FOREIGN EXCHANGE MANAGEMENT (EXPORT OF GOODS AND SERVICES) REGULATIONS, 2000
(i) These Regulations may be called the Foreign Exchange Management (Export of Goods and Services) Regulations, 2000.
(ii) They shall come into force on 1st day of June, 2000.
In these Regulations, unless the context requires otherwise,--
(i) 'Act' means the foreign Exchange Management Act, 1999 (42 of 1999);
(ii) 'authorised dealer1 means a person authorised as an authorised dealer under sub-section (1) of Sec. 10 of the Act, and includes a person carrying on business as a factor and authorised as such under the said Sec. 10;
(iii) 'Exim Bank' means the Export-Import Bank of India established under the Export-Import Bank of India, Act 1981 (28 of 1981);
(iv) 'export' includes the taking or sending out of goods by land, sea or air, on consignment or by way of sale, lease, hire-purchase, or under any other arrangement by whatever name called, and in the case of software, also includes transmission through any electronic me
(1) Every exporter of goods or software in physical form or through any other form, either directly or indirectly, to any place outside India, other than Nepal and Bhutan, shall furnish to the specified authority, a declaration in one of the forms set out in the Schedule and supported by such evidence as may be specified, containing true and correct material particulars including the amount representing--
(i) the full export value of the goods or software; or
(ii) if the full export value is not ascertainable at the time of export, the value which the exporter, having regard to the prevailing market conditions expects to receive on the sale of the goods or the software in overseas market, and affirms in the said declaration that the full export value of goods (whether ascertainable at the time of export or not) or the software has been o
Notwithstanding anything contained in regulation 3, export of goods or services may be made without furnishing the declaration in the following cases, namely :--
(a) trade samples of goods and publicity material supplied free of payment;
(b) personal effects of travellers, whether accompanied or unaccompanied;
(c) ship's stores, trans-shipment cargo and goods supplied under the orders of Central Government or of such officers as may be appointed by the Central Government in this behalf or of the military, naval or air force authorities in India for military, naval or air force requirements;
(d) goods or software accompanied by a declaration by the exporter that they are not more than 4[twenty five thousand rupees in USD value];
The importer-exporter code number allotted by the Director General of Foreign Trade under Sec. 7 of the Foreign Trade (Development and Regulation) Act, 1992 (22 of 1992) shall be indicated on all copies of the declaration forms submitted by the exporter to the specified authority and in all correspondence of the exporter with the authorised dealer or the Reserve Bank, as the case may be.
A. Declaration in Form GR/SDF
(1) (i) The declaration in form GR/SDF shall be submitted in duplicate to the Commissioner of Customs.
(ii) After duly verifying and authenticating the declaration form, the Commissioner of Customs shall forward the original declaration form/data to the nearest of the Reserve Bank and hand over the duplicate form to the exporter for being submitted to the authorised dealer.
B. Declaration in Form PP
(2) (i) The declaration in Form PP shall be submitted in duplicate to the authorised dealer named in the form.
(ii) The authorised dealer shall, after countersigning the declaration form, hand over the original form to the exporter who shall submit it to the postal authorities thr
The Commissioner of Customs or the postal authority or the official of Department of Electronics, to whom the declaration form is submitted, may, in order to satisfy themselves of due compliance with Sec. 7 of the Act and these regulations, require such evidence in support of the declaration as may establish that--
(a) the exporter is a person resident in India and has a place of business in India;
(b) the destination stated on the declaration is the final place of the destination of the goods exported;
(c) the values stated in the declaration represents--
(1) the full export value of the goods or software; or
(2) where the full export value of the goods or software is not ascertainable at the time of exp
Unless otherwise authorised by the Reserve Bank, the amount representing the full export value of the goods exported shall be paid through an authorised dealer in the manner specified in the Foreign Exchange Management (Manner and Receipt and Payment) Regulations, 2000.
Explanation.--For the purpose of this regulation, re-import into India, within the period specified for realisation of the export value, of the exported goods in respect of which a declaration was made under Regulation 3, shall be deemed to be realisation of full export value of such goods.
13[1.] The amount representing the full export value of goods or software exported shall be realised and repatriated to India within 2[twelve months] from the date of export:
9[Provided that where the goods or software are exported by the units in Special Economic Zones, the Stipulation of period of realisation and repatriation to India of full export value of goods or software shall not apply.]
Provided that where the goods are exported to a ware-house established outside India with the permission of the Reserve Bank, the amount representing the full export value of goods exported shall be paid to the authorised dealer as soon as it is realised and in any case within fifteen months from the date of shipment of goods :
Provided further that the Reserve Bank, or subject to the directions issued
No person shall enter into any contract to export goods on the terms which provide for a period longer than 2[twelve months] for payment of the value of the goods to be exported :
Provided that the Reserve Bank may, for reasonable and sufficient cause shown, grant approval to enter into a contract on such terms.
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2. Substituted by the Foreign Exchange Management (Export of Goods and Services) (Amendment) Regulations, 2008 vide Notification No : GSR576(E) dated 23.07.2008 for the words "six months".
The documents pertaining to export shall, within 21 days from the date of export as, as the case may be, from the date of certification of SOFTEX form, be submitted to the authorised dealer mentioned in the relevant declaration form:
Provided that, subject to the directions issued by the Reserve Bank from time to time, the authorised dealer may accept the documents pertaining to export submitted after the expiry of the specified period of 21 days, for reasons beyond the control of the exporter.
In respect of export of any goods or software for which a declaration is required to be furnished under regulation 3, no person shall except with the permission of the Reserve Bank or, subject to the directions of the Reserve Bank, permission of an authorised dealer, do or refrain form doing anything or take or refrain from taking any action which has the effect of securing--
(i) that the payment for the goods or software is made otherwise than in the specified manner; or
(ii) that the payment is delayed beyond the period specified under these regulations; or
(iii) that the proceeds of sale of the goods or software exported do not represent the full export value of the goods or software subject to such deductions, if any, as may be allowed by the Reserve Bank or, subject to the directions of t
A Export of goods on lease, hire, etc.
No person shall, except with the prior permission of the Reserve Bank, take or send out by land, sea or air any goods from India to any place outside India on lease or hire or under any arrangement or in any other manner other than sale or disposal of such goods.
B. Exports under trade agreement/rupee credit, etc.
(i) Export of goods under special arrangement between the Central Government and Government of a foreign state, or under rupee credits extended by the Central Government to Government of a foreign state shall be governed by the terms and conditions set out in the relative public notices issued by the Trade Control Authority in India and the instructions issued from time to time by the Reserve Bank.
(i
Where in relation to goods or software export of which is required to be declared on the specified form, the specified period has expired and the payment therefor has not been made as aforesaid, the Reserve Bank may give to any person who has sold the goods or software or who is entitled to sell the goods or software or procure the sale thereof, such directions as appear to it to be expedient, for the purpose of securing, (a) the payment thereof if the goods or software has been sold and (b) the sale of goods and payment thereof, if goods or software has not been sold or re-import thereof into India as the circumstances permit within such period as the Reserve Bank may specify in this behalf.
Provided that omission of the Reserve Bank to give directions shall not have the effect of absolving the person committing the contravention from the consequences thereof.
(1) Where an exporter receives advance payment (with or without interest), from a buyer outside India, the exporter shall be under an obligation to ensure that--
(i) the shipment of goods is made within one year from the date of receipt of advance payment;
(ii) the rate of interest, if any, payable on the advance payment does not exceed London Inter-Bank Offered Rate (LIBOR) + 100 basis points, and
(iii) the documents covering the shipment are routed through the authorised dealer through whom the advance payment is received :
Provided that in the event of the exporter's inability to make the shipment, partly or fully, within one year from the date of receipt of advance payment, no remittance towards refund or unutilized portion of advance payment or
(1) Without prejudice to the provisions of regulation 3 in relation to the export of goods or software which is required to be declared, the Reserve Bank may, for the purpose of ensuring that the full export value of the goods or, as the case may be, the value which the exporter having regard to the prevailing market conditions expects to receive on the sale of goods or software in the overseas market, is received in proper time and without delay, by general or special order, direct from time to time that in respect of export of goods or software to any destination or any class of export transactions or any class of goods or software or class of exporters, the exporter shall, prior to the export, comply with the conditions as may be specified in the order, namely:--
(a) that the payment of the goods or software is covered by an irrevocable letter of credit or by such other arrangem
Where an export of goods or services is proposed to be made on deferred payment term or in execution of a turnkey project or a civil construction contact, the exporter shall, before entering into any such export arrangement, submit the proposal for prior approval of the approving authority, which shall consider the proposal in accordance with the guidelines issued by the Reserve Bank from time to time.
Explanation.--For the purpose of this Regulation, 'approving authority' means the Working Group or the Exim Bank or the authorised dealer.
SCHEDULE
(Refer to regulation 3)
Form GR : To be completed in duplicate for export otherwise than by Post including export of software in physical form, i.e., magnetic tapes/ discs and paper media.
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