Industries and Commerce Department issued new orders for LoC trade vide Government Order No.121-IND of 2017 dated May 31, 2017 (issued by Mr. Shailendra Kumar, Commissioner Industries):
- Registration of traders/firms for Cross-LoC trade shall be valid for a period of two years after which the same will be renewed. For now, all the existing registered traders have been conveyed through the Custodians of Trade Facilitation Centres to immediately apply for renewal of registration as per the fresh guidelines.
- The registration will be renewed after verification of Permanent Registration Certificate (PRC), Permanent Account Number (PAN), Taxpayer Identification Number (TIN), address proof of residence and business unit, audited bank accounts and antecedent verification etc
- after two consecutive renewals, traders/firms will be rated as “A” category and will not be required to provide additional documents
- The competent authority will suspend or cancel the registration of any trader/firm due to administrative and security reasons
- Security deposit of Rs 5 lakh in the form of Fixed Deposit/Bank Guarantee will also be obtained from each trader/firm
The government order also says that 35 trucks per day are allowed to cross and in case of excess number of registrations, roaster system will function.