The Directorate General of Foreign Trade (DGFT) on January 18, 2023, issued a notification regarding amendments in Para 4.42 of the Handbook of Procedures 2015-2020.
The following has been amended-
(d) Extension in export obligation period for Authorisations issued under Appendix-4J shall be allowed for a period not more than half of the stipulated export obligation period. In such cases, the composition fee shall be levied in such a manner as prescribed hereunder:
•The CIF value of advance authorization for up to 2 Crores of the composition fee to be levied is 5,000.
•The CIF value of advance authorization for up to More than 2 Crores to 10 Crores the composition fee to be levied is 10,000.
•The CIF value of advance authorization for above 10 Crores composition fee to be levied is 15,000.
(e) Regional Authority may consider a request of the Advance Authorisation holder for one extension of the EO period upto six months from the date of expiry of the EO period subject to the payment of the composition fee as prescribed hereunder:
•The CIF value of advance authorization for up to 2 Crores of the composition fee to be levied is 5,000.
•The CIF value of advance authorization for up to More than 2 Crores to 10 Crores the composition fee to be levied is 10,000.
•The CIF value of advance authorization for above 10 Crores composition fee to be levied is 15,000.
The authorization holder will have to submit a self-declaration to RA stating that unutilized imported/domestically procured inputs are available with the applicant.
(f) Request for further extension of six months after the first extension as in (e) above. can be considered by the Regional Authority, subject to the payment of the composition fee as prescribed hereunder:
•The CIF value of advance authorization for up to 2 Crores of the composition fee to be levied is 10,000.
•The CIF value of advance authorization for up to More than 2 Crores to 10 Crores the composition fee to be levied is 20,000.
•The CIF value of advance authorization for above 10 Crores composition fee to be levied is 30,000.
No further extension shall be allowed by Regional Authority. However, only two extensions of six months each as mentioned above can be allowed subject to payment of the composition fee, and under no circumstance Regional Authority shall allow any extension beyond 12 months from the date of expiry of the EO period. At the time of filing the application for a second EO extension, the Authorisation holder will have to submit a self-declaration to RA stating that unutilized imported/domestically procured inputs are available with the applicant.
(g) Whenever a ban/restriction is imposed on the export of any product, the export obligation period in respect of Advance Authorisation already issued prior to the imposition of the ban, would stand automatically extended for a period equivalent to the duration of the ban, without any composition fee.
(h) The revised composition fee for EOP extension under para 4.42 of HBP (2015-20) will only be applicable for the requests made on or after 19.01.2023. However, existing/pending applications shall be governed by the earlier relevant provision of HBP (2015-20).
[Notification No. 52/2015-2020]
