Procedure for claiming Duty Credit Scrips under Chapter 3

NO:CLE-HO/POL/CIRCULAR/2016

Jan. 3, 2017

Members of the Council,

Sub:    Procedure for claiming Duty Credit Scrips under Chapter 3 of FTP 2009-14 for shipments where LEO date is upto 31.03.2015 but date of export is on or after 01.04.2016.

Dear Sir,

Members are aware that in the Foreign Trade Policy 2009-14, the Focus Product Scheme was implemented as per which notified leather products and footwear fot 4% duty credit scrip while finished leather was entitled to 2% scrip under this scheme. In the Foreign Trade Policy 2015-20, a new scheme called Merchandise Exports from India Scheme (MEIS) was notified as per which notified leather products and footwear get 3% scrip while finished leather gets 2%.

The DGFT has issued a Public Notice No.48/2015-2020 dated 29^th Dec. 2016 on the above subject. The Public Notice states the following:

• “In respect of exports where the LEO date is on or prior to 31.03.2015, but the Date of Export is on or after 01.04.2015 shall be incentivized with the Chapter 3 benefits as was available in the FTP 2009-14. It is also clarified that in all such cases, the LEO date shall be treated as date of export.

• Applications for availing benefit under this Public Notice are to be filed with RAs concerned by 31 March, 2017 and in all such cases Late Fee under Para 9.3 of HBP (2009-15) will not be applicable. However, applications received after 31 March, 2017 will be subject to Late Fee as applicable under Para 9.3 of HBP (2009-14).

• Necessary changes in the online application module have been made to change the LEO date as the Date of Export giving effect to the above decision.”

Members may kindly note the above.

Thanks & regards,
R.Ramesh Kumar
Executive Director
COUNCIL FOR LEATHER EXPORTS

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