Target Plus Scheme –Entitlement of Duty Credit

No.14/005/106/2006                                                                                              June 16, 2006

Members of the Council,

Dear Members,

Sub: Target Plus Scheme –Entitlement of Duty Credit

As members are aware, the Target Plus Scheme was introduced in the Foreign Trade Policy 2004-09 which was announced on 31st March 2004.

Under the Target Plus Scheme, all Star Export Houses (status holders) who have achieved a minimum export turnover in free foreign exchange of Rs.10 Crore with percentage incremental export growth of 20% and above were eligible for duty credit entitlement. The relevant paragraph No.3.7.3 concerning duty credit entitlement is reproduced below for ready reference. 

Para 3.7.3 – Foreign Trade Policy 2004-09

Entitlement

The entitlement under this scheme would be contingent on the percentage incremental growth in FOB value of exports in the current year over the previous year, as under:

In this regard, the DGFT has now issued Notification No.08 (RE-2006)/2004-2009 dated 12th June 2006, making amendments in Target Plus Scheme for the export effected during 1.4.2005 to 31.3.2006. By virtue of which the duty credit entitlement shall be uniformly 5% of the incremental growth for all status holders.

Accordingly, the table mentioned above in Para 3.7.3 has been deleted.

A copy of the said DGFT Notification is enclosed herewith for ready reference and necessary guidance.

Member-exporters who are status holders may please note and avail the benefit under Target Plus Scheme in respect of export effected from 1.4.2005 to 31.3.2006.

As stated earlier in the Council’s Circular dated 12th June 2006, the Target Plus Sdheme stands abolished with effect from 1st April 2006 in terms of DGFT Notification No. 57(RE-2005)/2004-09 dated 31st March 2006.

Thanking you,
Yours faithfully

K Abdul Sattar Khan
Asst Director

DGFT Notification No. 57(RE-2005)/2004-09