INFAC

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Important note: This article is a part of the project, Products of Sri Lanka Customs.

INFAC stands for Investor Facilitation Unit. It is under Bonds Directorate. INFAC unit is introduced to facilitate investors in non BOI sector who are doing imports and exports on garment field. (BOI companies are handled by BOI and CBCU while non-garment companies are handled by the TIEP scheme.)

INFAC main office is located in the Hemas building. Two other offices are located at AC VU Katunayake and GCVT Orugodawatta.


Basic Process

  1. Obtaining the approvals needed for the registration. (see approvals)
  2. Request for INFAC registration.
  3. Direct imports, local purchases or transfers can be done under IM5.
  4. Send the cargo for the panel examination.
  5. Do the manufacturing or the value addition.
  6. Send the cargo for the panel examination.
  7. Finished garments must be exported with EX3.

Panel Examination

All imports and exports are subjected to panel examination at INFAC unit located at Grayline Container Verification Terminal (GCVT) at Orugodawatta and in the respective warehouse.

Process of Passing CusDec

  1. Key-in at Hemas Building
  2. Appraising at Bonds Division
  3. Satisfying at Bonds Division
  4. Making the payment and account updating at Bonds Division
  5. Channel selection at Bonds Division
  6. Detaching the Warrant Copy and CBD copy (for imports) at Bonds Division
  7. Examination at Grayline Container Verification Terminal (GCVT), Orugodawatta

Terms

  1. Duties and other levies are exempted for importation of raw materials. (including VAT)
  2. Only VAT, PAL and NBT are payable for machinery and parts imported under INFAC scheme.
  3. No guarantees required.
  4. All duties must be clearly and correctly shown in the CusDecs even though they are not paid.
  5. Consignee or the company should be able to tally export quantities of garments against their imports.
  6. Consignee or the company should be able to produce a summary of imports and exports details at any given time by Customs, Ministry or any other authority.

Units of Measurement

Imports
Kilograms, Mtrs, Pcs, Grosses, Dozens
Exports
Number of pieces. (Except for baby garments)

Customs Procedure Codes

Procedure Code and Extended Procedure Code for Importing Raw Materials
51XX-046
where XX = 00 for direct imports, 52 from BOI, 72 from bond
Procedure Code and Extended Procedure Code for Importing Machinery
5100-710
Procedure Code and Extended Procedure Code for Exporting Finished Garments
3051-100

Approvals

Any company who wishes to operate under INFAC has to obtain the approval from,

  1. Ministry of Textile Industry Development
  2. Textile Quota Board
  3. Export Development Board

The approval should be renewed annually.

On completion of approval every company receives a program code starting from 5100____. Last 3 digits of the program code is the INFAC registration serial number.

The company also receives Customs Deferred payment unit registration number CPD/YEAR/___. Last 3 digits of this number is the INFAC registration serial number of that year.

Documentation

Documents Required to Produce at the INFAC Registration

  1. Covering Letter.
  2. Approved project by Ministry of Textile Industry Development.
  3. Approval given by Textile Quota Board.
  4. EDB registration.
  5. Business registration.
  6. VAT certificate.
  7. TIN certificate.
  8. Director’s NICs and passports.

Documents Required to Produce at the INFAC Renewal

Self-prepared import and export report and the documents mentioned in the registration.

Applicable Charges

For each entry,
Computer fee is Rs.250
For LCL entries,
examination fee is Rs.300
For FCL entries,
Seal charge is Rs.100 and examination fee is Rs.100




--Gishan Chaturanga 20:17, 10 July 2012 (IST)