The Directorate General of Foreign Trade (DGFT) on October 19, 2023, issued amendments in policy condition no. 4 of chapter 84 of Schedule 1 (Import Policy) of ITC (HS), 2022-reg.
The following changes in Import Policy Conditions are as stated:
Additional conditions are introduced under Policy Condition 4 of Chapter 84 of Schedule I of ITC (HS), 2022:
• IT hardware restricted for Import vide Notification 23/2023 dated August 03, 2023, which are manufactured in Special Economic Zones (SEZ) may be imported into a Domestic Tariff Area (DTA) without an Import Authorization, on payment of applicable duties (if any). Activities such as re-packing, labeling, refurbishing, testing, and calibration alone within the SEZ are not considered manufacturing to avail of this exemption from Import Authorization.
• Private entities importing the said IT Hardware for supply to -
a. Central Government or agencies, undertakings owned and controlled by the Central Government, for Defence or Security purposes;
b. State Government for Security purposes;
They are exempt from requiring an import authorization. However, these private entities at the time of import must provide to the Customs Authorities, a valid End User Certificate issued by the relevant government entity.
It further states that the Import of IT I hardware manufactured in Special Economic Zones (SEZ) into Domestic Tariff Area (DTA) shall be exempted from an Import Authorisation. Import by private entities on behalf of Central & State Government Entities, for Defence & Security purposes, shall be exempted from an Import Authorisation.
[Notification No 38/2023]
