10 Lakh MT of Non Basmati Rice Exports with $400 MEP Permitted on Private Account Subject to Registration of Contracts with DGFT

[DGFT Notification No. 60 dated 19^th July 2011]

Subject: Exemption for export of 10 lakh MT non basmati rice on private A/C.

In exercise of the powers conferred by Section 5 of Foreign Trade (Development & Regulation) Act, 1992 (No.22 of 1992) read with Para 2.1 of the Foreign Trade Policy, 2009-2014, the Central Government hereby makes, with immediate effect, the following amendment to Notification No. 38 (RE-2007)/2004-2009, dated 15.10.2007 read with Notification No. 93 (RE-2007)/2004-2009 dated 1.4.2008, as amended from time to time.

2. Through Notification No. 21 (RE-2010)/2004-2009 dated 10.2.2011 sub para 2.1.14 was added in Notification No. 93 (RE-2007)/2004-2009 dated 1.4.2008. Now another sub-para 2.1.15 is added as under:

“2.1.15 Ten lakh MT of non-Basmati rice is allowed for export subject to the following conditions;

i) Prior Registration of contracts with DGFT on a first-come-first-served basis subject to:

(a) Export shall be made from privately held stocks.

(b) Applications for allotment must be accompanied with irrevocable and confirmed letter of credit,

(c) An applicant must submit a performance bank guarantee, along with the application for a value equivalent to a value of 10% of applied quantity. In case of non-completion of exports, within the stipulated time frame, this bank guarantee is liable to be confiscated. A flexibility of + or – 5% in performance is allowed.

(d) An application can be for a maximum of 12,500 MT.

(e) This export will be subject to an MEP of US$400 per MT.

ii) Applications for intent to export will be sent to riceexport-dgft@nic.in . The modalities for allocation and the format in which e mails are to be sent is attached as Annexure I and Annexure II respectively, to this Notification.

3. All other provisions of the Notification No.93 (RE-2007)/2004-09 dated 1^st April, 2008, as amended from time to time, shall remain unchanged.

4. Effect of this notification:

Export of 10 lakh MT of Non Basmati rice has been permitted on private account subject to conditions under para 2.1.15 and modalities for registration of contracts as per Annexure 1 to this notification .

Annexure-I to Notification No: 60(RE-2010)/2009-14 Dated 19^th July, 2011

Modalities for Registration of Contracts

1. Applications for intent to export will be sent to riceexport-dgft@nic.in

2. List of successful allottees will be declared on 27^th July 2011, by applying cut wherever the quantity of 10 lakh MT is exhausted on a first –come- first – served basis. List of remaining applicants will be maintained in case any of the successful allottees is unable to produce complete documents and hence unable to obtain Registration Certificate. Any leftover quantity in this situation will be allocated to the next applicant(s) in chronological order from the list. Such list will be displayed on the DGFT website.

3. A time of 3 weeks will be given to the successful applicants for submitting required documents as per para 2(i) of Notification no:60, to the concerned jurisdictional RA of DGFT or to DGFT (Hqrs) office for obtaining Registration Certificates. A calendar of events specifying the starting and closing dates and time for receipt of applications etc is attached as Annexure III to this Notification.

4. The applicant must not be in the DEL (Denied Entities List) of DGFT at the time of making application for grant of Registration Certificate. Such applicants will not be issued Registration Certificate.

5. Only one RC will be issued against one IEC.

6. After allocation of quantities by DGFT (HQRS), RC will be issued from concerned jurisdictional RA of DGFT/ DGFT HQRS (as per choice of applicant).

Annexure II to Notification No: 60 (RE-2010)/2009-2014 dated 19^th July, 2011

Sample Format for Sending Application by E-mail to (riceexport-dgft@nic.in)

Subject header of E-mail: IE Code- Name of the Firm/Applicant-Quantity applied for

(Example: 0500030001-ABC Exports-10,000 MT)

(Fill this in the “Subject” field)

Message Body (Content of E-mail)

Line 1: IE Code (Example: 0500030001)

Line 2: Name (Example: ABC Exports)

Line 3: Quantity applied for (In MT, both in figure and words).(Example 10,000 MT, Ten Thousand Metric tonnes)

Line 4: Blank

Line 5: Blank

Lines 6-13: Any information that the applicant wishes to submit.

Lines 14-24: Details of Applicant

Line 14: Name of the Applicant (in whose name IEC has been issued)

(Example: ABC Exports)

Line 15: l Exact Postal Address

Line 16: l (Example: D-402, 1^st Floor, Karim Nagar, New Delhi- 110010)

Line 17: l

Line 18: Phone Number(s) with STD Code (Example: 011-23456789)

Line 19: Fax Number (Example: 011-23456793)

Line 20: E-mail (Example: abcexports@yahoo.com)

Line 21: Alternative E-mail (Example: ashokbhalla@gmail.com)

(Application must be from one of these two E-mails)

Line 22: Name of the authorised person sending the application

(Example: Ashok Bhalla)

Line 23: E-mail of the authorised person (Example: ashokbhalla@gmail.com)

Line 24: Phone No of the authorized person (Landline & Cell phone)

End of E-mail

Note 1: After allocation, eligible applicant shall submit hard copies of above application, duly signed by authorised person alongwith following declaration on the official letter head of applicant firm.

Declaration/Undertaking

1. I / We hereby declare that the particulars and the statements made in this application are true and correct to the best of my / our knowledge and belief and nothing has been concealed or held there from.

2. I / We fully understand that any information/document furnished with the application if found incorrect or false will render me / us liable for any penal action or other consequences as may be prescribed in law or otherwise warranted.

3. I / We undertake to abide by the provisions of the FT (D & R) Act, 1992, as amended, the Rules and Orders framed there under, FTP, HBP v 1 and HBP v2 and ITC (HS). I also undertake that in the event of non-performance after grant of Registration Certificate for export of rice by the Directorate General of Foreign Trade, I shall be liable to Penal Action under Section 11(2) of Foreign Trade(Development & Regulation) Act, 1992, (as amended), including forfeiture of performance Bank Guarantee submitted to DGFT.

4. I hereby certify that I am authorised to verify and sign this declaration.

Signature of the Applicant: Place:

Name: Date:

Designation:

Official Address:

Telephone No.:

Cell Phone No.:

Fax No.:

Email:

Residential Address

Note 2: Required documents for submission by eligible applicants for obtaining RC (In addition to documents prescribed in Note 1 above)

(a) Export Contract alongwith a copy of confirmed and irrevocable Letter of Credit(LC),

(b) Copy of IEC

Annexure-III to Notification No: 60 (RE-2010)/2009-14 Dated 19^th July, 2011

Calendar of Events

1.	Date of Notification	19^th July 2011
2	Receipt of Application Start Date: Close Date:	1000 hours, 21^st July 2011 1700 hours, 22^nd July 2011
3	Processing of Applications	25^th -26^th July 2011
4	Declaration of Allocation	Wednesday 27^th July 2011
5	Document submission, Scrutiny & Issue of RC Start Date: Close Date:	1000 hours, Thursday 28.7. 2011 1700 hours, Thursday18.8.2011
6	Last Date to Export	Friday, 18^th November, 2011

Note 1: E-mails received by DGFT HQrs. before 1000 hrs on 21.07.2011 and after 1700 hrs. on 22.07.2011 will not be taken into account.

Note 2: In case more than one application (e-mail) is received from same IEC number or same applicant, only first e-mail will be taken into account. Subsequent e-mails will be ignored.