DGFT extends validity of Norms of Advance Authorization till March 31, 2026
DGFT – Norms of Advance Authorization – Advance Authorization – taxscan
DGFT – Norms of Advance Authorization – Advance Authorization – taxscan
Directorate General of Foreign Trade (DGFT) through the notification issued on 25th April, 2023 has extended the validity of the ad hoc norms of the advance authorisation till March 31, 2026. The main agenda of the notification issued by the DGFT was to amend paragraph 4.12(vi) of the Handbook procedures, 2023 of DGFT.
As per the amendment, norms will be ratified by the any Norms Committee (NC) on or after 1.04. 2015 in respect of any Advance Authorisation (AA) obtained under paragraph 4.07 of Handbook Procedures 2015-20 shall also be valid further up to 31st, March 2026.
For any Advance Authorization received under paragraph 4.07, the existing clause was the norms ratified by any Norms Committee (NC) in the O/o DGFT on or after 01.04.2023 shall be effective for a period of three years from the date of ratification.
Since all Norms Committee decisions are published on the DGFT website as minutes, all other applicants for Advance Authorization are similarly competent to submit requests for and receive their approvals based on such endorsed norms on a continuous basis for as long the applicable norms are in existence. For authorizations requested for products on Appendix 4P, this clause is not applicable.
The paragraph 4.07 states about the Self Declared Authorisations where SION does not exist. The Regional Authority may also issue Advance Authorisation where there are no SION/valid Ad hoc Norms for an export product or where SION / Ad hoc norms have been notified / published but the exporter intends to use additional inputs in the manufacturing process, based on self-declaration by the applicant.
Further, the wastage so claimed shall be subject to wastage norms as decided by Norms Committee. The applicant shall submit an undertaking to abide by the decision of the Norms Committee. The provisions in this regard are given in paragraph 4.03 and 4.11 of FTP.
As per the new amendment, the validity of the ratification of such a norm by the norms committee extended till 31st March 2026.
To Read the full text of the Order CLICK HERE
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