Page 137 - ELT_1st July 2020_Vol 373_Part 1

2020 ] L & T VALVES LIMITED v. DIRECTOR GENERAL OF FOREIGN TRADE, CHENNAI 47

8. In the said Policy, the Focus Projects Scheme was introduced by the
Government of India. The products envisaged granting of duty credit scrip
equivalent to 2% of the FOB value of exports of notified products into the prod-
ucts including items of use on bicycle and also taps, Cocks, Valves and similar
appliances etc. It is again to be mentioned that the petitioner had not availed the
said concession within the limitation period fixed under paragraph 3.119 cited
supra which gave a six months time period from the date of realization or from
the date of release of shipping bill whichever was later. It has also been stated
that where there are inclusions, modification of items then there is a period of
seeking 6 months for seeking concession. The words are clear.
9. Since a challenge before the Gujarat High Court was made with re-
spect to denial of the concession to other items namely Taps, Cocks, Valves and
other aspects, it is claimed by the Learned Senior Counsel that the the period of
limitation would arise from the period when such public notice was issued.
10. In the present case, the Learned Senior Counsel points out that in
the Trade Notice No. 16 of 2018, dated 7-6-2018, the Director General of Foreign
Trade had clarified that in the writ petition filed before the Gujarat High Court, it
was clarified that not only bicycles, but also taps, Cocks and other items are eli-
gible for concession. That Judgment of the Gujarat High Court has also been
challenged before the Supreme Court by way of an appeal and the Hon'ble Su-
preme Court had also dismissed the same. A Review Petition of the appeal had
also been dismissed by the Hon'ble Supreme Court. Thereafter the 2nd respond-
ent had withdrawn the Trade Notice No. 11 of 2015, dated 14-12-2015 vide Trade
Notice No. 16 of 2018, dated 7-6-2018. By withdrawal of the Trade Notification,
the issue which is now to be decided is whether there has been inclusion or mod-
ification of the items. In the Trade Notification No. 11 of 2015, dated 14-12-2015,
the following items had been notified :
“Items of a kind used on Bicycles :
Taps, Cocks, Valves and similar appliances for pipes, Boiler Shells,
Tanks, vats or the like, including pressure reducing valves and thermostati-
cally controlled valves. ”
11. It has been stated that a representation had been received from the
exporters to extend the Foreign Trade Policy 2009-2014 for export of industrial
valves also.
12. The present petitioner is directly interested in the Focus Products
Scheme for export of valves. It must be noticed that the petitioner is not in the
manufacture of any item used in bicycles. They are involved with export of
valves. Therefore, when under the Trade Notice No. 11 of 2015, it had been stated
that there are no merits in claiming exemption for any other items apart from
items used on bicycle which Trade Notification had been clarified in Trade No-
tice No. 16 of 2018, dated 7-6-2018, the clarification actually clarifies the earlier
stand that valves and such other items were not eligible for concession by Trade
Notification No. 11 of 2015.
13. It is thus seen that there is an inclusion of valves and other items
which have been directly exported by the petitioner. Therefore, the petitioner can
take advantage of the Trade Notice No. 16 of 2018 and their period of limitation
would be within six months from 7-6-2018. These applications have been rejected
EXCISE LAW TIMES  1st July 2020  137