The SOP lays down the procedures for Military stores export for items listed at Appendix II and other than in the Appendix, and for purposes such as exhibition, testing and evaluation and participation in tenders.
Military stores have classified and aggregated under different tables based on their usage, and procedures outlined for various classes of equipment. A Committee under the Joint Secretary (DIP) with representatives of MEA, PIC Wing of MoD, concerned SHQ(s), DRDO and any other expert, will make recommendation on granting NOC for export of military stores in Appendix – II of SOP. The committee has to decide in a period of 15 days, failing which the case is forwarded to all members and a committee meeting called in the next 15 days. Should the committee not be able to decide, the case is forwarded to the Defence Exports Steering Committee (DESC), which is chaired by Secretary (Defence Production) for issue of NOC on a case to case basis.
Table A, enumerated in the SOP lists out equipment falling in more than one Chapter of ITC (HS) Classification. Those within the preview of Table A of the SOP do not require any licence but for a few items of ammunition. However, for dual use items exporters have been advised to consult SCOMET list for determining whether the item requires export license from DGFT. Items requiring End User Certifications (EUC) have also been indicated in the SOP.
For items not listed in Appendix II of the SOP, no consultation with various stake holders such as MEA, Service Headquarter concerned, DRDO or PIC Wing of MoD is required. However, if the export is intended to a negative list country, the MEA is asked to give comments within 15 days. The validity of NOC is for two years or completion of order, whichever is earlier and may be extended from time to time. The quantity exported in each consignment is endorsed on the original NOC.
In the case of export of military stores for exhibition purposes, applications are considered purely on a case-to-case basis, without insisting upon EUC from Government of End User/Ultimate End User Country/State. The procedure followed is generally on the same lines as for exports otherwise. Variations are explained in the SOP. Items will need to be imported back to India in six months and proof of import provided.
Export for the purpose of Testing and Evaluation has also been covered in the SOP. Item(s) would have to be imported back to India within a period of one year from the date of export or proof of destruction submitted in the next two months.
The procedure for in-principle approval for participation in Tender/RFP/NIT or for exploring export opportunities has also been covered in the SOP. The validity of the NOC is for a maximum of two years. Should the item be exported later and consultation with MEA has been taken while granting in principle approval, further reference to MEA may not be required. However, foreign policy and national security objectives may call for a review.
The SOP lays down a timeframe of four weeks for items in Appendix II and two weeks other than those in the appendix.
The formats of application for NOC to Department of Defence Production, Ministry of Defence, for export of Military Stores has also been reproduced in the SOP. Similarly, the formats for EUC and applying for NOC to Department of Defence Production, Ministry of Defence, for export of Military Stores for Exhibition Purposes have been provided. In addition, formats for export for participation in Tenders/NIT/RFP and for exploring opportunities have been made available thus making the SOP a composite document.
Read Document: SOP for Issue of NOC Export of Defence Stores