Executive Summary:
This public notice, dated November 13, 2017, amends the Foreign Trade Policy (FTP) 2015-20. It modifies sub-paragraph 5.03a of the Handbook of Procedure (HBP) and adds a new paragraph C to Appendix 5A of the Aayat Niryat Forms. These changes relate to the Export Promotion Capital Goods (EPCG) scheme and the role of Chartered Engineers.
Key Points / Main Content:
* **Amendment to Handbook of Procedure (HBP):**
* Sub-paragraph 5.03a of the HBP of Foreign Trade Policy 2015-20 is amended.
* RA (concerned authority) will issue EPCG authorization based on the nexus certificate from an Independent Chartered Engineer (CEC) submitted by the applicant in Appendix 5A.
* Reasonable wastage anticipated during the installation of capital goods will be certified by the Chartered Engineer in the nexus certificate and mentioned in the condition sheet of the EPCG authorization at the time of issuance.
* **Addition to Appendix 5A:**
* A new paragraph C is added after paragraph B of Appendix 5A of the Aayat Niryat Forms of FTP 2015-20.
* Paragraph C states: "I have necessary competence in the relevant domain/field to issue this certificate."
* **Chartered Engineer Competence:**
* A Chartered Engineer shall act only within their domain of competence for issuance of nexus certification under the EPCG Scheme.
Impact Analysis:
* **Regional Authority (RA):**
* Impact: The RA must now issue EPCG authorizations based on the nexus certificate from a Chartered Engineer and include details of certified wastage in the authorization.
* Action Required: Implement the amended procedure for issuing EPCG authorizations, ensuring compliance with the new requirements regarding nexus certificates and wastage certification.
* **Applicants for EPCG Authorizations:**
* Impact: Applicants must submit a nexus certificate from an Independent Chartered Engineer (CEC) in Appendix 5A.
* Action Required: Obtain a nexus certificate from a qualified Chartered Engineer, ensuring it includes details of reasonable wastage anticipated during the installation of capital goods.
* **Chartered Engineers:**
* Impact: Chartered Engineers are responsible for providing nexus certificates, including certification of reasonable wastage, within their area of competence.
* Action Required: Ensure they only issue nexus certificates within their domain of competence and accurately certify reasonable wastage anticipated during the installation of capital goods. They must also state their competence to issue the certificate.
Key Entities Referenced
Foreign Trade Policy 2015-2020: A trade policy implemented by the Directorate General of Foreign Trade (DGFT) and referenced throughout the document.
Directorate General of Foreign Trade: The issuing authority for the public notice and the body responsible for amending the Foreign Trade Policy.
New Delhi: The location from which the public notice was issued; also the location of the Government of India Press.
Handbook of Procedure: A document related to the Foreign Trade Policy 2015-20 that is being amended by this notice.
Appendix 5A: An appendix to the Aayat Niryat Forms of FTP 2015-20, which is being modified by the addition of a new paragraph.
Aayat Niryat Forms: Import-export forms related to the Foreign Trade Policy 2015-20.
EPCG Scheme: Export Promotion Capital Goods Scheme, mentioned in the context of nexus certification by Chartered Engineers.
Alok Vardhan Chaturvedi: The Director General of Foreign Trade who signed the public notice.
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6674 GI/2017 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART I—SEC. 1]
MINISTRY OF COMMERCE AND INDUSTRY
(Department of Commerce)
(DIRECTORATE GENERAL OF FOREIGN TRADE)
PUBLIC NOTICE
New Delhi, the 13th November, 2017
No. 40 /2015-2020
Subject: Amendment in Para 5.03(a) of the Handbook of Procedure (HBP) of Foreign Trade Policy
2015-20 and addition of new Para C in Appendix 5A of Appendices and Aayat Niryat
Forms of FTP 2015-20.
F. No. 18/03/AM-18/P-5.—In exercise of powers conferred under Paragraph 1.03 of the
Foreign Trade Policy 2015-20, the Director General of Foreign Trade amends sub-para 5.03(a) of the
Handbook of Procedure of Foreign Trade Policy 2015-20 and adds Para C to Appendix 5A of the
Aayat Niryat Forms of FTP 2015-20 with immediate effect. (Changes made are in bold letters)
2. The amended sub-para 5.03(a) of Handbook of Procedure of Foreign Trade Policy 2015-20 shall
read as under:
Para 5.03 (a) RA concerned shall, on the basis of nexus certificate from an Independent Chartered
Engineer (CEC) submitted by the applicant in Appendix 5A, issue EPCG authorisation. Reasonable
wastage, if any, anticipated at the time of installation of capital goods will also be certified by the
Chartered Engineer in the nexus certificate and the same would be mentioned in the condition sheet
of the EPCG authorisation at the time of issue. For issuance of such certificate, the Chartered
Engineer shall act only in the domain of his/her competence.
3. A new Para C is added after Para B of Appendix 5A of the Aayat Niryat Forms of FTP 2015-20
as under:
C. I have necessary competence in the relevant domain/field to issue this certificate.
4. Effect of this Public Notice: A Chartered Engineer shall act only in the domain of his/her
competence for issuance of nexus certification under EPCG Scheme.
ALOK VARDHAN CHATURVEDI, Director General of Foreign Trade
Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064
and Published by the Controller of Publications, Delhi-110054.