Import of machinery spare-parts from India allowed

The government has allowed the import of spare-parts of machinery items from India which were already in the positive list along with pharmaceutical raw materials and packing materials, sources in commerce ministry told Business Recorder.
While advocating the case, the commerce ministry in the Trade Policy 2005-06 argued that certain machinery items were allowed for import from India but the import of their spare-parts was prohibited.
Circular knitting machines, machinery for tobacco industry, air pumps, vacuum pumps, air/gas compressors, rice parboiling plants, filtering/purifying machinery, sewing machines (industrial) were cited as some of the instances in this regard.
Sources in the commerce ministry was of the view that the industrial units face long delays in re-starting their operation due to non-availability of the parts, resulting in production losses.
Regarding import of pharmaceutical raw materials and packing materials from India, the commerce ministry, in its proposal, said that these items were being imported by virtue of their inclusion in CBR''s SRO No 372(1) 2000 and 211(1) 2002 for the manufacturers approved by the Director General, Ministry of Health under the Drug Act, 1976.
According to commerce ministry, the SRO is part of the Appendix ''C'' of the Import Policy, but since the said SROs have been rescinded in the wake of overall tariff rationalisation, there was a need to amend the import regime to facilitate import of raw materials and packing materials from India.
The health ministry, however, has suggested following amendments in the relevant provisions of import policy:
"All pharmaceutical raw materials (except basic raw materials manufactured locally) and packing materials imported by valid drug manufacturers in whose name the raw material (drug) is registered and having drug import licence."
The commerce ministry, in its summary on trade policy, had suggested that the policy be amended accordingly so that import of pharmaceutical raw materials and packing materials may continue from India because of cancellation of SROs of these products lost improbability status. It will not entail addition of any more items.
Sources said the federal cabinet approved both the proposals of the commerce ministry without any amendment.