The Head/Principal Offices of all

Authorized Dealers in Foreign Exchange

Dear Sirs/Madam,

IMPORT OF CEMENT AND DISBURSEMENT OF FREIGHT SUBSIDY

Attention of the Authorized Dealers is invited to FE Circular No. 05 dated May 9, 2006 in terms of which freight subsidy of Rs. 60/- per 50 Kg bag on imported cement from all countries was allowed.

Ministry of Industries, Production and Special Initiatives vide Notification No. 2(1)/2003-P&I-II dated 20th December, 2006 has withdrawn the freight subsidy of Rs. 60/- per 50 KG bag on imported cement with immediate effect as per decision of the ECC of the Cabinet in case No. ECC-195/12/2006 dated 6.12.2006. However, this facility will remain applicable on the LCs already opened. Copy of Ministry’s Notification is enclosed.

Authorized Dealers are advised to bring the above to the notice of their constituents.