Revalidation of Duty Credit Scrips in Re-credit of 4% Cases

[DGFT Public Notice No. 38 dated 3rd February 2010]

Subject: Amendment of paragraph 2.13.1, 3.11.7 and 4.50 of HBP Vol. 1 for revalidation of freely transferable Authorization/ Duty credit scrips and re-credit of 4% SAD thereof.

In exercise of powers conferred under Para 2.4 of the Foreign Trade Policy, 2009-14, the Director General of Foreign Trade hereby makes the following amendments in the Handbook of Procedures (Vol.1), 2009-14:-

1. Paragraphs 2.13.1 of HBP Vol. 1 shall be substituted by the following:

2.13.1 However, revalidation of freely transferable Authorisation / Duty credit scrips and stock and sale Authorisation shall not be permitted unless validity has expired while in custody of Customs authority / RA.

2. A new Paragraph 2.13.2A stands added in the HBP Vol. 1 as under:

2.13.2A For the purpose of re-credit of 4% Special Additional Duty (SAD) of customs in the freely transferable Duty credit scrips (including DEPB), revalidation for a maximum period of 6 months from the date of endorsement, shall be allowed in case the balance period of validity is less than 6 months on the date of re-credit.

3. Paragraph 3.11.7 related to validity period of duty credit scrips issued under chapter 3 shall be replaced by the following:

3.11.7 Duty Credit Scrip shall be valid for a period of 24 months & Revalidation of Duty Credit Scrip shall not be permitted unless covered under paragraph 2.13.1 or paragraph 2.13.2 A of HBP v1.

4. Paragraph 4.50 related to revalidation of DEPB shall be replaced by the following:

No revalidation shall be granted beyond original period of validity of DEPB unless covered under paragraph 2.13.1 or paragraph 2.13.2 A of HBP v1.

This issues in public interest.