GOVERNMENT OF PAKISTAN
MINISTRY OF COMMERCE
NOTIFICATION
Islamabad, the 13th
August, 1990.
THE REGISTRATION OF EXPORT HOUSES ORDER, 1990.
S.R.O. 843(I)/90.- In exercise of the powers conferred
by sub-section (1) of section 3 of the Imports and Exports (Control) Act, 1950
(XXXIX of 1950), the Federal Goverment is pleased to make the following Order,
namely:-
1. Short
title and commencement.- (1) This Order may be called the Registration of
Export Houses Order, 1990.
(2)
It shall come into force at once.
2. Definitions.- In this
Order, unless there is anything repugnant in the subject or context,-
(a) "competent authority" means the committee referred to in paragraph 3;
(b) "display centre" means premises which are maintained for the purpose of exhibiting products of Pakistan with a view to promoting their sale but are not used as a regular retail outlet;
(c) "Export House" means a trading company registered as an Export House; and
(d) "Registered" means registered under this Order.
3. Authority
competent to register Export Houses.-
(1) For the purposes of this Order, there shall be constituted a
committee consisting of the Vice-Chairman of the Export Promotion Bureau who
shall be its Chairman, the Joint Secretary (External Finance) Ministry of
Finance, Government of Pakistan and the Director, Exchange Control Department,
State Bank of Pakistan.
(2) The Export Promotion Bureau shall function as
the Secretariat of the aforesaid committee.
4. Conditions
of eligibility for registration.- (1) An applicant for registration as an
Export House shall-
(a) be a trading company registered under the
Companies Ordinance, 1984 (XLVII of 1984);
(b) be registered as an exporter under the
Registration (Importers and Exporters) Order, 1993;
(c) have, or undertake to establish within a
specific period, an office abroad; and
(d) except as otherwise provided, have had an
export of not less than one million US dollars with export performance in at
least one product group during
the year immediately preceding the year in which the application is made;;
Explanation.- Omitted.
(2) Fruits and vegetables exports shall be
eligible for ten per cent wastage allowance.
(3) Any two or more exporters who having together
had during the year preceding to registration an export performance of not less
than $ 2 million, have formed a consortium and get them salves registered as a
trading company under the Companies Ordinance, 1984 (XLVII of 1984), and as an
exporter under the Importers and Exporter (Registration) Order, 1993, shall
also be eligible to apply for registration as an Export House.
(4) Earnings in foreign exchange on the following
accounts shall also be taken into account for ascertaining export performance
for the purposes of sub-paragraphs (1), (2) and (3), namely:-
(a) net earnings from erection charges,
consultancy fees and collaboration fees;
(b) royalties for books;
(c) net earnings from re-export or off-shore
trading; and
(d) such other items as the competent authority
may notify from time to time.
5. Application
form and fee, etc.- (1) An application for registration as an Export House
shall be made to the competent authority in the form annexed to this Order.
(2) The application shall be accompanied by a
bank draft for fifty thousand rupees drawn in favour of the President of the
Islamic Republic of Pakistan on account of registration fee and by the
following documents in triplicate, namely:-
(a) a statement showing direct exports made in
the preceding year duly supported by Bank Certificate of exports made and
export proceeds realized in the name of the applicant company or, in the case
of a company such as is referred to in sub-paragraph (3) of paragraph 4, in the
name of the constituent units;
(b) export
orders or export contracts received or made during the preceding year in the
name of the applicant company
or,
in the case of a company such as is referred to in sub-paragraph (3) of
paragraph4, in the name of the
constituent
units; and
(c) copies of arrangements made, if any, with
manufacturing units for the purpose of effecting exports on their behalf.
(3) The competent authority shall deposit the
bank draft received by it under sub-paragraph (2) with the State Bank of
Pakistan for credit to the Federal Revenues under the appropriate Head of
Account.
6. Grant of registration and its validity.- (1) The competent authority may grant the application
for registration made by an eligible applicant if it is satisfied that, having
regard to the following matters, the applicant deserves to be registered as an
Export House, namely:-
(a) managerial capacity, technical, financial and service resources, testing facilities and quality control arrangements available with the applicant; and
(b) operational plant of the applicatn and its ability to provide assistance to supporting manufacturers in availability of imported inputs and by way of technical aid.
(2) The registration of Export House shall
be valid for a period of one year and may, on appplication be renewed from year
to year, with payment of annual renewal fee of twenty-five thousand rupees
subject to satisfactory export-performance.
7. Export
by Export Houses.- After the expiry
of the first year of its registration every Export House shall export one or
two of its products under its brand name and five years of registration shall
export all its products under its brand name.
8. Facilities
available to Export Houses.- (1) In
addition to the normal facilities available for exports, an Export House shall
be entitled:-
(a) to
import against BMR facilites on behalf of individual importers or a group of
importers;
(b) to retain 5 per cent of their FOB foreign exchange earnings for the use for establishment and maintenance of offices abroad, publicity, product development, participation in trade fairs abroad, collection of commercial intelligence, market studies, adaptation of existing products to new markets cost of air tickets provided to foreign buyers who are invited to visit Pakistan and other promotional efforts;
Provided that retention of 5 per cent of FOB earnings for purposes listed above shall be subject to the condition that export performance of such export house includes 15 per cent of the net foreign exchange earnings from the products of supporting manufacturing units wich are not owned or controlled by the controlling interest of the export houses:
Provided
further that in case of export houses whose net foreign exchange earnings do
not include 15 per cent realisation from
the products of supporting manufacturing units, they shall be eligible for
retaining only 3 per cent of their foreign
earnings
for purposes mentioned in this sub-clause.
(c) the
Federal Government may allow the export houses to establish their own cargo
plane facilities or charter private cargo planes;
(d) the
Federal Government may grant subsidy from Export Market Development Fund in
freight for the export of non-traditional items like fruits, vegetables and cut
flowers; and
(e) the
Federal Government may allow issuance of distinctive passports, having up to
200 pages, to the Chairman and Managing Director of an Export House. The holder
of such passport will be entitled to use VIP lounges at national airports.
(2) The
competent authority may permit an Export House desiring to do so to set up
display centres abroad, including warehouses where necessary, and may allow
reasonable foreign exchange for the purpose.
9. Accounts and return to be maintained and
submitted.- An Export House shall
maintain proper accounts of imports and exports and submit to the competent
authority a pre-audit annual return and a statement of exports which shall
specify, inter-alia, the exports made on behalf of each supporting
manufacturer.
10. Cancellation or suspension of registration.- (1) The registration of an Export House
shall be liable to be cancelled or suspended for a specific period under the
orders of the competent authority if-
(a) the competent authority is satisfied that the registration has been obtained by misrepresentation of facts;
(b) the competent authority, on the complaint of a foreign buyer, finds the Export House to have committed a breach of contract or indulged in unfair trade practices;
(c) the Export House is found by the competent authority to have committed a violation of the import and export policy orders or exchange control regulations; or
(d) the Export House is found by the competent authority to have failed to discharge an export obligation undertaken by it or to fuirnish to the competent authority any return or information required by or under this order.
(2) No
order shall be made under sub-paragraph
(1) unless the concerned company has been given an opportunity to show cause
against the proposed action.
11. Appeal.- An company aggrived by the
decision of the competent authority under this Order may, within fifteen days
of the receipt of the decision, prefer an appeal to the Secretary, Ministry of
Commerce, Government of Pakistan.
12. Repeal.- The Registration of Export House
Order, 1981 (S.R.O. 1019(I)/81, dated the 14th September, 1981) is hereby
repealed.
M. NASEEM QURESHI
Joint Secretary
As amended
S.R.O._____(I)/96, - dated 26.05.1996
1. Name and address of the applicant.
2. Date of establishment of business under
present name.
3. Nature of the concern, whether public
limited or private limited (A copy of the Memorandum and article of
Association
shall be attached).
4. Name of the Directors.
5.
Details of Head Office, branches of
associate companies (Name and location)
(a)
In Pakistan.
(b)
Abroad.
6. No. and date of Certificate of Registration
as registered exporter.
7. G.I.R. No.
8. Whether merchant exporter or manufacturer
exporter.
9. If
manufacturer exporter, Industrial Licence No. and date.
10. Name and address of applicant's bankers.
11. Names and addresses of supporting
manufacturers (if such arrangement have been arrived at).
12. In case of renewal, No. and date of the last
Export House Certificate.
STATEMENT OF
EXPORTS DURING LAST THREE YEARS
(TO BE
CERTIFIED BY THE BANK)
_____________________________________________________________________________________________________
Year Description
of Names and address Relationship Destination FOB Date of realisation
items
exported of manufacturers of with manufac- of
exports value
goods
exported turing Co.
_____________________________________________________________________________________________________
DECLARATION
I/we
hereby declare that the particulars and statement made in the application are
true to the best of my/our knowledge and nothing has been concealed.
I/we
further declare that the FOB value of exports on the basis of which export
house certificates has been claimed in this statement are our direct exports.
The export/order the bank certificate, letter of credit and the invoice were in
our name. (If the invoice also mentions the name of the manufacturer of the
goods exported, this may be indicated). The FOB value shown in the statement is
exclusive of commission paid or payable.
Signature..........................................
Name.................................................
Designation......................................
Address---------------------------------
Dated________________ -------------------