O may seek prior permission of Reserve Bank for investment in sole proprietorship concerns/ partnership firms with repatriation benefits. A person resident outside India other than NRIs/PIO may make an application and seek prior approval of Reserve bank for making investment by way of contribution to the capital of a firm or a proprietorship concern or any association of persons in India. Turning to the business of your interest, 100% FDI is permitted in Hotel and Tourism sector under automatic approval route. The term hotels include restaurants, beach resorts and other tourist complexes providing accommodation and/ or catering and food facilities to tourists. Tourism related industry include travel agencies, tour operating agencies and tourist transport operating agencies, units providing facilities for cultural, adventure and wild life experience to tourists, surface, air and water transport facilities to tourists, leisure, entertainment, amusement, sports and health units for tourists and Convention/Seminar units and organisations. For necessary authority in this regard, you may refer to RBI Master Circular no. 05/2005-06 dated 1.7.2005. You may also refer to Annexure B to Schedule I of FEMA Notification No. FEMA 20 /2000-RB dated May 3, 2000 (as amended vide Notification No. FEMA 94/2003-RB dated June 18, 2003) for details regarding sectoral caps. For further details you may visit the relevant sections in the websites rbi.org.in or download the Manual on FDI from the website dipp.nic.in We are manufacturers of plastic goods & wish to import some raw materials from Pakistan via Wagah border. The import of these raw materials is allowed under O.G.L. Please advise if imports through the Wagah border are allowable and if any precautions required. I am not aware of any legal hurdles in regard to imports through Wagah border. As regards any logistics or practical difficulties at the ground level, I suggest that you may contact any of the customs house agents who are dealing with imports through the Wagah border. We had exported certain goods which the customers rejected but agreed to take back after repairs. So, we have re-imported the exported goods. As per custom notification no. 158/95 dated 14-11-95, we can clear the re-imported goods without duty payment but we have to repair and re-export the goods within six months from the date of importation. Please inform when the six months time limit will start - from date of filing the re-import bill of entry or date of clearance of goods by the customs? As per CBEC Circular no. 14/1997-Cus. dated 03.06.1997, time period of six months, as stipulated in the said notification, for the purpose of re- export, is to be calculated from the date of actual clearance of the goods and not from the date of filing of Bill of Entry. From now on SME-related queries will appear every Wednesday on the Accent Pages. TNC Rajagopalan will answer questions from readers on SME-related issues pertaining on taxes, exim policies or registrations/reservations, etc. Due to a technical glitch, the ID smequeries@business-standard.com was not receiving mails. The error has been rectified and readers can now send mails.
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