New Delhi, Feb. 22 The Finance Ministry has operationalised the high-tech product export promotion scheme.
This move comes nearly two years after the scheme was announced in April 2007 in the annual supplement to the foreign trade policy.
The scheme provides for duty credit of 10 per cent on incremental export growth for exports of high-tech items.
The duty credit can be utilised to import goods duty free (exemption from both basic customs duty and countervailing duty) through the specified ports of the country.
The Finance Ministry has now said that this benefit would be available for duty credit scrips issued against exports of 12 specified high-tech items, official sources said.
These items are public call office using wireless (GSM/satellite) technology; point of sale terminals/transaction terminals (epos) using GSM/CDMA/Ethernet/WiFi/serial/PSTN technology; SIM cards; Memory cards; cellular phones (3G Standard, wireless internet and GPS); automatic bank note dispensers; ultrasonic scanning apparatus; magnetic resonance imaging apparatus; still image video cameras; videophones; hybrid integrated circuits and solar cells/photovoltaic cells.
The Finance Ministry has also stipulated that the duty credit cannot be utilised for imports of peas, garlic and all other vegetables with a import duty of more than 30 per cent, coconut, arecanut, oranges, lemon, fresh grapes, apple, pear and all fruits with a duty of more than 30 per cent.
Similarly, the scrip cannot be utilised for import of spices with a duty of more than 30 per cent, oil seeds, natural rubber, tea, coffee and pepper besides certain capital goods like agricultural tractors above 25 HP and up to 75 HP.
Source : Business Line