II. Changes in the existing Export Promotion schemes
(1) Duty Free Credit Entitlement (DFCE) scheme and Target Plus Scheme (TPS) : The exporters of the marine sector have been allowed to import 36 additional items, specified in list 50 of notification No. 21/2002- Cus against the scrips issued to them under TPS and DFCE schemes vide DGFT Policy circular No. 03/2009-14 dt 27.8.09. The notification Nos. 53/2003- Cus dated 1.4.2003, 32/2005- Cus dated 8.4.2005 and 73/2006- Cus dated 10.7.2006 issued under DFCE scheme and TPS have been amended vide notification No. 105/2009- Cus dated 14.9.2009 in this regard. There are no other changes in the schemes.
(2) Served From India Scheme (SFIS): There is no change in the scheme. Notification No. 91/2009- Cus dated 11.9.2009 has been issued to operationalize the scheme under the new Policy.
(3) Vishesh Krishi and Gram Udyog Yojana (VKGUY): There is no change in the scheme Notification No.95 /2009- Cus dated 11.9.2009 has been issued to operationalize the scheme under the new Policy.
(4) Focus Market Scheme (FMS): There is no change in the scheme. Notification No. 93/2009- Cus dated 11.9.2009 has been issued to operationalize the scheme under the new Policy.
(5) Focus Product Scheme (FPS): There is no change in the scheme. Notification No. 92/2009- Cus dated 11.9.2009 has been issued to operationalize the scheme under the Policy
(6) Advance Authorization Scheme: Notification Nos. 96/2009- Cus and 99/2009- Cus both dated 11.9.2009 and 112/09- Cus dated 29.9.09 have been issued to operationalize the Advance Authorization, Advance Authorization for Annual requirement and Advance Authorisation for deemed export schemes respectively under the new Policy. There are several major changes. The new customs notifications have been aligned with the provisions of the Policy and the Handbook.
Para 4.5 of the Handbook provides that the duty free material imported or procured against an authorisation can be taken to the project site as per the provisions of the ANF-4A and the DOR guidelines in this regard. This provision has been implemented vide condition (xi) of the notification No 112/09- Cus dated 29.9.09.
Under para 8.3(c) of the Policy, it has been provided that, exemption from payment of Terminal Excise duty (TED) shall also be available for supplies made by an Advance authorization holder to a manufacturer holding another Advance authorization if such manufacturer, in turn, supplies the resultant product(s) to an ultimate exporter in terms of para 8.3(c) of the FTP. Notification No. 44/01-CE has been amended vide 23/09-CE(NT) dated 25.9.09 to incorporate the above change.
(7) Duty Free Import Authorization ( DFIA ) Scheme: The scheme has been operationalized in the new Policy vide notification No. 98 /2009- Cus dated. 11.9.2009. The following changes have been made in this scheme in the new Policy / customs notification:-
(i) The duty free replenishments imported under the scheme cannot be transferred to the units located in areas, which are availing the area specific exemptions of Central Excise Duty. ( para 4.34 of Handbook refers).
(ii) The period to re-export the defective and unfit for use materials imported under the advance authorization scheme has been lowered from the existing period of three years to six months.
The period for evidence of discharge of export obligation has been extended to 60 days.
(8) Export Promotion Capital Goods ( EPCG ) Scheme : The scheme has been operationalized in the new Policy vide notification Nos. 100/2009- Cus , 101/2009- Cus ., 102/2009- Cus and 103/2009- Cus . all dated 11.9.2009, with certain changes.
(9) DEPB Scheme: There is no change in the scheme except that the notification mentions the date upto which it will be valid viz. 31.12.10 . Notification No. 97/2009- Cus dated 11.9.2009 has been issued to operationalize the scheme under the new Policy
III. Deleted Schemes
The Hi-Tech Products Export Promotion Scheme ( HTPEPS ) has been deleted in the new Policy. The products covered under the said scheme have been shifted to the Focus Product scheme (FPS).
CBEC Circular No. 26 /2009-Cus. Dated 30th September, 2009.