Extension of validity of Status Certificates issued in FY 2015 16 and 2016 17 under current FTP

## Report on Amendment to Foreign Trade Policy 2015-2020 **1. Executive Summary:** This report analyzes a public notice issued by the Directorate General of Foreign Trade (DGFT) on August 5, 2022, which amends the Handbook of Procedures (HBP) 2015-20 related to the Foreign Trade Policy (FTP) 2015-2020. The amendment specifically addresses the validity of Status Certificates. The core purpose of the amendment is to extend the validity of Status Holder Certificates issued in the Financial Years (FY) 2015-16 and 2016-17. The key finding is that the amendment provides a further extension to these certificates until September 30, 2022. **2. Introduction:** This report aims to provide information and analysis regarding a recent amendment to the Foreign Trade Policy (FTP) 2015-2020, as outlined in the provided public notice issued by the Directorate General of Foreign Trade (DGFT). The analysis focuses solely on the content of the provided text. **3. Policy Overview:** * **Original Policy:** Foreign Trade Policy 2015-2020. * **Core Objective(s):** As inferred from the text, the FTP 2015-2020 aims to promote and regulate foreign trade. The public notice suggests a specific objective related to the recognition and certification of exporters or traders based on their status. The core objective of the amendment is to extend the validity of status certificates issued under this FTP. **4. Background and Rationale:** The amendment likely stems from a need to provide continued benefits and recognition to Status Holders given potential disruptions or delays impacting their export performance. The extension of the validity of Status Holder Certificates suggests that the DGFT recognized the need to accommodate unforeseen circumstances that may have affected the ability of businesses to maintain their status. The extension until September 30, 2022, provides a limited timeframe for Status Holders to either regain compliance or adjust their strategies accordingly. **5. Key Provisions / Changes:** * **Specific Part of Original Policy Changed:** Para 3.20 a of the Handbook of Procedures, 2015-20. * **New Rule/Provision:** The amended para 3.20 a states that Status Certificates issued under the FTP shall be valid for five years from the date on which the application for recognition was filed or 30.09.2022, whichever is later. It specifically states that the validity of Status Holder Certificates issued in the FY 2015-16 and 2016-17 under the provisions of FTP 2015-20 has been extended upto 30.09.2022. * **Difference/Effect of Change:** The original para 3.20 a stated that Status Certificates issued under this FTP shall be valid for a period of 5 years from the date on which application for recognition was filed or 30.06.2022 only whichever is later. The extension to September 30, 2022, effectively grants an additional three months of validity to certificates issued in FY 2015-16 and 2016-17. This allows businesses holding these certificates to continue availing the benefits and privileges associated with their status for a slightly longer period. **6. Target Audience and Stakeholders:** The primary target audience for this amendment is businesses holding Status Holder Certificates issued in the Financial Years 2015-16 and 2016-17 under the Foreign Trade Policy 2015-2020. Other stakeholders include: * The Directorate General of Foreign Trade (DGFT). * The Ministry of Commerce and Industry. * Customs authorities. * Other government agencies involved in export promotion. * Export Promotion Councils **7. Implementation Aspects (Inferred):** * **Responsible Agency/Bodies:** Directorate General of Foreign Trade (DGFT) is responsible for implementing the amendment. * **Timelines/Procedures:** The amendment is effective immediately (as stated in the notice). The extended validity is until September 30, 2022. No specific procedures are outlined in the text, but it can be assumed that customs and other relevant authorities will need to update their systems to reflect the extended validity of the Status Holder Certificates. * **Implementation Aspects Related to the Change:** The DGFT likely needs to communicate this change to relevant customs authorities and other agencies to ensure they recognize the extended validity period. Certificate holders may also need to be informed to avoid any confusion regarding the validity of their certificates. **8. Expected Outcomes / Impact of Changes:** The intended outcome of this amendment is to provide temporary relief and continued benefits to Status Holders whose certificates were issued in FY 2015-16 and 2016-17. The extension allows them to continue operating under their established status for an additional period. The change potentially avoids disruption to their export activities and prevents them from having to immediately reapply for certification, therefore reducing administrative burden. **9. Conclusion:** The public notice issued by the DGFT constitutes an amendment to the Foreign Trade Policy 2015-2020, specifically extending the validity of Status Holder Certificates issued in FY 2015-16 and 2016-17 until September 30, 2022. This amendment offers a short-term extension that allows affected businesses to continue leveraging their status benefits while adjusting to the evolving trade landscape. This change is important for businesses that rely on these status certificates to avail benefits and maintain their competitive edge in the export market.

Key Entities Referenced