Fema : g r waiver conditions

This query is : Resolved

Shankar Murkumbi (Querist)
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24 December 2015 We are 1 star exporter and we want to send our goods (5 units free samples) on fOC basis worth USD 7000 FOB value to our Dubai cluster distributor display purpose. These goods are to showcase in their office at Dubai for touch and feel experience to African clients visiting their office.

Can we send these on FOC under FREE SAMPLES after obtaining G R waiver from our AD. I hope in such cases where goods are being sent for display purpose, the destruction certificate is not mandatory. Please confirm.

Guest

Guest (Expert)

26 December 2015 Dear sir, No problem. You have to get approval from AD 1 Bank for export of items for display. However you should ensure that after bringing back, you should produce Re import bill of entry to Authorised bank within 1 month of reimport. If you sell anything abroad, you should bring it back and realize and file relevant forms. This will be subject to 100% audit - so please keep all documents carefully

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Shankar Murkumbi

Shankar Murkumbi (Querist)
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27 December 2015 Dear Sir, Thank you for your reply to my query. Please note that these samples which we are going to send for display are going to remain in Dubai permanently and these will not be brought back to India. However these will not be sold by the Dubai party and these may be used for display in exhibitions in Dubai or any African countries. Since transportation to African countries and other gulf countries is easy from Dubai we want these be available in Dubai for this purpose.

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Guest

Guest (Expert)

30 December 2015 If the value of the same is less than 10% (since u r status holder) of the total export proceeds of the previous year, you can avoid complications under FEMA regulations.