Introduction:

1. Urea is the only fertiliser which is under statutory price, distribution and movement control and the allocations are made under the Essential Commodities Act (ECA) and covered under the Retention Price-cum-Subsidy Scheme. The other major fertilisers such as DAP, MOP, Complexes and SSP are decontrolled for which Government provides concession under the Concession Scheme. However, under Export-Import policy for the period April 2002 - March, 2007, the following items are placed below under restricted list for the purpose of exports :

The MOP has been placed under "free list"* for export.

2. SCHEME FOR EXPORT OF ALL FERTILISERS

(a) Eligibility Criteria

(1) Manufacturer.

(2) Exporter/traders/ export-house who either procure fertilisers from manufacturers/ importers or import directly.

(b) Conditions

(i) The manufacturers/importers and exporters to authenticate the source of
procurement .

(ii) As per existing policy of the Government for export of urea, which is allowed within 100% of the reassessed capacity and in excess of the ECA allocation, the indigenous manufacturers if sales for exports shall reimburse the 50% of net sales realisation minus variable costs to the FICC/ Government.

(iii) The exporter will not be entitled for any subsidy/concession on export of any fertiliser. For this, the exporter shall submit a certificate from manufacturer or importer to the effect that neither subsidy/concession has been claimed nor it is intended to be claimed on the fertiliser meant for export.

Note:* A request is being made to also bring back MOP in the restricted list

(iv) The sale proceeds of fertiliser to be exported shall be in US $ only. In case any relaxation is required in respect of the currency at which sale proceeds to be received, the exporter shall seek specific permission after giving adequate reasons.

(c ) Procedure

(i) Eligible Exporters to file application in the enclosed Performa to designate officer of the Department of Fertilisers ( DOF).

(ii) The unsold stock of imported fertiliser is also allowed for export subject to the condition that the importers or exporters will reimburse the subsidy/concession if already claimed with interest rate applicable on working capital as notified by DOF from time to time from the date of its receipt till repayment thereof to Government.

(iii) DOF will after assessing the domestic demand/requirement of fertilisers give permission within 10 working days of the application received from the exporter otherwise it will be deemed to be taken as permission granted to export.

(d) Check list for DOF for giving permission

(i) Authenticate the source of procurement of fertilisers for export.

(ii) The domestic requirement receives precedence over export obligation.

(iii) To ensure that the subsidy/concession has not been availed on fertilisers to be exported and in case of urea, manufacturer/exporter re-imburses the 50% of net sales realisation minus variable costs to the FICC.

(iv) The importers or exporters will reimburse the subsidy/concession, if already claimed, with interest rate notified by DOF from time to time from the date of its receipt till repayment thereof to Government. Permission will be given after the physical receipt of payment by the Government.

(v) DOF will seek confirmation from FICC/Fertiliser Accounts Wing regarding the source of supply indicated by the exporter to find out the quantum of subsidy/concession paid for the quantity proposed to be exported.

(e) Authorised official for issue of permission for export of fertilisers

Deputy Commissioner (PO&P) in the Department of Fertilizers is authorised to issue permission for export of Fertilisers. His telephone No. 3389839, Fax No. 3388116, Room No. 405 'B' Wing, Shastri Bhawan, New Delhi - 110001.

APPLICATION FORM FOR EXPORT OF FERTILIZERS

Whether Manufacturer/Exporter/Importer (please tick whatever is applicable)

Name of business house / Individual

Address along with Telephone & Fax Nos plus e-mail address
IEC No.

Details of foreign buyer
Name
Address along with Telephone & Fax Nos plus e-mail address
Country

Details of Product to be exported

(a) Quantity Purchased
(b) Date of Purchase/ Proposed date of purchase
(c) Grade & Specification

Details of transactions/deals

1) Price Quoted
(2) Expected date of despatch
(3) Port of Loading
(4) Destination
       (a) Country
       (b) Port
(5) Is trade in US dollar terms                         Yes/No (please tick)           
                                                                        Name of CEO
                                                                        signatures

Certificate from original Manufacturer/ Importer
(To be enclosed)

1) It is certified that on the quantity of___ MT to be exported no subsidy/ Concession has been claimed nor it will be claimed in future for the quantity proposed for export.

APPLICATION FORM FOR GRANT OF EXPORT LICENCE PERMISSION FOR FERTILISERS

* To be obtained from DGFT

DECLARATION / UNDERTAKING

I/We declare/undertaking that:-

(i) The particulars and the statements made in this application and attachments thereto are true to the best of my/our knowledge and belief, and nothing has been concealed or withheld therefrom.

(ii) If any information furnished in this application is found to be false, inaccurate, not current or misleading, any licence granted on the basis of this application shall be liable to cancellation or being made ineffective without prejudice to any other action that may be taken in his behalf under the Foreign Trade (Development and Regulation) Act, 1992, or rules and orders made thereunder, and the Customs Act, 1962.

(iii) Any information furnished in this application if proved incorrect, false, inaccurate, not current or misleading will render me/us liable for any penal action or other consequences as may be prescribed in law or otherwise warranted.

(iv) I/We further declare that no export proceeds are outstanding beyond the prescribed period as laid down by the RBI, or such extended period for which RBI permission has been obtained.

(v) I hereby certify that I am authorised to certify and sign this declaration as per Paragraph 9.9 of the Policy.

(vi) I/We further undertake to submit to the Department of Fertilisers [DOF], New Delhi a copy of the Bill of Entry into the destination State Party within 30 days of delivery failing which I/We shall be liable to action under the Foreign Trade (Development and Regulation) Act, 1992, or Rules and Orders made thereunder and the Customs Acts.

Place:
Date:

Signature of the applicant___________

Name in Block Letters______________
Degisnation______________________
Office Address____________________
_______________________________
Residential Address________________
_______________________________

E-Mail Address____________________

Note: Each page of this application should be signed individually by the Managing Director, or the Company Secretary or a Director of the firm. If signed by a Director of the firm, then that Director must be duly authorised to do so by the Board of Directors of the firm.


END USE/END USER CERTIFICATE BY THE EXPORTERS

1. I/We _____________________ hereby certify that we are the end -user of _____________________________to be imported from ___________________ against our Purchase Order No.__________________ dated __________________ for the manufacture of/used for __________________________

OR

The undersigned, hereby declares that I am duly authorised to certify that ________________________ are the end-users of the items detailed in their Purchase Order No. ___________________ dated __________________ and are importing the said items from ____________________ for the manufacture of/used for _____________________

2. I/We further certify that the items detailed in the referenced Purchase Order will not be used for any purpose other than the purpose(s) stated in the Purchase Order, and that such use will not be changed nor the items modified or replicated without the prior consent of the Government of India.

3. The end-user shall not himself, or through another, cause the items, or replace, or derivatives thereof to be re-transferred/sold without the knowledge/consent of the Government of India, to any party within _______________ or outside it.

4. I/We also certify that all the facts contained in this certificate are true and correct to the best of my knowledge and belief and that I/We do not know of any additional facts that are inconsistent with this certificate.

Place:

__________________________________
Signature of end-user/authorised signatory
Of end user with stamp and seal

Date:

Name __________________
Designation______________

END USE CERTIFICATE BY THE EXPORTERS

(To be furnished with reference to S.No.11 of this Export Licence Application)

We, (Name of the end user), certify that we are importing ___________ M.T. of ____________from (name and address of exporter) for the manufacture of ________________ (state specific use).

We further certify that we will not use the above mentioned fertilisers for any purpose other than stated as above nor transfer or re-export the item to any other party/country for any other purpose.

Place

Signature of end-user with Stamp and
Seal

Date:

Name:                                  

Designation:                                  

Note: The exporter shall furnish a copy of confirmed export order indicating number
and date to the customs and DOF at the time of actual shipment.