In this article, Lavanya Verma deals with legal frameworks regarding export and import of aircraft or its parts.

Licensing, registration and other legal requirements for export and import of aircraft or parts

• The enormous expansion of the aviation industry had attracted huge amounts of aviation spares movement’s in the keep of the mammoth industry serving every institution of global trade. There is a need to apprehend the extent of relaxations manifested by the government of India upon the aviation industry.
• The Central Government is empowered under Section 5 of the Aircraft Act 1934, to make rules regulating the export/import of an aircraft in view of securing the safety of the operation.
• The Civil Aviation Requirements as laid down by the office of the director general of Civil Aviation also describes procedure for re-import and export into India aircraft and spares/items of equipment after repair, maintenance or overhaul etc.
• In spite of the removal of restrictions on the repaired/reconditioned aircraft spares by the Indian Government, it is still mandatory to certify parts as aviation parts/spares for claiming notification benefits. Parts other than those of aircraft are governed by the rules and regulations for imports and exports.
• Whereas the procedure for re-import/export of non-aviation and aircraft parts still remains the same as for the regular re-import/export shipment subjected to establishing/identification of products with such documents.
• Only the parts of specified products which are exported for upgrade or repair or any other activity related to the enhanced technology can be imported without any license, must go through re-import clearance formality process of identification of exported goods from India.

This brief deals with the import/export rules and regulations, process, various precautious measures to be followed, from import/export documentation to actual import/export of the parts of Aircraft, spacecraft.

Registration to act as an Exporter/Importer

• To act as and become an exporter/importer requires a government registration. The foreign trade government office of the corresponding country is empowered to issue such authorization to become an import/export trader.  
• IEC or the Import Export code number is to be obtained in India from the office of the Director General of Foreign Trade Office to be entitled to be an exporter or importer on the Indian Territory. Registration requisites followed to be an exporter/importer is a one-time procedure requiring renewal based on the terms and conditions of the corresponding trade office of a country.  
• Majority of the countries have linked the information of registration of exporter-importer to the reserve banks and customs location in verge of digitalization. Hence, the export-import tradesmen dealing with aircraft, spacecraft and the spares/parts involved are also necessitated to knock doors of the corresponding government agencies of their importing country for verifying the mandate of the completion of the onetime registration process.

Export/Import Procedures

• According to the mutual agreements and contracts of discrete buyers and sellers, the export/import shipment is carried on. Quality specifications, pricing, mode of transport, terms of delivery, terms of payment and various other terms and conditions are agreed and mentioned, both in the purchase order and the export/import shipment document of the Aircraft, Spacecraft, and parts thereof is effected consequently.
• As under any exportation or importation of goods, the important export/import documentation and the process of customs clearance at exporting/importing nation are to be facilitated either by the exporter/importer directly or through the customs broker in accordance with the foreign trade policy of that very exporting/importing nation.
• Entry documents along accompanied by the carrier’s document (Airway bill/Bill of Lading), packing list, commercial invoice, certificate of origin, etc. Are the documents to be necessarily filled as part of completion of the export and import procedure and receiving delivery thereof of the goods as classified under the category of Aircraft, Spacecraft, and parts.
• Currently, important information is filed online and the required documents are produced only at the times of inspection, delivery or assessment of the exports/imports of goods at destined custom locations. The global partners belonging to various countries share essential quality measures amongst one another to get exempted from multiple inspections of the same items both for import and export.
• Yet, according to the policies of maximum developed countries export and import of aircraft or its parts from the (LDCs) i.e. Least Developed Countries ought to be certified by the authorised agencies before trade. Thus, if any export or import of Aircraft, Spacecraft and their parts occurs, the corresponding details of these information is easily obtained from the notes government agencies of importing or exporting countries.

HTS Code

The traders dealing in export and import of aircraft or parts of spacecraft must know the HTS code or the HS code i.e. the Harmonized system of coding of their trade product. Parts of Aircraft and parts of Spacecraft fall under HTS code/HS code chapter 88. In India, these aviation parts and spare products are categorised under ITC code (Indian Tariff Code) Chapter 88.

Certificate of Origin                            

In almost all countries the source of origin of the very exported/imported items of Aircraft, Spacecraft, and Parts is a must. Hence, the issued certificate of origin assists in determining the originality of the exported/imported products for availing exemption custom duties and levied taxes.

Distinct unilateral, bilateral and multilateral agreements among countries also authorize imports and exports with an exemption of import duties wherein Certificate of Origin is the basic proof on the point of country of origin for importing goods under Aircraft, Spacecraft, and Parts Thereof.

Importation agreements on Aircraft, Spacecraft, and Parts Thereof 

The countries may have bilateral, multilateral and unilateral agreements each other which exempt rates of import/export tax and duties and documentation. The importers/exporters have to collect precise information from noted government agencies prior to import/export of Aircraft, Spacecraft, and Parts Thereof.

Restriction to import

Few items are prohibited to import/export in certain countries based on their distinct and independent foreign trade policy on exports/imports. Hence, importer/exporter can cross check the requisites of export/import of their items before placing/taking order with overseas buyer/seller.

Prohibition on Export/Import of Aircraft or parts

Few items are prohibited from the export/import in some countries according to their foreign trade policy on exports/imports. Hence, importer/exporter can cross check the requisites of export/import of their items before placing/taking order with overseas buyer/seller.

Conclusion

This very article deals with the formalities, process, and documentation of the export and import of Aircraft, Spacecraft, and Parts Thereof. As mentioned above, this is general information applicable in mostly all countries for export/import Aircraft, Spacecraft, and Parts Thereof. This brief on Licensing, Registration and other Legal Requirements for export and import of aircraft or parts provides a basic idea. Specific mandates for each exporting/importing country are to be abided by exporter and importers of Aircraft, Spacecraft, and Parts Thereof. 

That’s all about Licensing, Registration and other legal Requirements for export and import of aircraft or parts. Do comment below and Don’t forget to share.