DGFT
The Director General of Foreign Trade (DGFT) has amended Paragraph 10.12(D) of the Handbook of Procedures (HBP) 2023, introducing a General Authorization for Export after Repair (GAER). This update simplifies the re-export of SCOMET items to related entities and authorized repair supply chains after repair in India.
Key Amendments & Provisions:
| Aspect | Details |
| Eligibility | Applies to SCOMET items imported for repair and re-exported to related entities (Direct Subsidiary/Foreign Parent/Authorized Vendor/OEM). |
| GAER Registration | Exporters must obtain a one-time GAER license from DGFT, valid for one year, with quarterly post-reporting. |
| Conditions for Re-Export | No modification or value addition allowed in SCOMET items after repair. Re-export must be to the same entity and location. |
| Required Documents | Bill of Entry, contract agreements, Statement of Work (SOW), Internal Compliance Programme (ICP), and AEO certification (for vendors/OEMs). |
| Post-Export Reporting | Exporters must submit quarterly reports (March, June, September, December) with shipping details and Bills of Entry. |
| Restrictions | GAER will not be granted for UNSC-sanctioned countries, proliferation concerns, or military applications. |
| Suspension/Revocation | DGFT may suspend GAER for non-compliance, missing reports, or national security concerns. |
Effect of the Amendment:
- Simplifies & streamlines re-export procedures under one-time authorization instead of requiring approvals for each shipment.
- Enhances trade facilitation by allowing multiple re-exports under a single GAER license with quarterly compliance reporting.
- Strengthens regulatory oversight with strict conditions on prohibited destinations and non-compliance penalties.
Public Notice No.50/2024-2025