No: CLE-HO/Policy/RBI/2013

July 29, 2013

Members of the Council.

Dear Sir,

This is in continuation to our earlier circular dated June 6, 2013 wherein we informed that the Reserve Bank of India has issued a Circular No. 105 (A.P. (DIR Series) dated May 20, 2013 (copy enclosed) which states that it has been decided to bring down the period of relaxation given for realization of export proceeds from 12 months to 9 months with immediate effect till September 30, 2013. Now the RBI has issued a circular No.14 (A.P.DIR Series) dated July 22, 2013 clarifying the following:

Realization and repatriation period stipulation in terms of A.P. (DIR Series) Circular No.52 dated November 20, 2012 was valid till March 31, 2013 only, the time period for realization and repatriation of export proceeds from April 01, 2013 onwards till September 30, 2013, shall be reckoned as nine months from the date of export.

Members may also note that vide circular No. RBI/2012-13/527 dated June 11, 2013 the RBI had informed that the units located in Special Economic Zones (SEZs) shall realize and repatriate, full value of goods/software/services, to India within a period of twelve months from the date of export (as against no time limit fixed earlier).

This is for your kind information and reference.

Thanks & regards,

R.Ramesh Kumar, IAS
Executive Director.
COUNCIL FOR LEATHER EXPORTS