Identifier
Created
Classification
Origin
07NEWDELHI2412
2007-05-22 03:45:00
UNCLASSIFIED
Embassy New Delhi
Cable title:  

EXTRANCHECK: POST-SHIPMENT VERIFICATION: BEC CHEMICALS PVT.

Tags:  ETTC ETRD BEXP IN 
pdf how-to read a cable
VZCZCXYZ0003
RR RUEHWEB

DE RUEHNE #2412 1420345
ZNR UUUUU ZZH
R 220345Z MAY 07
FM AMEMBASSY NEW DELHI
TO RUCPDOC/USDOC WASHDC
RUEAHLC/HQ ICE IAO WASHINGTON DC
INFO RUEHC/SECSTATE WASHDC 5759
UNCLAS NEW DELHI 002412 

SIPDIS

SIPDIS

USDOC FOR 532/OEA/M. NICKSON-D/JAY HATFIELD
USDOC FOR 3131/USFCS/OIO/ANESA/KREISSL
USDOC FOR 4530/MAC/ANESA/OSA
ICE HQ FOR STRATEGIC INVESTIGATIONS
STATE FOR EB/ESP

E.O. 12958: N/A
TAGS: ETTC ETRD BEXP IN
SUBJECT: EXTRANCHECK: POST-SHIPMENT VERIFICATION: BEC CHEMICALS PVT.
LTD., RAIGAD DISTRICT, MAHARASHTRA, LICENSE D351086

REF: USDOC 03132

UNCLAS NEW DELHI 002412

SIPDIS

SIPDIS

USDOC FOR 532/OEA/M. NICKSON-D/JAY HATFIELD
USDOC FOR 3131/USFCS/OIO/ANESA/KREISSL
USDOC FOR 4530/MAC/ANESA/OSA
ICE HQ FOR STRATEGIC INVESTIGATIONS
STATE FOR EB/ESP

E.O. 12958: N/A
TAGS: ETTC ETRD BEXP IN
SUBJECT: EXTRANCHECK: POST-SHIPMENT VERIFICATION: BEC CHEMICALS PVT.
LTD., RAIGAD DISTRICT, MAHARASHTRA, LICENSE D351086

REF: USDOC 03132


1. Unauthorized disclosure of the information provided below is
prohibited by Section 12(c) of the Export Administration Act.


2. Export Control Officer (ECO) Paul Cushman and BIS FSN Prem
Narayan conducted a Post-shipment Verification (PSV) at BEC
Chemicals Pvt. Ltd. (BCL) Raigad District, Maharashtra, on May 4,

2007. BCL is located approximately 150 kilometers south of Mumbai.


3. BIS requested a PSV at BCL, a private sector company, located at:
Plot No. 24, MIDC, Dhatav, Roha, Dist. Raigad, Maharashtra 402116,
Tel: 91-2194-263-551, Fax: 91-2194-263-613, Email:
roha@becchemicals.com, Website: www.becchemicals.com. BCL was listed
as the Ultimate Consignee; Lutz-Pumpen GmbH and Co., Wertheim,
Germany as the Foreign Purchaser; and Shanbhag and Asociates
(Shanbhag),Mumbai as the Intermediate Consignee for one Model
5700-100 1/4-inch air-operated, double diaphragm pump controlled
under ECCN 2B350. The license applicant was Lutz-Jesco (Lutz-Jesco)
America Corp., Rochester, NY.


4. ECO and Narayan met with G.M. Jain (Jain),General Manager, BCL.


5. Jain was not aware of the BIS regulations. This was the first
USG or BIS official visit to BCL. Jain did not recall receiving
final BIS export license conditions either from Lutz-Jesco or
Shanbhag who is an exclusive distributor of Lutz-Jesco in India.
Jain provided a copy of the BCL Purchase Order and End-Use
Statement, Shabhag Invoice and Delivery Challan reflecting the
pump's delivery at BCL on May 18, 2006. BCL issued the Purchase
Order to Shanbhag on August 26, 2005 and End-Use Statement on
September 8, 2005. Shanbhag delivered the pump to BCL after nine
months.


6. Jain confirmed the stated end-use of the air-operated pump for
unloading/transferring of liquids, mainly ketoprofen nitrite from
tanks/drums into various processes for manufacturing active
pharmaceutical ingredients and bulk drug intermediates. He stated
that the solvents are lifted from barrels to the reactors for
various manufacturing processes. The end product is then exported
to medicine manufacturers.


7. Jain stated that they are already using five locally made pumps
at the BCL plant. BCL has expansion plans for which they are
constructing a site within the BCL premises to add a new plant. The
construction of the new site will be completed in 5-6 months. He
stated that they would require 5-6 similar Lutz-Jesco pumps for
their new plant. ECO and Narayan were given a tour of the BCL plant
where the pump was operating. BIS team noted the pump's serial
number as 123909. BCL is run in three shifts and is guarded 24
hours a day.


8. Established in 1976, BCL is a closely held small-sized company,
engaged in the manufacture of bulk drugs and intermediates. The
product range includes ketoprofen BP/USP/EP, mesalamine, mesalazine,
miconazole nitrate, meloxicam, ketoprofen nitrite, 3-acetoxy
acetophenone and 5-amino salicylic acid. BCL is a 100 percent
export-oriented unit. It exports its products mainly to European
and Scandanavian countries including Italy, Sweden and Denmark. BCL
employs 60 personnel. Its sales for the FY 2006 were approximately
$2.6 million.

9. Recommendation: Post recommends BEC Chemicals Pvt. Ltd. as a
reliable recipient of the controlled U.S. origin commodity. All
indications are that the listed commodity is used in accordance with
U.S. Export Control Regulations. (PSCUSHMAN/PNARAYAN) Mulford