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Duty Exemption Scheme: The Duty Exemption scheme consists of Duty Free Licence and Duty Entitlement Pass Book.
Duty Free Licence includes Advance Licence, Advance Intermediate Licence and Special Impress Licence. Import of raw materials, intermediates, components, consumables, parts, accessories, mandatory spares (not exceeding 5% of the CIF value of the duty free licence) and packing material may be permitted against a Duty Free Licence.
Under the Duty Entitlement Pass Book scheme (DEPB) an exporter shall be eligible to claim credit as a specified percentage of FOB value of exports made in freely convertible currency. DEPB shall be valid for a period of 12 months and third party exports are also admissible for grant of credit.
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