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Customs Circular No. 9 / 2003 dated 17.2.2003
Sub: Duty Drawback on Composite Items - regarding.
Attention is invited to General Note 11 to Customs Notification
No.33/2002-Cus (N.T.) dated 29.5.2002 . In terms of the said note, if a
composite article is exported for which any specific rate has not been provided
in the Duty Drawback Table, duty drawback can be extended to the composite
articles according to the net content of various constituent materials at the
rate of duty drawback applicable to such materials in the Drawback Table.
However, such extension of drawback is subject to the condition that various
constituent materials are visibly distinguishable and their weights
unambiguously verifiable.
2. The trade has however been representing that on occasions it becomes
difficult to resolve the composite article into its constituent components and
the only alternative is to break the article. This results in wastage of the
products and also the exporters are asked to go for laboratory testing to
ascertain the composition of individual materials.
3. This issue has been considered by the Kelkar Committee and based on its
recommendations, the Board has decided that as a general policy, the weight of
the constituent materials in a composite item as declared by the exporters
should be accepted. The verification can be caused only in cases of doubt or if
there is intelligence to the contrary.
4. Suitable public notices for information of the Trade and standing orders for
guidance of the staff may kindly be issued accordingly.
5. The receipt of this Circular may kindly be acknowledged.
Yours faithfully
(S.S. Renjhen)
Joint Secretary to the Government of India
Telefax No.23341079.
F.No.609/162/2002-DBK
Government of India, Ministry of Finance & Company Affairs, Department of
Revenue
Declaration to be given by Manufacturer Exporters or Merchant Exporters with Supporting Manufacturers for availing All Industry Rates of Drawback.
1. Description of the Goods:
2. Invoice No. and Date:
3.
Name and address of the Exporter alongwith
the name of the Jurisdictional Central Excise
Commissionerate/Division/Range:
4.
Name of the Supporting Manufacturer (s) /
alongwith the name of the
Jurisdictional Central Excise Commissionerate/
Division/Range:(FOR MERCHANT EXPORTERS).
5. Address of the Manufacturing Unit(s):
We, M/s. _________________ , the Exporters of the above mentioned goods, hereby declare that
(a) we are manufacturer exporters and are not registered with Central Excise and have not paid any Central Excise duty on these goods,
we are merchant exporters and our supporting manufacturer (s) whose details are given above at S.No.4 are not registered with the Central Excise, and have not paid any Central Excise duty on these goods, and
(b) we further declare that we or our supporting manufacturers have not availed of Cenvat facility in respect of these export goods.