NFE – Exports prohibited/restricted – five year period to be extended
As per para 6.5 of the Foreign Trade Policy,
EOU / EHTP / BTP / STP unit shall be a positive net foreign exchange earner except for sector specific provision of Appendix 14-I-C of Handbook, where a higher value addition shall be required. NFE Earnings shall be calculated cumulatively in blocks of five years, starting from commencement of production.
Now it is stipulated that, “Whenever a unit is unable to export due to prohibition/restriction imposed on export of any product mentioned in LoP , the five year block period for calculation of NFE earnings may be suitably extended by BoA .”
DGFT Notification No 21 (RE-2008)/2004-2009, Dated: July 1, 2008