Duty free export of samples as personal baggage of the exporter - CBEC Clarification
BOARD has received references that export of samples in the passenger baggage are not being allowed while provisions of Foreign Trade Policy allow for the same. It was therefore represented that necessary clarification be issued.
Board clarifies that, Para 2.31 of the Foreign Trade Policy which relates to export of passenger baggage does not specifically provide that samples could be part of the bona fide personal baggage. Whereas Para 2.20 provides that " “ Bona fide household goods and personal effects may be imported as part of passenger baggage as per limits, terms and conditions thereof in Baggage Rules. Samples of such items that are otherwise freely importable under FTP may also be imported as part of passenger baggage without an Authorization. Thus Para 2.31 of FTP relating to export of baggage does not provide for any expansion to include samples as bona fide baggage unlike FTP provisions in case of import of baggage. However the provisions contained in para 2.27 of Handbook of Procedure, Foreign Trade Policy makes it explicit that export of samples are allowed freely.
Accordingly, in order to ameliorate the problem faced by the passengers, CBEC clarifies that bona fide trade samples should be part of export baggage in terms of para 2.31 of the Policy read with para 2.20 of the Policy and 2.27 of Handbook of procedures. While the matter of suitable amendment in para 2.31 of FTP has been taken up with DGFT, in the interim, Board wants that liberal view based upon status of exporter, nature and quantity of sample and certification if any from Export Promotion Council may be taken in the matter.
CBEC F No. 495/2/2011-Cus. VI , Dated: 5 th April, 2011