The Directorate General of Foreign Trade vide circular dated 5th July, 2022 has issued clarification regarding applicability of Paper Import Monitoring System (PIMS) at the time of import at Special Economic Zone (SEZ)/Foreign Trade and Warehousing Zone(FTWZ) /Export Oriented Units and further import into Domestic Tariff Area.
It is clarified that PIMS Registration shall be required at the point of import by a Unit in SEZ/FTWZ or at the time of import by an EOU of the items covered under PIMS.
DGFT has further clarified that PIMS Registration shall not be required by the DTA Unit at the time of Customs Clearance from the SEZ/FTWZ/EOU to DTA if no processing has taken place of the item of paper that has already been registered under PIMS at the time of entry into a SEZ/FTWZ/EOU. However, if processing has taken place in the SEZ/FTWZ/EOU with change in HS Code at 8-Digit level, then the importer in DTA will require to register under PIMS, if the processed item falls under any of the tariff lines covered under PIMS.
