customs duty on fuel shall also be
allowed under DEPB (as a brand rate) in case of non-availment
of CENVAT credit. Neutralisation shall be provided by way
of grant of duty credit against export product.
An exporter may apply for credit, at specified percentage
of FOB value of exports, made in freely convertible currency
or payment made from foreign currency account of SEZ unit
/ SEZ Developer in case of supply by DTA.
Credit shall be available against such export products and
at such rates as may be specified by DGFT by way of public
notice. Credit may be utilized for payment of Customs Duty
on freely importable items
DUTY FREE IMPORT AUTHORISATION (DFIA)SCHEME
DFIA is issued to allow duty free import of inputs, fuel, oil, energy sources,
catalyst which are required for production of export product. DGFT, by means
of Public Notice, may exclude any product(s) from purview of DFIA. This scheme
is in force from 1st May, 2006.
EXPORT PROMOTION CAPITAL GOODS (EPCG) SCHEME
EPCG scheme allows import of capital goods for pre production,
production and post production (including CKD / SKD thereof
as well as computer software systems) at 5% Customs duty
subject to an export obligation equivalent to 8 times of
duty saved on capital goods imported under EPCG scheme
to be fulfilled in 8 years reckoned from Authorisation
issue-date.
OTHER PROMOTIONAL MEASURES
1. Market Access Initiative
MAI scheme, intended to provide financial assistance for
medium term export promotion efforts with sharp focus on
a country / product, and is administered by DoC.
Financial assistance is available for Export Promotion Councils
(EPCs), Industry and Trade Associations (ITAs), Agencies
of State Governments, Indian Commercial Missions (ICMs) abroad
and other eligible entities as may be notified.
2. Marketing Development Assistance
MDA)Scheme is intended to provide financial assistance for a range of export
promotion activities implemented by EPCs,ITAs on a regular basis every year.
The scheme is administered by DoC.
Assistance includes, amongst others, participation in
(i) Trade Fairs and Buyer Seller meets abroad or in
India, and
(ii) Export promotion seminars.
Financial assistance with travel grant is available to exporters traveling
to Latin America, Africa, CIS region, ASEAN countries, Australia and New Zealand.
In other areas, financial assistance without travel grant is available.
3. SERVED FROM INDIA SCHEME (SFIS)
Objective is to accelerate growth in export of services so as to create a powerful
and unique ‘Served From India’ brand, instantly recognized and
respected world over.
All Service Providers, of services listed in Appendix 10 of HBP v1, who have
a total free foreign exchange earning of at least Rs. 10 Lakhs in preceding
financial year shall qualify for Duty Credit scrip. For Individual Service
Providers, minimum would be Rs 5 Lakhs.
All Service Providers (except Hotels, Restaurants and other Service Providers
in Tourism Sector) shall be entitled to Duty Credit scrip equivalent to 10%
of free foreign exchange earned during preceding financial year.
4. VISHESH KRISHI AND GRAM UDYOG YOJANA (VKGUY)
Objective of VKGUY is to promote exports of
(i) Agricultural Produce and their value added products;
(ii) Minor Forest Produce and their value added variants;
for exports w.e.f 1.4.2004
(iii) Gram Udyog Products, for exports w.e.f 01.04.2006;
and
(iv) Forest Based Products, for exports w.e.f 01.04.2007.
Such products shall be listed in Appendix 37A of HBP v1.
5. FOCUS MARKET SCHEME (FMS)
Objective is to offset high freight cost and other externalities
to select international markets with a view to enhance
our export competitiveness in these countries.
Exporters of all products through EDI enabled ports to notified
countries (as in Appendix 37C of HBP v1) shall be entitled
for Duty Credit scrip equivalent to 2.5% of FOB value of
exports for each licensing year commencing from 1st April,
2006.
However additional Markets notified in Appendix 37C of HBP
v1 shall be entitled for Duty Credit scrip on exports w.e.f
1.4.2007.
6. FOCUS PRODUCT SCHEME (FPS)
Objective is to incentives export of such products, which
have high employment intensity in rural and semi urban
areas, so as to offset infrastructure inefficiencies and
other associated costs involved in marketing of these products.
Exports of notified products (as in Appendix 37D of HBP v1)
through EDI enabled ports to all countries shall be entitled
for Duty Credit scrip equivalent to 1.25% of FOB value of
exports for each licensing year commencing from 1st April,
2006.
However, additional products notified / clarified in Appendix
37D of HBP v1 shall be entitled for Duty Credit scrip on
exports w.e.f 1.4.2007.
7. High-Tech Products Export Promotion Scheme
Objective is to incentives export of High Technology products.
Exports of notified High Tech products (as notified in
Appendix 37E of HBP v1) through EDI enabled ports to all
countries, shall be entitled for Duty Credit scrip equivalent
to 10 % of incremental growth in exports of notified products
put together (realized in free foreign exchange) for current
year (i.e., 2007-08) over previous year (i.e., 2006-07)
for each licensing year commencing from 1st April, 2007.
|