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Grape exporters entitled for VKGUY benefits on free-on-board value.

Date: 06-08-2016
Subject: Grape exporters entitled for VKGUY benefits on free-on-board value
New Delhi, Aug 5 (KNN) The grapes packed in imported packing material do not fall under ineligible category under a norm of the foreign trade policy, the Directorate General for Foreign Trade (DGFT) said.

"...therefore exporter is entitled to Vishesh Krishi and Gram Udyog Yojana (VKGUY) benefit on free-on-board (FOB) value i.e without deducting the cost of imported packing material,” DGFT added in its notification.

It said, DGFT has received representations from Grape Exporters Association of India that the grape exporters are importing durable containers under the re-export notification. The re-export of such containers happen as it is used as packing materials for export of grapes. The value of these re-exported containers gets included in the FOB value of grapes and is taken into account for VKGUY benefits.

Earlier, it said, a view was taken that the value of packing material should be deducted from FOB value of grapes for the purpose of granting VKGUY benefits under FTP 2009-2014 and the grape exporters should pay back a part of the export benefits availed by them under Duty Drawback and VKGUY schemes as imported material used for packing grapes and shown as re-exported is not eligible for the incentives.

In a separate notification, the DGFT said, “Import and export of human biological samples by domestic diagnostic labs or clinical research centres should be permitted by customs authorities without prior approvals, subject to certain conditions, the Directorate General of Foreign Trade said.

Laying down the policy condition for import/export of human biological samples for commercial purposes, the DGFT said that "the central government hereby inserts import policy...and export policy for human biological samples for commercial purposes".

It said the export and import should be permitted by "customs authorities at the port of entry/exit without prior approvals (import licence/export permit) from any other government agency, provided the concerned Indian company/ agency submits an undertaking that they are following and will follow all the applicable rules, regulations and procedures for safe transfer and disposal of the samples".

Source : knnindia.co.in

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