On January 23, 2023, the DGFT published Policy Circular No. 45/2015-20, which clarified the implementation of the Paper Import Monitoring System (or “PIMS”).
Numerous requests for clarification regarding the applicability of the aforementioned Notification dated May 25, 2022 in certain circumstances have been made to DGFT by commerce and industry. The Department of Commerce (DOC) and Department for Promotion of Industry and Internal Trade have reviewed the issue (DPIIT). As a result, the following list of issues and responses is provided:
- There are no small volume/high value commodities in paper where air freight is appropriate. Therefore, regardless of the mode of transportation, registration under PIMS will be required.
- Regardless of amount, import consignments of samples FOB valued at Rs. 10,000 or more are excluded from the PIMS registration requirement.
- Paper product imports must be registered under PIMS regardless of their intended use because they are not low volume/high value items.
- All imported paper products that have been notified must be registered under PIMS. According to Paragraph 2.58 of the Foreign Trade Policy, however, exemption from PIMS may be taken into account for non-commercial import under common IECS by individuals and government entities on a case-by-case basis.
