‘Nil' BG to all Status Holders
BOARD has received representations to clarify whether the status holders other than ‘Star Export House' are entitled for ‘nil' BG in terms of sl.No.(c) of the Table appended to para 2.1 of Circular No. dated 25.05.2009.
Board explains,
The circular no 17/09-Cus. had amended circular No.58/2004-Cus which was issued in the light of the provisions of the 2004-05 edition of the Foreign Trade Policy (FTP).The FTP-2004 recognized five categories of Status Holders viz. One star /two star / three star /four star and five star Export Houses. The circular No. 58/2004-Cus extended the benefit of ‘nil' BG to all the five categories through a common phrase ‘Star Export House' under sl.No. (c) of the Table. The intention of the circular no 58/2004-Cus was therefore to extend the benefit of ‘nil' BGto all the status holders.The sl no. (c) of the table remained unchanged in circular No. 17/09-Cus.
And clarifies
As the above categories are now known as Export House, Star Export House, Trading House, Star Trading House and Premier Trading House respectively in terms of para 3.10.2 of the current FTP, the benefit of ‘nil' BG should also be extended to all categories of status holders.The words ‘Star Export House' appearing under sl. No. (c) of the Table may therefore be read to mean ‘Status Holders recognized under the provisions of the Foreign Trade Policy'
CBEC Circular No. 32/2009 - Cus Dated: November 25, 2009