Export - Removal of intermediate goods without payment of duty - 49/94 - Central Excise - Non Tariff

Export - Removal of intermediate goods without payment of duty Notification No. 49/94-C.E. (N.T.) Dated 22-9-1994 In exercise of the powers conferred by rule 13 of the Central Excise Rules, 1944, the Central Government hereby specifies all excisable goods (hereinafter in this notification referred to as the intermediate goods), as goods whose removal from the place of manufacture shall be permitted without payment of duty for supply to manufacturers of all articles (hereinafter in this notification referred to as the resultant articles) subject to the following conditions, namely :- (i) that the manufacturer of the intermediate goods holds an Advance Intermediate Licence or has applied for such licence to the Licensing Authority and has obtained an acknowledgement for the same, or as the case may be, has been permitted by the licensing authority to manufacture for supply of such goods to a manufacturer who is an holder of a Duty Exemption Entitlement Certificate and an Advance Licence under the Duty Exemption Scheme (hereinafter in this notification referred to as the ultimate exporter); (ii) that the intermediate goods are supplied against an Advance Release Order to an ultimate exporter for use in the manufacture of resultant articles; (iii) that the quantity of intermediate goods removed without payment of duty does not exceed the duty exemption entitlement indicated in the said Certificate; (iv) that the intermediate goods are utilised by the ultimate exporter for manufacture of resultant articles to be exported or for use as replenishment of duty paid excisable goods of identical specifications and technical characteristics which have been used in the manufacture of resultant articles already exported in discharge of export obligations under a Duty Exemption Entitlement Certificate : Provided that the intermediate goods obtained for replenishment of duty paid excisable goods may be utilised for further production in the factory of the ultimate exporter or may be disposed of in such manner as may be specified by the Collector of Central Excise having jurisdiction over the factory of the ultimate exporter; (v) that the ultimate exporter registers himself with the Collector of Central Excise having jurisdiction over the factory giving particulars and ground plan of the factory, description of each of the intermediate goods and resultant articles, the process of manufacture of such resultant articles, and such other particulars as may be specified by the Collector of Central Excise; (vi) that the ultimate exporter enters into a bond with the Collector of Central Excise having jurisdiction over the factory; (vii) that the ultimate exporter follows the provisions laid down in Chapter X of the Central Excise Rules, 1944; (viii) that the ultimate exporter makes necessary arrangements for facilitating drawal of samples and subjecting them to such tests as may be directed by the Collector of Central Excise having jurisdiction over the factory; (ix) any waste or by-product arising from the process of manufacture undertaken by the ultimate exporter on the intermediate goods obtained under this notification shall - (a) be cleared on payment of duty; or (b) be allowed to be used again for manufacture of resultant articles; or (c) if found unfit for further use, be destroyed under the supervision of an officer of Central Excise in accordance with the procedure that may be specified by the Collector of Central Excise; (x) that the ultimate exporter exports the resultant articles within the period specified in the Duty Exemption Entitlement Certificate or within such extended period as may be permitted by the Licensing Authority or the Committee; (xi) that the export of resultant products made out of intermediate products, namely, nylon fibre, nylon yarn, nylon fabrics, polyester fibre, polyester yarn, polyester fabrics, stainless steel sheets, stainless steel strips, magnetic tapes, precious metals, metals clad with precious metals and articles thereof, be made only through - (a) any of the sea ports at Kandla, Bombay, Nhava Sheva, Cochin, Madras, Visakhapatnam and Calcutta; or (b) any of the airports at Bombay, Calcutta, Delhi, Madras and Bangalore; or (c) any of the internal container depots at Delhi and Bangalore; (xii) that the ultimate exporter maintains account of the intermediate goods and the resultant articles and exports thereof in proper form; (xiii) that the ultimate exporter submits within thirty days of the expiry of the period specified in condition (x) a detailed summary of the accounts maintained in the proforma specified under the Duty Exemption Entitlement Scheme, along with attested copies of the shipping bills, bills of lading and the Duty Exemption Entitlement Certificate with appropriate entries made by the officers of Customs. Explanation. - For the purpose of this notification "Advance Licence", "Advance Intermediate Licence", "Duty Exemption Scheme" and "Committee" shall have the same meanings assigned to them in the Export and Import Policy 1st April 1992 - 31st March, 1997 published under the Ministry of Commerce Public Notice No. 1-ITC (PN)/92-97, dated the 31st March, 1992.