All
Authorized Dealers
In Foreign Exchange,
Dear
Sirs,
IMPORTS
In terms
of Import Policy Order, 1994 issue by the Ministry of Commerce
vide their Notification No.SRO.736(I)/94 dated the 26th
July, 1994, the importers registered with the Export Promotion
Bureau under the provisions of Registration (Importers &
Exporters) Order, 1993, can make imports either by opening
letters of credit or by registering the indents/proforma
invoices or orders with the Authorized Dealers. As an exception
to the above general rule. Registered importers have been
permitted vide para 2.5(1) of the aforesaid Import Policy
Order, to make imports upto US$ 10,000 (or equivalent in
other currencies) without opening of letters of credit or
registering the indents/proforma invoices or orders with
the Authorized Dealers, and make remittances there against
through demand draft. The registered importers are free
to make remittances in respect of such imports either in
advance or after receipt of the goods in Pakistan. The remittances
can be made through demand draft/telegraphic transfer/mail
transfer. In case where the registered importers make advance
payment for such imports, they will be required to furnish
to the Authorized Dealer at the time of making a request
for remittance, an undertaking to produce invoices and bills
of lading/Airway bill within a period of four months from
the date of advance payment. The Authorized Dealers will
pursue the matter with the importers and report those cases
to the area foreign exchange office where the requisite
document are not produced within the prescribed time limit.
In cases where remittances are made after receipt of goods
in Pakistan, the registered importers can approach the Authorized
Dealers for remittance on the basis of invoices and original
bills of lading or Airway bill. The Authorized Dealers have
our general permission to make advance payments or arrange
remittances against the prescribed documents on receipt
of goods in Pakistan.
2. Attention
is also invited to para 4 of F.E. Circular
No. 60 dated the 11th August, 1994. The third
sentence "The Import Policy Order further ------- un-utilized
value of letters of credit" may be recast as under:-
"The
Import Policy Order further empowers the Authorized Dealers
to extend the letters of credit beyond the initial period
of 12/24 months mentioned above for a further period of
24 months/36 months in case of items other than machinery/mill
work and ‘machinery and mill work’ respectively
provided request for revalidation is made before the expiry
of initial period of 12/24 months or the extended validity
period, on payment of revalidation charges @ 0.25% for
each 6 monthly period on the un-utilized valued of letter
of credit".
3. The date
of F.E. Circular No.100 mentioned as 21st December,
1993 in F.E. Circular No. 60 of 1994 may be changed to 21st
December, 1992.
4. Please
bring the above to the notice of your constituents.
