| Sl No | Particulars | Meanings / Definitions |
| 1. | AA Definition | Advance Authorisation / Advance License Scheme |
| 2. | AA Purpose | To get “Duty Free Imported Materials” viz Principle Raw Material, Additives, Consumables, Packing Material Jig & Tool to manufacture “Export Product” to make Indian Products so competitive in Global Market. |
| 3. | Benefits | All Duty-Free Scheme (including Anti-Dumping Duty & Safeguard Duty) |
| 4. | Obligation | Needs to fulfil “Export Obligation” by exporting “Finished Goods”. Pre-Import condition is applicable for few Raw Items as listed in Appendix. |
| 5. | Stipulation – Import | 12 Months from AA Date (1st Revalidation 6 Months & 2nd Revalidation another 6 months – Total 24 Months Max Import Validity) |
| 6. | Stipulation – Export | 18 Months from AA Date (1st EO Period Extn 6 Months & 2nd EO Period Extn another 6 months – Total 30 Months Max Export Validity) |
| 7. | Initial Cost / Financial Implication | Govt Fees for Advance Authorisation, Certification Charges for CA, Chartered Engineer, & Consultancy Fee (Service Charges) + 18% GST. |
| 8. | Liability | In case of non-fulfilment of Export Obligation (EO) within stipulated time, then require to pay Customs Duty Saved along with applicable Interest to Customs Dept. |
| 1. | Register AA with concerned Customs Authority (Port of Import mentioned on AA) with executing general Bond (LUT) in prescribed form on ₹ 100 Stamp Paper duly notarised with or without BG. BG exemption, you may contact us. |
| 2. | Before filing of Bill of Entry (BE) with Customs, please ensure for the correctness of Import details viz Import Item Description, ITC (HS) Code, Qty, UOM, CIF Value (US$ / ₹) mentioned on AA. “Import Invoice Details” & “AA Import Details” should match. |
| 3. | Import the materials mentioned in AA and get Import clearance from Customs without payment of Customs Duty (All Duty Free) by ensuring proper AA details endorsement on Bill of Entry. |
| 4. | Bring the material to your Factory Address mentioned on AA to manufacture Export Product. |
| 1. | Register AA with concerned Customs Authority (Port of Import mentioned on AA) with executing general Bond (LUT) in prescribed form on ₹ 100 Stamp Paper duly notarised with or without BG. BG exemption, you may contact us. |
| 2. | Before filing of Bill of Entry (BE) with Customs, please ensure for the correctness of Import details viz Import Item Description, ITC (HS) Code, Qty, UOM, CIF Value (US$ / ₹) mentioned on AA. “Import Invoice Details” & “AA Import Details” should match. |
| 3. | Import the materials mentioned in AA and get Import clearance from Customs without payment of Customs Duty (All Duty Free) by ensuring proper AA details endorsement on Bill of Entry. |
| 4. | Bring the material to your Factory Address mentioned on AA to manufacture Export Product. |
L
| 1. | Arrangement of Norms Fixation / Ratification / Adhoc Norms from DGFT Delhi |
| 2. | AA Revalidation for balance / left out import against AA |
| 3. | AA Export Obligation Period (EOP) Extension |
| 4. | AA Pre-Import Condition |
| 5. | AA Free Shipping Bills / Non-endorsement of AA No on Shipping Bill (SB) |
| 6. | Clubbing Provisions Relaxation in Advance Authorisation (AA) / Advance License Scheme (ALS) |
| 7. | Counting / Transfer of Excess Exports in Shipping Bills from One AA to another AA |
| 8. | Merger / De-merger / Amalgamation / Acquisition / Takeover / Outright Selling / Slump Sale |
| 9. | import Shipment Prior to AA issuance / obtainment |
| 10. | Consideration of SB after expiry Export Obligation Period (EOP) |
| 11. | Exports proceedings realised in INR for Nepal & Bhutan |
| 12. | Consideration of DBK SB against AA |
| 13. | Conversion of Free / DBK Shipping Bill into AA Shipping Bill |
| 14. | Export Obligation Period (EOP) beyond initial period expiry of EO – Special Relaxation |
| 15. | Removal of IEC from Denied Entity List (DEL) from RLA (Local DGFT) |
| 16. | 2nd (Second) AA Export Obligation Period (EOP) Extension (Special Relaxation) |
Our Suggestion
| 1. | Always better to Export first and then go for proportionate Import to avoid excess Import. |
| 2. | Keep close “Accountability” for Import & Export on daily basis (AA-wise) and compile the data for a quick AA-wise summary to restrict “Excess Import” and “Excess Export” against each AA. |
| 3. | Better to use / keep some kind of office tool (Customised Software) to keep Import & Export accountability atleast for Duty Exemption Schemes (AA) wherever sizable EXIM volume happening. |
| 4. | Always better to hire an “External Agency” to keep 2nd check of EXIM (Scheme related) transactions and also to validate EXIM Transaction documents. |
| 5. | Please reach us to get our expertise which will help you with proper Awareness, Guidance, Understanding & Quality Services to have leak proof mechanism to avoid unwanted financial implication on account of Penalty for late filing of Bill of Entry, Detention Charges & Demurrage Charges. |
EXIM (Import & Export) (DGFT / Customs / GST) Consultant for Import Export Related Matters
EXIM (Import & Export) Audit
EXIM (Import & Export) Awareness
EXIM (Import & Export) Orientation Programmes Virtual (Online) / Class Room Sessions
EXIM (Import & Export) (DGFT / Customs / GST) Consultant
EXIM (Import & Export) Consultation
EXIM (Import & Export) Retainership
Filing of Appeal for Order in Original (O-i-O), Show Cause Notice (SCN) Reply, Demand Notice reply, Export Obligation Monitoring (EOM) Reply, Directorate of Revenue Intelligence (DRI) Reply, Customs Audit Query Re
Simran Exim is a professionally managed firm incorporated with the objective of providing premium Import & Export Consultancy Services. We being one of the Premier Indian Export Import Consultancy Companies in Foreign Trade have thorough knowledge and expertise of foreign trade regulations in India, Import-Export Policy and Procedures, Customs Law and Allied regulations.
Simran Exim is a professionally managed firm incorporated with the objective of providing premium Import & Export Consultancy Services. We being one of the Premier Indian Export Import Consultancy Companies in Foreign Trade have thorough knowledge and expertise of foreign trade regulations in India, Import-Export Policy and Procedures, Customs Law and Allied regulations.
Simran Exim is a professionally managed firm incorporated with the objective of providing premium Import & Export Consultancy Services. We being one of the Premier Indian Export Import Consultancy Companies in Foreign Trade have thorough knowledge and expertise of foreign trade regulations in India, Import-Export Policy and Procedures, Customs Law and Allied regulations.
