In an order to curb free exports limit of large exporters or status holders, the government has restricted free outbound shipments of goods by large exporters for export promotion activities to Rs 10 lakh. Directorate General of Foreign Trade in a public notice has stated that status holders shall be entitled to export freely exportable items on free of cost basis for export promotion subject to an annual limit of Rs 10 lakh or 2 percent of average annual export realisation during preceding three licensing years, whichever is lower.
Earlier, the limit was Rs 10 lakh or 10 percent of average annual export realisation during preceding three licensing years, whichever is higher. Seprately it said that as a measure of transitional arrangement, exporters can file certain category of applications manually, till EDI (electronic data inter change) online module is ready or upto September 30 whichever is earlier.
The FIEO said that for R&D equipment for pharmaceuticals and bio-technology sector, duty free import of goods upto 25 percent of FOB (free on board) value of exports during preceding licensing year, shall be allowed.
The government of India has recently announced the new Foreign Trade Policy 2015-20, which states that under Merchandise Exports from India Scheme (MEIS), export items with high domestic content and value addition have generally been provided higher level of rewards. For reward schemes and duty exemption schemes, hard copies of applications and specified documents which were required to be submitted earlier have now been dispensed with.