Directorate General of Foreign Trade (DGFT) vide notification dated May,28,2018 has amended Chapter I of Foreign Trade Policy 2015-2020.
After Para 1.40 new Para 1.41 has been inserted (w.e.f. April,01,2015) which reads as follows
With a view to expand employment opportunities, certain special focus initiatives for Handlooms, Handicraft, Leather, Marine, Sports Goods and Toys sectors are required. These sectors are being provided the following duty free (only basic customs duty free with effect from (July 01,2017) entitlements.
· Duty free import entitlement of specified trimmings and embellishments upto S% of FOB value of exports during previous financial year. Handloom and made ups are included for the entitlement.
· Duty free import entitlement of hand knotted carpet samples upto 1% of FOB value of exports during previous financial year.
· Duty free import entitlement of tools, trimmings and embellishments upto S% of FOB value of exports during previous financial year. Entitlement shall extend to merchant exporters tied up with supporting manufacturers.
· Handicraft EPC is authorized to import trimmings, embellishments and consumables on behalf of those exporters for whom directly importing may not be viable
III. Leather and Footwear
· Duty free import entitlement of specified items upto 3% of FOB value of exports of leather garments during preceding financial year.
· Duty free entitlement for import of trimmings, embellishments and footwear components for footwear (leather as well as synthetic), gloves, travel bags and handbags upto 3% of FOB' value of exports of previous financial year. Such entitlement shall cover packing material, such as printed and non-printed shoeboxes, small cartons made of wood, tin or plastic materials for packing footwear.
IV. Marine Sector
· Duty free import of specified specialised inputs/chemicals and flavouring oils is allowed to the extent of 1% of FOB value of preceding financial year's export.
V. Sports Goods and Toys
· Duty free import of specified specialised inputs allowed to the extent of 3% of FOB value of preceding financial year's export.
Duty means Basic Customs Duty" w.e:f July,01,2017