Govt notified duty free import norms for service sectors

The Government said that cars, alcoholic beverages and sea food items can be imported by a service provider under the duty free import facility as per the latest edition of Exim Policy on March 31, 2003.

The Director General of Foreign Trade (DGFT) in a circular said that beverages, spirits and venegar or seafood items (both processed and semi processed) are entitled for import under duty free scheme for hotels, tour operators and tourist transport operators. This would give a boost to the hotel industry.

It also said that milk and dairy products, vegetable, horticulture and agriculture products viz cereals would not be covered under the duty free import entitlement for service providers. As per the exim policy a service provider other than hotels can import duty free items equivalent to 10 percent of the average foreign exchange earned by the service provider in the preceding three years. Hotels are entitled for duty free imports equivalent to 5 percent of the average foreign exchange earned by them in preceeding three years.