Clarification regarding Clubbing of Advance Authorisations
Policy Circular No. 29(RE-07)/2004-2009
Attention is invited to provision related to “facility of clubbing of advance authorizations”, as stated in paragraph 4.20 of Handbook of Procedures, Vol. 1, wherein the facility of clubbing of advance authorizations have been allowed subject to fulfillment of conditions stated in paragraph 4.20 to be read with sub-paragraph 4.20.1 to 4.20.5. This is to facilitate closure of import and export account with reference to the inputs allowed for import under the Scheme.
Representations have now been received from the trade and industry that some of the Regional Authorities are not accepting the request for clubbing of advance authorizations in case the export product is different in two or more advance authorizations for which clubbing has been sought.
The matter has been considered in this office. It would be evident from paragraph 4.20.1 that the said facility is available for clubbing of more than one authorization provided the imported inputs are properly accounted for as per norms. Accordingly, it is clarified that as long as imported inputs (for which clubbing has been sought) are same, the facility of clubbing would be available for closure of the authorisations irrespective of the fact that the export products are different.
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