Disposal of packing material in which the duty free goods are imported by the 100% EOUs - Customs - F. No. 305/68/86-FTT

Disposal of packing material in which the duty free goods are imported by the 100% EOUs F. No. 305/68/86-FTT Dated 15-7-1986 Government of India Ministry of Finance Department of Revenue Central Board of Excise Customs, New Delhi Subject : 100% E.O.U.s - Disposal of packing material namely wooden crates, cardboard boxes, gunny bags, waste paper wrappings and PVC bags etc. - into the DTA - without payment of duty - Instructions - Reg. The question regarding the disposal of packing material in which the duty free goods are imported by the 100% Export Oriented Undertakings has been under the consideration of the Board for some time past. After examining the scope of condition no. 6 of the exemption Notification relating to the 100% Export Oriented Undertakings No. 13-Customs/81 dated 9th February, 1981 (as amended), it is noticed that this condition provides for levy of duty in respect of goods as are not proved to have been used in the manufacture of articles for export. There is no duty liability with reference to packing material which is left over after the goods contained in them have been used. This being so packing material, namely, wooden crates, cardboard boxes, waste paper wrappings, gunny bags, PVC bags etc. which are not of re-useable nature, could be allowed to be cleared into the Domestic Tariff Area without payment of duty. However, it must be endured that the packing material which is so permitted to be cleared into the Domestic Tariff Area is not of re-useable or durable nature. The Collectors may accordingly, permit such packing material to be cleared into the Domestic Tariff Area after devising the necessary safeguards to ensure that the facility is not abused. 2. A report on the working of the procedure may kindly be sent to the Board after six months.