Guide on SCOMET items Export License in India– SCOMET Product Categories

Guide on SCOMET items Export License in India– SCOMET Product Categories

SCOMET License for Export Items, Validity, Procedure, Fees

Exports of certain commodities may require special approval or license. SCOMET lists down a few such items. SCOMET is an acronym for Special Chemicals, Organisms, Materials, Equipment, and Technology that has both civilian and military use. Therefore, the export of these items is regulated by India’s Foreign Trade Policy. The exporter of these items must obtain a license from the Director General of Foreign Trade under the Ministry of Commerce. What are the categories of products under the SCOMET list, who are the issuing authorities, and why the SCOMET Exports License is mandatory to export SCOMET Items? Let us find out!

The SCOMET items are stated in Appendix 3 of Schedule 2 of the ITC (HS). The product listed under SCOMET are items that are mandated to obtain a SCOMET license from the DGFT Head Quarter or the National Authorities.

Products Listed Under SCOMET License

Following are the 9 categories of products under the SCOMET List:

  • Category 0: Nuclear material, technology, equipment, and nuclear-related other materials
  • Category 1: Toxic chemical agent and other chemicals.
  • Category 2: Microorganisms and toxins.
  • Category 3: Material, Materials Processing Equipment, and other technologies related to the material.
  • Category 4: Nuclear-related equipment, test, and production types of equipment; components and assemblies of nuclear; and related technology, not controlled under Category 0.
  • Category 5: Aerospace system, equipment including test and production types of equipment, related technology, and specially designed components and accessories.
  • Category 6: Munitions List
  • Category 7: Reserved
  • Category 8: Special Materials and Related Types of equipment, Electronics, Computers, Material Processing, Sensors, Information Security, Avionics, Telecommunications and Lasers, Aerospace Navigation, Marine, and Propulsion.

SCOMET License items Export Control Licensing Agencies

SCOMET items authorizations are issued by the following three agencies i.e. Directorate General of Foreign Trade (DGFT), the Department of Defence Production (DDP), and the Department of Atomic Energy (DAE). 

Here, DGFT has the authority to issue SCOMET licenses for categories 1, 2, 3, 4, 5, 7, and 8. The DDP can issue the license for category 6 and DAE can issue it for Category 0. 

Why is the SCOMET License mandatory to export SCOMET items?

The export-import industry along with the government of India has a responsibility to ensure that exports are not accessed by terrorist groups, non-state actors, and proliferators. Any export that lands in the wrong hands can have implications on our national security and can create a negative image in the international market. SCOMET is a significant step to identify such concerns. 

Further, International supply chains are interconnected our Import-Export partners would like to be guaranteed that India’s regulations are measured with the highest standards. Adoption of these Indian regulations is expected to act as an enabler for a greater role for the Indian industry in global supply chains for high technology, strategic sector items, and value-added items.

Validity of SCOMET License

SCOMET license is valid for a period of 24 months. However, it can be extended for a period of 6 months and the maximum extension that can be provided is up to 1 year through revalidation by the DGFT regional office after the approval of the DGFT headquarters.

What if the SCOMET products list is exported without having a SCOMET License?

  • IEC Suspension
  • Imprisonment for a period of at least 5 years, which may extend to lifetime imprisonment along with a fine. 
  • Fine of minimum INR 3 Lakhs which may extend up to INR 20 Lakhs or five times the value of the items exported. 

Following was a detailed analysis of the SCOMET license in India. In case you need any assistance in obtaining a SCOMET license, feel free to contact the ASC Group.

 

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Rinku

Can you help me in obtaining SCOMET Licence for exporting my product? Please guide the process.

ASC Group

Thanks Rinku, To know more call us

Shivam Tiwari

Very well explanation on SCOMET lisence.

ASC Group

Thanks

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