{"id":41322,"date":"2022-03-22T12:15:47","date_gmt":"2022-03-22T06:45:47","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=41322"},"modified":"2022-03-22T12:19:12","modified_gmt":"2022-03-22T06:49:12","slug":"scomet-items-export-legalities","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/scomet-items-export-legalities\/","title":{"rendered":"SCOMET Items Export Legalities: A Complete Overview"},"content":{"rendered":"\n<p class=\"has-drop-cap\">SCOMET is an abbreviation for Special Chemicals, Organisms, Materials, Equipment, and Technologies. SCOMET products are dual-use items that can be utilized for civilians as well as military applications. India&#8217;s FTP governs the exportation of items failing under the SCOMET list. The exporter is required to secure a license from DGFT, i.e. Directorate General of Foreign Trade, to ship SCOMET items abroad. <\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/scomet-items-export-legalities\/#SCOMET_Items_Categories\" >SCOMET Items Categories<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/scomet-items-export-legalities\/#Authorization_for_exporting_SCOMET_items\" >Authorization for exporting SCOMET items<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/scomet-items-export-legalities\/#An_Overview_on_Licensing_Authority\" >An Overview on Licensing Authority<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/scomet-items-export-legalities\/#SCOMET_Export_License_Validity\" >SCOMET Export License Validity<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/scomet-items-export-legalities\/#Mandatory_documentation_required_for_securing_a_license_for_exporting_SCOMET_Items\" >Mandatory documentation required for securing a license for exporting\nSCOMET Items<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/corpbiz.io\/learning\/scomet-items-export-legalities\/#Step_by_Step_Application_Procedure\" >Step by Step Application Procedure<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/corpbiz.io\/learning\/scomet-items-export-legalities\/#Factors_to_be_considered_during_applications_evaluation\" >Factors to be considered during application\u2019s evaluation<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/corpbiz.io\/learning\/scomet-items-export-legalities\/#Grant_of_License\" >Grant of License<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/corpbiz.io\/learning\/scomet-items-export-legalities\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"SCOMET_Items_Categories\"><\/span>SCOMET Items Categories<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Below are the eight categories of SCOMET products: <\/p>\n\n\n\n<p><strong><em>Category 0:<\/em><\/strong> Nuclear material, technology, equipment,\n&amp; nuclear-related other materials<\/p>\n\n\n\n<p><strong><em>Category 1:<\/em><\/strong> Toxic chemical agent as well as other\nchemicals.<\/p>\n\n\n\n<p><strong><em>Category 2:<\/em><\/strong> Micro-organism &amp; toxin.<\/p>\n\n\n\n<p><strong><em>Category 3:<\/em><\/strong> Material, Materials Processing machines,\n&amp; other material related technologies.<\/p>\n\n\n\n<p><strong><em>Category 4:<\/em><\/strong> Nuclear-related machines or equipment\ntest &amp; production oriented equipment; assemblies &amp; components of\nnuclear; &amp; related technology, not controlled under Category 0.<\/p>\n\n\n\n<p><strong><em>Category 5:<\/em><\/strong> Aerospace system, equipment plus\nproductions &amp; test types of equipment, allied technology &amp; specially\ndesigned component. <\/p>\n\n\n\n<p><strong><em>Category 6:<\/em><\/strong> Munitions List<\/p>\n\n\n\n<p><strong><em>Category 7:<\/em><\/strong> Electronic, Computers, and IT, including\ninformation security.<\/p>\n\n\n\n<p><strong><em>Category 8:<\/em><\/strong> Special Materials as well as Related\nTypes of equipment, Computers, Electronics, Information Security, Material\nProcessing, Telecommunications and Lasers, Sensors, Marine, Avionics, Aerospace\nNavigation and Propulsion.<\/p>\n\n\n\n<p><strong>Note:<\/strong> Each category entails a comprehensive list of items\nencompassed and special conditions are also covering each category. <\/p>\n\n\n\n<p>The comprehensive detail of SCOMET items\nis covered under Appendix 3 of Schedule 2 of ITC (HS) &amp; visit the DGFT\nportal to get more information on the SCOMET items. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Authorization_for_exporting_SCOMET_items\"><\/span>Authorization for exporting SCOMET items<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Every registered exporter needs to submit\na prescribed application for the grant of Export Authorization to the online\nportal of DGFT. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Export of SCOMET items for Exhibition<\/h3>\n\n\n\n<p>License for exporting such items (except those enlisted under Category 0,1 and 2) solely for Exhibition or display will not require any end-user certifications or endues. The export license shall not be granted for the Exhibition of &#8216;Technology&#8217; in any items enlisted in Categories 0, 1, and 2<\/p>\n\n\n\n<p>License for exporting such products for Exhibition abroad is subject to a requirement of re-import within six months. The traders are required to apply for an <a href=\"https:\/\/corpbiz.io\/iec-registration\"><strong>export license<\/strong><\/a> in case the exhibitor wishes to sell the item during the Exhibition abroad.<\/p>\n\n\n\n<p>Such a sale of SCOMET items cannot come\nto effect without a valid license.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Export of SCOMET Items from DTA to SEZ<\/h3>\n\n\n\n<p>The said  items can supply from DTA, i.e. Domestic Tariff Area to SEZ, i.e. Special economic zone, without authorization. But, the suppliers are required to disclose all supplies of SCOMET items from DTA to SPZ to the Development Commissioner of the concerned SEZ. <\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Exporting of SCOMET products via SEZ to any Other Country<\/h3>\n\n\n\n<p>Export authorization serves as a mandate for exporting of SCOMET products from SEZ to another nation<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"An_Overview_on_Licensing_Authority\"><\/span>An Overview on Licensing Authority<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ul><li><strong><em>Directorate\nGeneral of Foreign Trade<\/em><\/strong>,\ni.e. DGST grants license for exporting items cited under Categories 1, 2, 3, 4,\n5, 7 &amp; 8 of the SCOMET list.<\/li><li><strong><em>Department\nof Atomic Energy<\/em><\/strong>\nserves as a prime authority for granting licenses for items enlisted in\nCategory 0<\/li><li><strong><em>Department\nof Defence Production<\/em><\/strong>\nacts as frontline authority for granting permission to export items covered\nunder Category 6 of the SCOMET list. <\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"SCOMET_Export_License_Validity\"><\/span>SCOMET Export License Validity<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>24 months is the max validity of the\nexport license. However, it can be further extended for six months and max upto\none year via a revalidation process conducted by the DGFT regional office<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Mandatory_documentation_required_for_securing_a_license_for_exporting_SCOMET_Items\"><\/span>Mandatory documentation required for securing a license for exporting\nSCOMET Items<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Following are the mandatory documentation\nthat one needs to upload while making an application for SCOMET Authorization:<\/p>\n\n\n\n<p>End Use-cum-End User Certificate (EUC)\nfrom all the entities engaged with the supply of the items (the applicant must\nprovide EUC on the letterhead enclosing the signature of the authorized\nsignatory)<\/p>\n\n\n\n<ul><li>Purchase orders relating to the supply chain of the products<\/li><li>Aayat Niryat Form (ANF)-1<\/li><li>Detailed technical specs regarding said item of export<\/li><li>Supply contract document (In case of massive paperwork, the relevant portion comprising the contract reference and parties engaged with the contract can be provided) <\/li><li>DGFT authorization letter relating to the SCOMET items. <\/li><li>The physical copy of the underneath documentations must be submitted to the DGFT Head Quarters:<\/li><li>End Use-cum-End User Certificate (EUC) (True Copy) <\/li><li>Bills of Entry into the destination nation for SCOMET items shipped during the last one year. <\/li><\/ul>\n\n\n\n<p><strong><em>Specified format relating to the End User\nCertificate (EUC)<\/em><\/strong><\/p>\n\n\n\n<p>Depending on the product&#8217;s type and the\nauthorization, the exporter should use a specific format of EUC as mentioned in\nthe Handbook of Procedures.<\/p>\n\n\n\n<ul><li>Appendix-\n2S (i) \u2013 For exporting SCOMET items covered under Categories 2,3,4,5,7, and 8<\/li><li>Appendix-\n2S (ii) \u2013 for applying a Specific SCOMET authorization for the shipping SCOMET\nitems enlisted Category 1<\/li><li>Appendix-\n2S (iii) \u2013 to apply for &#8216;Stock and Sale&#8217; SCOMET authorization for the\nexportation of all SCOMET items<\/li><li>End-user\nCertificate from the overseas buyer, if different from the End User.<\/li><li>End-User\nCertificate from the Consignee, if different from the end-user and overseas\nbuyer<\/li><li>End-User\nCertificate, i.e. EUC from the Other intermediaries, if any<\/li><li>EUC\nfrom overseas buyers, Consignee &amp; End User should showcase the logical flow\nof items.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Step_by_Step_Application_Procedure\"><\/span>Step by Step Application Procedure<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ol><li>Visit the DGFT portal and complete the\nlogin formalities. <\/li><li>From the service tab, select the ECOM\noption.<\/li><li>On the new page, i.e. ECOM application\nmodule, select the SCOMET Application Module. <\/li><li>Wait for a message box to appear on the\nscreen. The message box shall reflect the 20 digit ECOM Reference number.<\/li><li>Click Ok to proceed further.<\/li><li>Provide the Business details, shipping\ndetail, purpose of export, etc.<\/li><li>Opt for the respective Jurisdictional\nRegional Authority via the dropdown box.<\/li><li>In\nthe itemitem of the Export section, fill out the detail of the SCOMET category,\nITC (HS) code, SCOMET Item Number, item description. <\/li><\/ol>\n\n\n\n<p>Note: In case the exportation Repeat Basis in the same year for the same itemitem, the same end-use has been already applied, then put the checkmark in the repeated basis checkbox and render the file number along with license number, quantity permissible for exportation and number of items exported. After submitting aforesaid details, the applicant needs to render the detail of the overseas buyer and consignee:<\/p>\n\n\n\n<ol><li>Next, provide the Bank Details, Bank\naddress of the destination Country, Account number of the International Bank,\nthe SWIFT Code, and the IFSC Code.<\/li><li>After submitting such details, exporters\nneed to click on the declaration tab and fill out detail like Name, Official\nAddress, and Telephone details.<\/li><li>Next,\nsubmit the documentation as mentioned above. <\/li><\/ol>\n\n\n\n<p>After application submission, the\nprocessing phase initiates under which <em>Inter-Ministerial Working Group\n(IMWG) will <\/em>consider all requests for the exportation of SCOMET items on\nmerits. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Factors_to_be_considered_during_applications_evaluation\"><\/span>Factors to be considered during application\u2019s evaluation<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong><em>The given factors shall be taken into\naccount for the application&#8217;s evaluation. <\/em><\/strong><\/p>\n\n\n\n<ul><li>End-user&#8217;s\ncredentials, the credibility of declarations regarding the proposed use of the\nitemitem, integrity of the supply of SCOMET item via supplier to end-user, and\nthe purpose of itemitem or technology<\/li><li>The\nassessed risk that exportable products shall fall into the hands of terrorist\ngroups, and non-State actor<\/li><li>Control\nmeasures relating to export instituted by recipient State<\/li><li>The\nobjectives and capabilities of programs of recipient State regarding weapons\nand the delivery<\/li><li>Assessment\nof end-users of item<\/li><li>Applicability\nto the export license application of the concerned agreement to which India\nserves as a party<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Grant_of_License\"><\/span>Grant of License<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Once the Inter-Ministerial Working Group approves the request, a consent letter shall be granted to the applicant to secure SCOMET export authorization from the respective <strong>DGFT&#8217;s office<\/strong><sup><a href=\"https:\/\/www.dgft.gov.in\/CP\/\"><strong>[1]<\/strong><\/a><\/sup>. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>SCOMET export authorization serves as a mandatory requirement for every exporter intending to ship SCOMET products outside India. As you can see, the legalities around the export of SCOMET items are pretty complex and tedious. Thus, it is advisable to get in touch with a subject matter expert or a professional firm like Corpbiz to address these legalities.<\/p>\n\n\n\n<p class=\"text-left\"><b>Read our Article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/rodtep-scheme\/\">RoDTEP Scheme: Everything You Needs to Know\n\n<\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>SCOMET is an abbreviation for Special Chemicals, Organisms, Materials, Equipment, and Technologies. SCOMET products are dual-use items that can be utilized for civilians as well as military applications. India&#8217;s FTP governs the exportation of items failing under the SCOMET list. The exporter is required to secure a license from DGFT, i.e. Directorate General of Foreign [&hellip;]<\/p>\n","protected":false},"author":22,"featured_media":41338,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[165],"tags":[2192],"acf":{"service_id":"16"},"authorName":"Pankaj Tyagi","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2022\/01\/MicrosoftTeams-image-42.jpg","authorDescription":"Pankaj has a diverse experience of writing research papers, blog, and articles during his college time. Earlier, he was working as a tax consultant in a financial firm, but his interest in writing drives him to pursue a career in the writing field.","postViews":7166,"readingTime":5,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/41322"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/22"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=41322"}],"version-history":[{"count":16,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/41322\/revisions"}],"predecessor-version":[{"id":41343,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/41322\/revisions\/41343"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/41338"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=41322"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=41322"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=41322"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}