1. What is the original validity period of the Foreign Trade Policy mentioned?
1. 31st March, 2019
2. 31st March, 2020
3. 30th Sep, 2020
4. 31st Dec, 2020
Correct Answer: 31st March, 2020
2. Which ministry prepares and announces the Foreign Trade Policy?
1. Ministry of Finance
2. Ministry of Commerce & Industry
3. Ministry of Home Affairs
4. Ministry of External Affairs
Correct Answer: Ministry of Commerce & Industry
3. What is the primary objective of the Foreign Trade (Development & Regulation) Act,
1992?
1. To restrict imports and exports
2. To facilitate imports and augment exports
3. To ban all foreign trade
4. To regulate only domestic trade
Correct Answer: To facilitate imports and augment exports
4. Who advises the Central Government in the formulation of the Foreign Trade Policy?
1. Director General of Foreign Trade (DGFT)
2. Reserve Bank of India (RBI)
3. Central Board of Indirect Taxes and Customs (CBIC)
4. State GST Departments
Correct Answer: Director General of Foreign Trade (DGFT)
5. What is the duration for which the Foreign Trade Policy is typically valid?
1. 2 years
2. 3 years
3. 4 years
4. 5 years
Correct Answer: 5 years
6. What is the maximum penalty for contravention under the Foreign Trade (Development
& Regulation) Act, 1992?
1. 2 times the value of imported or exported goods
2. 3 times the value of imported or exported goods
3. 4 times the value of imported or exported goods
4. 5 times the value of imported or exported goods
Correct Answer: 5 times the value of imported or exported goods
7. Who has the power to authorize search and seizure operations for violations of the
Foreign Trade Policy?
1. Director General of Foreign Trade (DGFT)
2. Central Government
3. Reserve Bank of India (RBI)
4. State GST Departments
Correct Answer: Central Government
8. What is the redemption charge equivalent to in case of confiscation of goods or
conveyance?
1. Half the market value of goods or conveyance
2. Market value of goods or conveyance
3. Double the market value of goods or conveyance
4. Triple the market value of goods or conveyance
Correct Answer: Market value of goods or conveyance
9. What is the length of the Importer Exporter Code (IEC) number?
1. 8 characters
2. 10 characters
3. 12 characters
4. 14 characters
Correct Answer: 10 characters
10. What document is required to be submitted along with the IEC application?
1. Passport
2. Voter ID
3. PAN card
4. Driving License
Correct Answer: PAN card
11. What is the validity of an IEC allotted to an applicant?
1. 1 year
2. 2 years
3. 5 years
4. Permanent validity unless cancelled
Correct Answer: Permanent validity unless cancelled
12. What happens to multiple IECs against a single PAN after 31st March 2015?
1. They are merged into one
2. They are deactivated suo-motu
3. They are transferred to a new PAN
4. They are renewed automatically
Correct Answer: They are deactivated suo-moto
13. What is the primary focus of the new Foreign Trade Policy?
1. Increasing transaction costs
2. Reducing ease of doing business
3. Making Indian exports less competitive
4. Ease of doing business
Correct Answer: Ease of doing business
14. What is one of the key areas of focus in the new Foreign Trade Policy?
1. Increasing bureaucracy
2. Encouraging ecommerce in specified products
3. Reducing export promotion measures
4. Increasing transaction costs
Correct Answer: Encouraging ecommerce in specified products
15. What is the role of the DGFT in the administration of the Foreign Trade Policy?
1. To declare the policy
2. To assist in formulating and implementing the policy
3. To collect taxes
4. To handle customs clearance
Correct Answer: To assist in formulating and implementing the policy
16. What is the purpose of the Handbook of Procedures in the Foreign Trade Policy?
1. To list restricted goods
2. To contain detailed procedures for implementing the policy
3. To specify penalties
4. To classify goods for import and export
Correct Answer: To contain detailed procedures for implementing the policy
17. What is the role of the Central Board of Indirect Taxes and Customs (CBIC) in the
administration of the Foreign Trade Policy?
1. To declare the policy
2. To assist in formulating the policy
3. To handle customs clearance, tax administration
4. To implement the policy
Correct Answer: To handle customs clearance, tax administration
18. What is the role of the Reserve Bank of India (RBI) in the administration of the Foreign
Trade Policy?
1. To declare the policy
2. To assist in formulating the policy
3. To handle customs clearance, tax administration
4. To implement the policy
Correct Answer: To implement the policy
19. What is the role of the State GST Departments in the administration of the Foreign Trade
Policy?
1. To declare the policy
2. To assist in formulating the policy
3. To handle customs clearance, tax administration
4. To implement the policy
Correct Answer: To implement the policy
20. What is the immediate action taken by the issuing authority upon receipt of the IEC?
1. The issuing authority shall immediately cancel the IEC and electronically transmit
it to DGFT and Customs authorities
2. The issuing authority shall immediately validate the IEC and electronically
transmit it to DGFT and Customs authorities
3. The issuing authority shall immediately verify the IEC and electronically transmit
it to DGFT and Customs authorities
4. The issuing authority shall immediately approve the IEC and electronically
transmit it to DGFT and Customs authorities
Correct Answer: The issuing authority shall immediately cancel the IEC and
electronically transmit it to DGFT and Customs authorities
21. How can modifications in IEC be done?
1. Modifications in IEC can be done online only
2. Modifications in IEC can be done offline only
3. Modifications in IEC can be done either online or offline
4. Modifications in IEC can be done through postal services
Correct Answer: Modifications in IEC can be done online only
22. What is the primary objective of setting up export promotion councils?
1. To promote and develop exports from India
2. To regulate imports into India
3. To monitor domestic trade
4. To enforce trade agreements
Correct Answer: To promote and develop exports from India
23. What type of organizations are export promotion councils?
1. Organizations of exporters
2. Government agencies
3. Non-profit organizations
4. Private corporations
Correct Answer: Organizations of exporters
24. What is the role of export promotion councils in helping exporters?
1. Helping and guiding exporters in exploring markets for the Indian products
2. Providing financial aid to exporters
3. Regulating export prices
4. Monitoring export quality
Correct Answer: Helping and guiding exporters in exploring markets for the Indian
products
25. What is the purpose of ensuring quality products and services by export promotion
councils?
1. To enhance the image of Indian products as a brand
2. To reduce production costs
3. To increase domestic sales
4. To comply with international standards
Correct Answer: To enhance the image of Indian products as a brand
26. What is the nature of export promotion councils in terms of product specificity?
1. Product specific, meaning different EPCs are established for different products
2. General, covering all products
3. Sector-specific, covering all sectors
4. Region-specific, covering all regions
Correct Answer: Product specific, meaning different EPCs are established for different
products
27. Under which acts can export promotion councils be established?
1. Companies Act or Societies Registration Act, 1860
2. Trade Act
3. Export Act
4. Customs Act
Correct Answer: Companies Act or Societies Registration Act, 1860
28. Who monitors export promotion councils?
1. DGFT Office
2. Customs authorities
3. Export Promotion Councils
4. Ministry of Finance
Correct Answer: DGFT Office
29. What is the role of the DGFT in relation to export promotion councils?
1. Authorized to issue instructions to these bodies on various matters pertaining to
exports
2. To provide financial support
3. To regulate import duties
4. To monitor domestic trade
Correct Answer: Authorized to issue instructions to these bodies on various matters
pertaining to exports
30. Under whose supervision do a large number of EPCs function in India?
1. MOC & Industry
2. DGFT
3. Customs authorities
4. Ministry of Finance
Correct Answer: MOC & Industry
31. What is the role of export promotion councils in issuing RCMC?
1. Recognized to function as Registering Authority for issue of RCMC to its
members
2. To provide financial aid
3. To regulate export prices
4. To monitor export quality
Correct Answer: Recognized to function as Registering Authority for issue of RCMC to
its members
32. What is the primary function of the Norms Committee?
1. For fixation and modification of product norms
2. For relaxation on all other issues
3. For grievance redressal
4. For fixation and modification of export prices
Correct Answer: For fixation and modification of product norms
33. What is the primary function of the EPCG Committee?
1. Nexus with Capital Goods and benefits under EPCG Scheme
2. For relaxation on all other issues
3. For grievance redressal
4. For fixation and modification of export prices
Correct Answer: Nexus with Capital Goods and benefits under EPCG Scheme
34. What is the primary function of the Policy Relaxation Committee?
1. For relaxation on all other issues
2. For fixation and modification of product norms
3. For grievance redressal
4. For fixation and modification of export prices
Correct Answer: For relaxation on all other issues
35. What is the primary function of the Standing Grievance Committee?
1. For grievance redressal
2. For fixation and modification of product norms
3. For relaxation on all other issues
4. For fixation and modification of export prices
Correct Answer: For grievance redressal
36. What are the two types of duty exemption schemes?
1. Advance Authorisation Scheme and the Duty Free Import Authorisation (DFIA)
Scheme
2. Duty Drawback Scheme and the Duty Entitlement Pass Book (DEPB) Scheme
3. Customs Duty Scheme and the Excise Duty Scheme
4. Import Duty Scheme and the Export Duty Scheme
Correct Answer: Advance Authorisation Scheme and the Duty Free Import
Authorisation (DFIA) Scheme
37. What is the current scheme used for remission of import duties?
1. Duty Drawback scheme
2. Duty Entitlement Pass Book (DEPB) scheme
3. Customs Duty Scheme
4. Excise Duty Scheme
Correct Answer: Duty Drawback scheme
38. What is the minimum value addition required under advance authorization?
1. 15%
2. 20%
3. 25%
4. 30%
Correct Answer: 15%
39. What is the minimum value addition required for tea under advance authorization?
1. 50%
2. 40%
3. 30%
4. 20%
Correct Answer: 50%
40. What is the maximum time allowed for importing goods under the deemed export
scheme?
1. 6 months
2. 12 months
3. 18 months
4. 24 months
Correct Answer: 12 months
41. What is the minimum value addition required for the AA Scheme?
1. 10%
2. 15%
3. 20%
4. 25%
Correct Answer: 15%
42. What is the formula for computing value addition?
1. VA = (A+B)/B x 100
2. VA = (A-B)/A x 100
3. VA = (A-B)/B x 100
4. VA = (B-A)/B x 100
Correct Answer: VA = (A-B)/B x 100
43. What is the stipulated time for exporting goods under the export obligation scheme?
1. 12 months
2. 18 months
3. 24 months
4. 36 months
Correct Answer: 18 months
44. Which form is used for the DFIA Scheme?
1. Form ANF-4A
2. Form ANF-4B
3. Form ANF-4C
4. Form ANF-4H
Correct Answer: Form ANF-4H
45. What is the minimum value addition required for the DFIA Scheme?
1. 10%
2. 15%
3. 20%
4. 25%
Correct Answer: 20%
46. What is the main objective of the EPCG Scheme?
1. To facilitate import of raw materials
2. To facilitate import of capital goods for producing quality goods and services
3. To facilitate export of finished goods
4. To facilitate import of consumer goods
Correct Answer: To facilitate import of capital goods for producing quality goods and
services
47. What is the export obligation under the EPCG Scheme?
1. 4 times the duty saved
2. 5 times the duty saved
3. 6 times the duty saved
4. 7 times the duty saved
Correct Answer: 6 times the duty saved
48. What is the validity period for an Export Authorization under the EPCG Scheme?
1. 6 months
2. 12 months
3. 18 months
4. 24 months
Correct Answer: 18 months
49. What is the export performance required for a Three Star Export House?
1. $3 million
2. $25 million
3. $100 million
4. $500 million
Correct Answer: $100 million
50. What is the export performance required for a Five Star Export House?
1. $3 million
2. $25 million
3. $100 million
4. $2000 million
Correct Answer: $2000 million
51. What is the validity period for an Export Authorization for restricted items?
1. 6 months
2. 12 months
3. 18 months
4. 24 months
Correct Answer: 18 months
52. What is the validity period for an Export Authorization for SCOMET items?
1. 6 months
2. 12 months
3. 18 months
4. 24 months
Correct Answer: 24 months
53. What is the validity period for an Export Authorization for Advance Authorization?
1. 6 months
2. 12 months
3. 18 months
4. 24 months
Correct Answer: 12 months
54. What is the validity period for an Export Authorization for Deemed exports?
1. 12 months or coterminous with contracted duration of project authorization
whichever is more
2. 18 months
3. 24 months
4. 36 months
Correct Answer: 12 months or coterminous with contracted duration of project
authorization whichever is more
55. What is the export obligation for post-export EPCG?
1. 75%
2. 85%
3. 90%
4. 100%
Correct Answer: 85%
56. What is the average export obligation to be achieved for post-export EPCG?
1. 75%
2. 85%
3. 90%
4. 100%
Correct Answer: 100%
57. What is the export obligation for indigenous procurement under the EPCG Scheme?
1. 50%
2. 60%
3. 75%
4. 80%
Correct Answer: 75%
58. What is the export obligation for pre-export EPCG?
1. 50%
2. 60%
3. 75%
4. 80%
Correct Answer: 100%
59. What is the export obligation for post-export EPCG in terms of duty remission?
1. BCD will be remitted in freely transferable credit scrips
2. BCD will not be remitted
3. BCD will be remitted in non-transferable credit scrips
4. BCD will be remitted in cash
Correct Answer: BCD will be remitted in freely transferable credit scrips
60. What is the maximum time frame for fixing SION on a priority basis?
1. 30 days
2. 45 days
3. 60 days
4. 90 days
Correct Answer: 60 days
61. Which of the following is NOT a privilege available to status holders?
1. Exemption from bank guarantee for schemes under FTP
2. Exemption from compulsory negotiation of documents through banks
3. Exemption from customs duties
4. Authorization and customs clearances on self-declaration basis
Correct Answer: Exemption from customs duties
62. What is the minimum net free foreign exchange earnings required for a service provider
to be eligible for duty credit scrips under SEIS?
1. US $ 5000
2. US $ 10000
3. US $ 15000
4. US $ 20000
Correct Answer: US $ 15000
63. What is the primary objective of the Merchandise Exports from India Scheme (MEIS)?
1. To promote domestic consumption
2. To offset infrastructural inefficiencies and associated costs involved in export of
goods
3. To increase import duties
4. To reduce export taxes
Correct Answer: To offset infrastructural inefficiencies and associated costs involved in
export of goods
64. Which of the following is NOT an ineligible category under MEIS?
1. EOUs
2. Exports through trans-shipment
3. Exports of goods manufactured in India
4. Deemed Exports
Correct Answer: Exports of goods manufactured in India
65. What is the rate of reward generally offered under MEIS?
1. 1%/2%
2. 2%/3%
3. 3%/4%
4. 4%/5%
Correct Answer: 2%/3%
66. What is the time limit for filing an application under MEIS from the date of uploading of
EDI shipping bills onto the DGFT server by Customs?
1. One month
2. Two months
3. Three months
4. Six months
Correct Answer: Three months
67. What is the minimum net foreign exchange earnings required for a proprietorship or
individual service provider to be eligible for the SEIS scheme?
1. US $ 5000
2. US $ 10000
3. US $ 15000
4. US $ 20000
Correct Answer: US $ 10000
68. What is the validity period of a duty credit scrip issued under SEIS?
1. 12 months
2. 15 months
3. 18 months
4. 24 months
Correct Answer: 18 months
69. Which of the following is NOT a purpose for which Duty Credit Scrip can be used?
1. Payment of Customs Duties for import of inputs or goods
2. Payment of excise duties on domestic procurement of inputs or goods
3. Payment of income tax
4. Payment of Customs Duty in case of default in Export Obligation
Correct Answer: Payment of income tax
70. What is the primary objective of the reward schemes announced by the government to
promote exports?
1. To increase domestic sales
2. To provide rewards to exporters to offset infrastructural inefficiencies and
associated costs involved
3. To reduce import duties
4. To increase export taxes
Correct Answer: To provide rewards to exporters to offset infrastructural inefficiencies
and associated costs involved
71. What is the time limit for filing an application under SEIS from the end of the relevant
financial year of the claim period?
1. 6 months
2. 9 months
3. 12 months
4. 18 months
Correct Answer: 12 months
72. Which of the following is a requirement for a service provider to claim a reward under
the SEIS scheme?
1. Having an active Import Export Code (IE Code) at the time of rendering such
services
2. Having a minimum net free foreign exchange earnings of US $ 5000
3. Having a minimum net free foreign exchange earnings of US $ 20000
4. Having an active GST registration
Correct Answer: Having an active Import Export Code (IE Code) at the time of
rendering such services
73. What is the primary objective of the Service Exports from India Scheme (SEIS)?
1. To promote domestic consumption
2. To offset infrastructural inefficiencies and associated costs involved in export of
services
3. To increase import duties
4. To reduce export taxes
Correct Answer: To offset infrastructural inefficiencies and associated costs involved in
export of services
74. What is the time limit for filing an application under MEIS from the Let Export (LEO)
date?
1. 6 months
2. 9 months
3. 12 months
4. 18 months
Correct Answer: 12 months
75. Which of the following is a requirement for a service provider to be eligible for duty
credit scrips under SEIS?
1. Having a minimum net free foreign exchange earnings of US $ 5000
2. Having a minimum net free foreign exchange earnings of US $ 15000
3. Having a minimum net free foreign exchange earnings of US $ 20000
4. Having a minimum net free foreign exchange earnings of US $ 25000
Correct Answer: Having a minimum net free foreign exchange earnings of US $ 15000
76. What is the primary objective of the reward schemes announced by the government to
promote exports?
1. To increase domestic sales
2. To provide rewards to exporters to offset infrastructural inefficiencies and
associated costs involved
3. To reduce import duties
4. To increase export taxes
Correct Answer: To provide rewards to exporters to offset infrastructural inefficiencies
and associated costs involved
77. Which of the following is NOT a purpose for which Duty Credit Scrip can be used?
1. Payment of Customs Duties for import of inputs or goods
2. Payment of excise duties on domestic procurement of inputs or goods
3. Payment of income tax
4. Payment of Customs Duty in case of default in Export Obligation
Correct Answer: Payment of income tax
78. What is the time limit for filing an application under SEIS from the end of the relevant
financial year of the claim period?
1. 6 months
2. 9 months
3. 12 months
4. 18 months
Correct Answer: 12 months
79. Which of the following is a requirement for a service provider to claim a reward under
the SEIS scheme?
1. Having an active Import Export Code (IE Code) at the time of rendering such
services
2. Having a minimum net free foreign exchange earnings of US $ 5000
3. Having a minimum net free foreign exchange earnings of US $ 20000
4. Having an active GST registration
Correct Answer: Having an active Import Export Code (IE Code) at the time of
rendering such services
80. Where can a Duty Credit Scrip be registered?
1. At any EDI Port
2. At any manual port
3. At any TRA procedure
4. At any customs office
Correct Answer: At any EDI Port
81. What is the minimum value for which split certificates of Duty Credit Scrip can be
issued?
1. Rs 1 Lakh
2. Rs 3 Lakh
3. Rs 5 Lakh
4. Rs 10 Lakh
Correct Answer: Rs 5 Lakh
82. Who can choose the Jurisdictional RA for submitting applications under MEIS and SEIS?
1. The Government
2. The Applicant
3. The RA Concerned
4. The Corporate Office
Correct Answer: The Applicant
83. When must the option for Jurisdictional RA be exercised?
1. At the end of the financial year
2. At the beginning of the financial year
3. Mid-year
4. Quarterly
Correct Answer: At the beginning of the financial year
84. What happens if an exporter chooses RA Chennai for claiming rewards for exports made
in 2015-16?
1. All claims for exports made in 2015-16 can be made to any RA
2. All claims for exports made in 2015-16 must be made to RA Chennai only
3. Claims can be split between different RAs
4. Claims must be made to the RA where the export was shipped
Correct Answer: All claims for exports made in 2015-16 must be made to RA Chennai
only
85. What is adjusted as CENVAT Credit or Duty Drawback?
1. Basic Custom duty
2. Additional Customs duty/excise duty/Service Tax
3. Sales Tax
4. Income Tax
Correct Answer: Additional Customs duty/excise duty/Service Tax
86. What is the objective of Deemed Exports?
1. To increase exports
2. To provide a level-playing field to domestic manufacturers
3. To reduce import duties
4. To increase foreign exchange reserves
Correct Answer: To provide a level-playing field to domestic manufacturers
87. What is the payment method for deemed exports?
1. Only in Indian rupees
2. Only in free foreign exchange
3. Either in Indian rupees or in free foreign exchange
4. Only in USD
Correct Answer: Either in Indian rupees or in free foreign exchange
88. Which of the following is NOT a category of supply eligible for deemed exports?
1. Supply of goods against Advance Authorization
2. Supply of goods to EOU
3. Supply of goods to local retailers
4. Supply of capital goods against EPCG Authorization
Correct Answer: Supply of goods to local retailers
89. What is the threshold generation capacity for mega power projects to be eligible for
deemed export benefits?
1. 200 MW
2. 300 MW
3. 400 MW
4. 500 MW
Correct Answer: 400 MW
90. What is the minimum capacity required for a Nuclear Power Project to be eligible for
deemed export benefits?
1. 200 MW
2. 300 MW
3. 440 MW
4. 500 MW
Correct Answer: 440 MW
91. Who issues the certificate for Nuclear Power Projects?
1. The Project Manager
2. An officer not below the rank of Joint Secretary to Government of India
3. The Chief Engineer
4. The Project Director
Correct Answer: An officer not below the rank of Joint Secretary to Government of
India
92. What type of bidding is required for Nuclear Power Projects?
1. Local competitive bidding
2. National competitive bidding
3. International competitive bidding
4. Both National competitive bidding and International competitive bidding
Correct Answer: Both National competitive bidding and International competitive
bidding
93. What benefits are deemed exports eligible for?
1. Advance Authorization
2. Deemed Export Drawback for BCD
3. Refund of terminal excise duty for excisable goods
4. All of the above
Correct Answer: All of the above
94. What is the purpose of the GST Council's recommendations for deemed exports?
1. To increase GST revenue
2. To specify the benefits of GST and conditions applicable for such benefits
3. To reduce GST rates
4. To exempt certain goods from GST
Correct Answer: To specify the benefits of GST and conditions applicable for such
benefits
95. What is the minimum value for which split certificates of Duty Credit Scrip can be
issued, and in what increments?
1. Rs 1 Lakh, in increments of Rs 1 Lakh
2. Rs 3 Lakh, in increments of Rs 1 Lakh
3. Rs 5 Lakh, in increments of Rs 1 Lakh
4. Rs 5 Lakh, in multiples thereof
Correct Answer: Rs 5 Lakh, in multiples thereof
96. What is the rank of the officer who issues the certificate for Nuclear Power Projects?
1. Deputy Secretary
2. Director
3. Joint Secretary
4. Secretary
Correct Answer: Joint Secretary
97. What is the capacity requirement for mega power projects to be eligible for deemed
export benefits?
1. 200 MW
2. 300 MW
3. 400 MW
4. 500 MW
Correct Answer: 400 MW
98. What is the minimum capacity required for a Nuclear Power Project to be eligible for
deemed export benefits?
1. 200 MW
2. 300 MW
3. 440 MW
4. 500 MW
Correct Answer: 440 MW
99. What type of bidding is required for Nuclear Power Projects?
1. Local competitive bidding
2. National competitive bidding
3. International competitive bidding
4. Both National competitive bidding and International competitive bidding
Correct Answer: Both National competitive bidding and International competitive
bidding
