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Date: 15-07-2010
Notification No: DGFT Policy Circular No 39/2009-2014
Issuing Authority: DGFT  
Type: Circular
File No: F.No.01/53/8/484/AM010/N-23/Import Cell
Subject: Executiion of LUT/BG against Import Authorisation issued by import of Restricted Items on Re-export basis.

Government of India
Ministry of Commerce & Industry
Directorate General of Foreign Trade
Udyog Bhavan, New Delhi.

Policy Circular No. 39/2009-2014

Dated 15th July 2010

To,

All Regional Authorities;

Trade & Industry

Subject: Executiion of LUT/BG against Import Authorisation issued by import of Restricted Items on Re-export basis.

This refers to the Import Authorisation which are approved for import of restricted items on re-export basis by the EFC. To ensure that goods are re-exported by the importers as declared by them at the time of application for Import Authorisations, it has been decided that Regional Authority (RA) concerned will take LUT/BG from the importers at the time of issuance of such authorization as per the following details:-

  1. The status holders and manufacturers with a turnover of 5 Cr and above, shall execute only a LUT for the full import value.

  2. Other importers, not covered by Sl.No. 1 above, shall excute LUT for the full import value along with a bank guarantee (BG) for a value of Rs. 1 lakh (one lakh Rupees).

  3. LUT / BG should have a minimum validity for a time period covering the re-export time plus six months.

  4. LUT/BG should be redeemded by RA as soon as the documentary evidence for re-export of goods is furnished by the importer.

  5. This issues with the approval of Competent Authority.

(SHUBHRA)
Joint Director General of Foreign Trade
Tel. 011-23063249
(Issued from F.No.01/53/8/484/AM010/N-23/Import Cell)

       

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