Import of goods – Import/export registration:

Hereby, we are going to see what are the goods can be imported and the criteria for the transfer of imported goods:

Import of consumer or other goods as gifts:

An application for grant of Custom Clearance Permit (CCP) for import of gift items appearing as a restricted one for imports in Indian Trade Classification (Harmonized system) ITC (HS) shall be made to the DGFT as in ANF2M along with the documents which are prescribed therein.

If the recipients of the gifts are charitable, religious or any educational institution registered under any law in force and gift sought to be imported has been exempted from the payments of custom duty. This kind of imports shall be allowed by custom authorities without a custom clearance permit (CCP).

Import of second hand aircraft spares/reconditioned:

Authorization for second hand aircraft spares or the reconditioned one would not be needed on recommendation of Director General of Civil Aviation, Government of India (DGCA).

Import of ticket forms/cheque books etc.:

Indian branches of insurance companies, foreign banks and travel agencies may import bank draft forms, cheque books, travelers’ cheque forms without a custom clearance permit. Shipping companies which are operating in India includes the persons authorized by such airlines or airlines, shipping companies can import the passenger ticket forms without a CCP.

Import of replacement goods:

Goods or parts thereof on being imported and found defective or unfit for use or damaged after importing may be exported without an authorization and goods in replacement thereof can be supplied free of charge by foreign suppliers or imported against a marine insurance or marine-cum-erection insurance claim settled by an insurance company. Those kinds of goods can be allowed clearance by the custom authorities without any import authorization provided that:

Replacement goods can be shipped within 24 months from the date of clearance of previously imported goods through customs or within a guarantee period in case of machines or parts thereof where such period may be more than 24 months; and

• Remittance will not be allowed except for the payment of insurance and the freight charges where the replacement of goods by foreign suppliers is subject to the payment of insurance and or freight by the importer and documentary evidence has to be provided while making the remittance.

Other conditions for import of replacement goods:

In case of short-landing, short-shipment or loss in transit, import of replacement goods shall be permitted based on the certificate being issued by the custom authorities without an import authorization.

This procedure may be applicable in case of which short shipment of goods been certified by the foreign supplier who has agreed to replace free of cost.

Cases which are not covered by the above provisions will be considered on merits by DGFT for grant of authorization for the replacement of goods.

Import of overseas office equipment:

On winding up of overseas offices, set up with the approval of RBI, used office equipment and other items may be imported without authorization.

Import of ammunition by license or authorized arms dealers:

Following types of ammunition are allowed against an authorization by the licensed arms dealer subject to the condition may be specified:

Shotgun cartridges;

Pistol cartridges;

Revolver cartridges;

Rifle cartridges;

An import authorization can be issued at 5% of value of annual average sales turnover of ammunition whether imported or indigenous goods during the previous three licensing years.

An application to grant of an authorization of items which are listed above may be made to Regional Authority (RA) in ANF 2M along with the prescribed documents therein.

Duty free imports for specific sectors:

Research and Development equipment for pharmaceutical and the bio-technology sectors:

Duty free import of goods up to 25% of Free on Board (FOB) value of exports during the preceding licensing year shall be allowed.

The unit which is eligible have to furnish an application given in appendix 8A to Regional authority concerned duly countersigned by the chartered accountant.

• With respect of duty free import of R&D equipment, units not registered with jurisdictional customs authority may be allowed to give the installation certificate which is issued by an independent chartered engineer;

Agrochemical sector:

• Up to 1% of FOB value of exports made during the preceding financial year may be allowed to agro chemical sector unit having export turnover of Rs.20 crore or above during the preceding licensing year.
• The unit which is eligible has to apply in the form given in appendix-8B to the regional authority concerned duly countersigned by the chartered accountant.

Import under Government to Government agreements:

It may be allowed without any authorization or custom clearance permit on production of necessary evidence to satisfaction of custom authorities.

Transfer of imported goods:

Cases where prior permission is required:

Transfer of imported goods which are subject to actual user condition and have become surplus to needs of actual user can be made with the prior permission of regional authority concerned. For the grant of permission, supporting document need to be furnished along with the following information to the regional authority concerned:

Reason for the transfer of imported material;

1. Address, name, IEC number and the industrial authorization registration, if any, of transferee;
2. Import authorization copies and the bills of entry relating to the imports made;
3. Quantity, description and the value of goods imported and those sought to be transferred;
4. Terms and conditions which are agreed upon between the buyer and the seller;

Cases where prior permission is not required:

• In case of sale or otherwise by importer of freely importable goods;
• Goods which are imported with the actual user condition, provided that such goods are freely importable without the actual user condition on the date of transfer.
• For goods with AU condition after a period of two years from the date of import;
• Transferring of imported firearms:
  • After 10 years of import or
  • Attains an age of 60 years by such importer subject to the condition which transferee fulfills the conditions as in arms act and rules thereunder.
• Transfer of weapons which are imported by the renowned shooter for the purpose of pursuing shooting as a sport to any upcoming shooter as certified either by the National Rifle Association of India (NRAI) or the department of sports, ministry of youth affairs and sports after two years from the date of import. The transferee can subsequently resell or transfer to any buyer as certified by the NRAI or the department of sports for the sole purpose of pursuing shooting as a sport after one year from the date of its first sale.
• Such transfer or sale is subject to the provision of the arms act, and other rules or regulations by state/local police. NRAI, the department of sports will maintain the required records.

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