Date: 2023-08-31Category: Not ApplicableState: Union GovernmentCountry: India
Safeguard Quantitative Restrictions (QR) imposed on import of
Isopropyl Alcohol (IPA) – Clarification regarding applicability
of QR on imports by SEZ units wrt Notification No. 64/2015-20
dated 31.03.2023 - regarding.
**Policy Summary: Clarification on Quantitative Restrictions for Isopropyl Alcohol (IPA) Imports by SEZ Units**
This policy circular, numbered 04/2023-24 and dated August 31, 2023, clarifies the applicability of country-wise Quantitative Restrictions (QR) imposed on the import of Isopropyl Alcohol (IPA), HS code 29051220, by Special Economic Zone (SEZ) units. The clarification is issued in response to representations received from trade, industry, and Export Promotion Councils following the issuance of Notification No. 64/2015-20 dated March 31, 2023, by the Directorate General of Foreign Trade (DGFT), which established safeguard measures in the form of QRs for the fiscal year 2023-24.
Based on consultations with the Directorate General of Trade Remedies (DGTR), it has been determined that the DGTR's investigation into increased import volumes and consequent injury to the domestic industry primarily focused on imports into the Domestic Tariff Area (DTA).
Therefore, this circular clarifies that the import of Isopropyl Alcohol (HS code 29051220) by SEZ units is *not* subject to the country-wise QR outlined in Notification No. 64/2015-20 dated March 31, 2023, provided that no DTA sale of the imported Isopropyl Alcohol (HS code 29051220) is permitted by the SEZ units.
For further information, contact Sanjay Kumar Tiwari, Deputy Director General of Foreign Trade, at sanjay.kt@nic.in or by phone at 011-23038771. The circular was issued from F. No. 01/89/180/Misc/3/AM04/PC-2/AE-1877.
Key Entities Referenced
Isopropyl Alcohol: A chemical compound, also known as IPA, on which safeguard quantitative restrictions (QR) were imposed.
Quantitative Restrictions (QR): Safeguard measures imposed on the import of Isopropyl Alcohol (IPA) with HS code 29051220.
Notification No. 64/2015-20: A notification dated 31.03.2023 issued by the DGFT imposing safeguard measures in the form of Countrywise Quantitative Restrictions QR on import of Isopropyl alcohol.
DGFT: Directorate General of Foreign Trade, the issuing authority of Notification No. 64/2015-20.
SEZ units: Special Economic Zone units, whose imports of Isopropyl Alcohol are clarified to be outside the purview of Notification No. 64/2015-20 under specific conditions.
DGTR: Directorate General of Trade Remedies, the investigating authority that determined injury to the domestic industry based on import trends into the Domestic Tariff Area.
Domestic Tariff Area (DTA): The area within India that is not a Special Economic Zone; import trends into this area were the basis of the DGTR investigation.
Export Promotion Councils: Organizations that represent exporters and were among those seeking clarification on the applicability of the safeguard measures.
Policy Circular No. 04 /2023-24
Dated: 31.08.2023
To
1. All Customs Authorities
2. FIEO/AIl Export Promotion Councils
3. All Importers /Members of Trade and Industry
Subject: Safeguard Quantitative Restrictions (QR) imposed on import of Isopropyl
Alcohol (IPA) — Clarification regarding applicability of QR on imports by
SEZ units wrt Notification No. 64/2015-20 dated 31.03.2023 -regarding.
Pursuant to issuance of Notification No. 64/2015-20 dated 31.03.2023 by the
DGFT imposing safeguard measures in the form of Country-wise Quantitative
Restrictions (QR) on import of Isopropyl! alcohol (HS code 29051220) for the year 2023-
24, various representations have been received in the DGFT from trade & industry and
Export Promotion Councils seeking clarification on the applicability of the said measures
on imports by the SEZ units.
2. Accordingly, the matter has been examined in consultation with the DGTR and it
is noted that the investigation made by the DGTR regarding increase in volume of
Imports and consequent injury to the domestic industry was largely based on the trend
in imports into the Domestic Tariff Area (DTA).
3: Therefore, it is hereby clarified that import of Isopropyl alcohol (HS code
29051220) by SEZ units is out of purview of the said Notification No. 64/2015-20 dated
31.03.2023 and import of IPA in SEZ shall not be subjected to country-wise QR,
provided no DTA sale of Isopropyl Alcohol (HS code 29051220) is allowed by SEZ
units.
This issues with the approval of DGFT.
on ic!
ee ear
(Sanjay Kumar Tiwari)
Dy. Director General of Foreign Trade
E-mail: sanjay.kt@nic.in
Tele No. 011-23038771
(Issued from F. No. 01/89/180/Misc-3/AM-04/PC-2[A]/E-1877)