To
All Banks Authorised to Deal in Foreign Exchange
Madam / Sir,
Exim Bank’s Line of Credit of US$50.40
Million to the Fiji Sugar Corporation Ltd., Fiji Islands.
The Export-Import Bank of India (Exim Bank)
has concluded an agreement with the Fiji Sugar Corporation Ltd., Fiji Islands
making available to the latter a Line of Credit (LOC) upto an aggregate sum
of USD 50.40 Million (US Dollar Fifty million Four Hundred Thousand only). The
credit agreement has become effective on January 12, 2006. The credit is available
for financing exports from India of equipment, goods and services which are
eligible for export under the Foreign Trade Policy of the Government of India,
for modernization, upgradation and capacity expansion of Sugar Plants of the
Fiji Sugar Corporation Limited, in the Fiji Islands. Full details of the Line
of Credit are available at the Exim Bank’s office or its website (www.eximbankindia.com).
2. The terminal utilization period is 48
months from scheduled completion date of contract in case of project exports
and 72 months from the date of execution of the Credit Agreement in case of
other supply contracts.
3. Shipments under the credit will have to
be declared on GR/SDF Forms as per instructions issued from time to time.
4. No agency commission is payable under
the above line of credit. However, if required the exporter may use his own
resources or utilize balances of his EEFC account for payment of commission
in free foreign exchange. Authorised Dealer banks may allow such remittance
after realisation of full payment of contract value subject to compliance of
prevailing instructions on payment of agency commission.
5. Authorised Dealer banks may bring the
contents of this circular to the notice of their exporter constituents,
6. The directions contained in this circular
have been issued under Section 10 (4) and 11 (1) of the Foreign Exchange Management
Act, 1999 (42 of 1999) and is without prejudice to permissions/approvals, if
any, required under any other law.
Yours faithfully,
(M. Sebastian)
Chief General Manager