7.14
- Document type
- Policy
- Dated
- Category
- Exim Policy (upto 31/03/2001)
Duty Entitlement Passbook Scheme (DEPB)
For exporters not desirous of going through the licensing route, an
optional facility is given under DEPB. The objective of Duty Entitlement
Passbook Scheme is to neutralise the incidence of Customs duty on the
import content of the export product. The neutralisation shall be
provided by way of grant of duty credit against the export product.
Under the Duty Entitlement Passbook Scheme (DEPB), an exporter may apply
for credit, as a specified percentage of FOB value of exports, made in
freely convertible currency. The credit shall be available against such
export products and at such rates as may be specified by the Director
General of Foreign Trade by way of public notice issued in this behalf,
for import of raw materials, intermediates, components, parts, packaging
material etc.
The holder of Duty Entitlement Passbook Scheme (DEPB) shall have the
option to pay additional customs duty, if any, in cash as well.