TIOL-DDT 1623 · Monday, 6 June 2011 · story 1 of 8

FTP - 'Declaration of Intent' on Free Shipping Bills

DGFT has clarified that “Declaration of Intent” needs to be mentioned mandatorily on the free shipping bills for claiming Chapter 3 benefits. This declaration can be made in the product description column in the free shipping bills where sufficient space is available for this purpose. Instances have also been reported where free shipping bills bear only the name of the Chapter 3 scheme like FPS,FMS etc or the intention to claim Chapter 3 benefit has been mentioned manually on the shipping bills duly attested by customs. In such cases RAs will accept these shipping bills for grant of Chapter 3 benefits.

The “Declaration of Intent” would not be required for shipments filed under chapter 4 (including drawback), chapter 5 or chapter 6 of FTP.

Chapter 3 = PROMOTIONAL MEASURE

Chapter 4 = DUTY EXEMPTION / REMISSION SCHEME

Chapter 5 = EXPORT PROMOTION CAPITAL GOODS SCHEME

Chapter 6 = EXPORT ORIENTED UNITS (EOUs), ELECTRONICS HARDWARE TECHNOLOGY PARKS (EHTPs), SOFTWARE TECHNOLOGY PARKS (STPs) AND BIOTECHNOLOGY PARKS (BTPs)

DGFT Policy Circular No. 32/(RE-2010)/2009-14, Dated: June 3, 2011 , and

DGFT Public Notice No. 53/(RE-2010)2009-2014, Dated: June 3, 2011