Page 269 - DMGT546_INTERNATIONAL_TRADE_PROCEDURE_AND_DOCUMENTATION

International Trade Procedures and Documentation

Notes 2. Supply of goods to Export Oriented Units (EOUs) or Software Technology Parks (STPs) or
Electronic Hardware Technology Parks (EHTPs) or Biotechnology Parks (BTPs)
3. Supply of capital goods to holders of licences under the Export Promotion Capital Goods
(EPCG) scheme
4. Supply of goods to projects financed by multilateral or bilateral agencies/funds as notified
by the Department of Economic Affairs, Ministry of Finance under International
Competitive Bidding in accordance with the procedures of those agencies/funds, where
the legal agreements provide for tender evaluation without including the customs duty
5. Supply of capital goods, including in unassembled/disassembled condition as well as
plants, machinery, accessories, tools, dyes and such goods which are used for installation
purposes till the stage of commercial production and spares to the extent of 10% of the
FOR value to fertilizer plants
6. Supply of goods to any project or purpose in respect of which the Ministry of Finance, by
a notification, permits the import of such goods at zero customs duty

7. Supply of goods to the power projects and refineries not covered in (6) above
8. Supply of marine freight containers by 100% EOU (domestic freight containers-
manufacturers) provided the said containers are exported out of India within 6 months or
such further period as permitted by the Customs
9. Supply to projects funded by UN agencies
10. Supply of goods to nuclear power projects through competitive bidding as opposed to
International Competitive Bidding.

Notes The benefits of deemed exports shall be available under (4), (5), (6) and (7) only if the
supply is made under the procedure of International Competitive Bidding (ICB).
Deemed exports are allowed the following privileges:

Advance Licence for intermediate supply/deemed export/DFRC/DFRC for
intermediate supplies

Deemed Export Drawback
Exemption from terminal excise duty where supplies are made against International
Competitive Bidding. In other cases, refund of terminal excise duty will be given.

Task 1. Visit the Seepz website and make a detailed report on the facilities available to
units there.

2. Visit a local exporter and find out the various incentive schemes that he is
using. If you feel that he can use.

Self Assessment

Fill in the blanks:

11. The .................................... focuses on less costly imports of capital goods for the exporters
to increase their cost and manufacturing competitiveness in the international markets.

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