Executive Summary:
This notification amends the import policy regarding customized cars/motorcycles and their parts needed for race events. It adds Policy Condition No. 10 to Chapter 87 of ITC HS, 2012, Schedule 1, to ease the import process. The new policy waives certain standard requirements and imposes specific conditions on the use and re-export of these vehicles. This policy took effect on January 8, 2014.
Key Points / Main Content:
* **Policy Amendment:** A new Policy Condition No. 10 is added to Chapter 87 of ITC HS, 2012, Schedule 1, Import Policy.
* **Scope:** This policy applies to the import of customized cars/motorcycles and their parts specifically for race events.
* **Conditions for Import:**
* Conditions at Sl. Nos. 1 & 2 are not applicable on import of customized Cars/Motorcycles and parts thereof.
* Type Approval Certificate/COP from an international accredited agency of the country of origin is not required at customs clearance.
* A certificate from a Nodal Agency, nominated by the Government of India, indicating the vehicle details is required at customs clearance.
* Import is permitted only through designated Customs ports as per Policy Condition 1 II (d)(iv).
* **Restrictions on Use:**
* Vehicles can only be used for the purpose they were imported for (race events).
* Vehicles cannot be registered under CMV Act/Rules.
* Vehicles cannot be sold or transferred to any individual, organization, or institution in India.
* Vehicles cannot be driven on public roads and must be used within enclosed premises with safety precautions.
* Vehicles cannot be used for any commercial activities.
* **Re-export Requirement:**
* The importer must execute a bond with Customs, providing adequate security/surety, to re-export the vehicles within 30 days of the event's completion, or within an extended period approved by the appropriate officer with a reasonable cause.
Impact Analysis:
Stakeholder: Importers of Customized Cars/Motorcycles for Race Events
* Impact: Eased import process with reduced requirements and specific conditions for vehicle use and re-export.
* Action Required: Comply with the new Policy Condition No. 10, including obtaining a certificate from the Nodal Agency, restricting vehicle usage, and executing a bond for re-export.
Stakeholder: Customs Authorities
* Impact: Enforcement of the new Policy Condition No. 10, including verifying certificates from the Nodal Agency and ensuring compliance with restrictions on vehicle use.
* Action Required: Implement the revised import procedures, accept certificates from the Nodal Agency, monitor vehicle usage, and enforce the re-export bond.
Stakeholder: Government of India (Nodal Agency)
* Impact: Responsible for nominating a nodal agency for the certification of vehicles.
* Action Required: Nominate an appropriate Nodal Agency to provide vehicle details for customs clearance.
Key Entities Referenced
Foreign Trade Policy, 2009-2014: A trade policy document referenced in the notification.
Foreign Trade Development and Regulation Act, 1992: An act of the Indian Parliament that provides the legal framework for foreign trade.
ITC HS, 2012 Schedule 1 Import Policy: Indian Trade Classification based on Harmonized System of Coding. Schedule 1 outlines the import policy.
Chapter 87 of ITC HS: Chapter 87 of the Indian Trade Classification, likely related to vehicles or transportation equipment.
Customs: Refers to the Customs authority responsible for import and export regulations.
Central Government: The Union Government of India.
Director General of Foreign Trade: The head of the Directorate General of Foreign Trade, responsible for implementing foreign trade policy.
New Delhi: The location of issuance for the notification, New Delhi, Delhi