Circular No. 451/17/99-CX
dated 6/4/1999

F.No. 390/24/99-JC

Government of India
Ministry of Finance, Department of Revenue,
Central Board of Excise and Customs, New Delhi

Subject : Central Excise - General permission under rule 173H(3) for entry of duty-paid excisable goods in another factory for loading in one conveyance - Regarding -

    I am directed to say that the trade and industry has represented that often different duty-paid excisable goods manufactured in two different units of a manufacturer/management are required to be loaded in the same conveyance for delivery to the consignee. Under the present rule 173H(3), the Chief Commissioner is empowered to give such permission. It takes long time to grant specific permission. It has been represented that the Assistant Commissioner should give such permission.

2. The Board has examined the matter. The power to grant permission by general or special order is vested with the Chief commissioners under sub-rule (3) of rule 173H. It is appreciated that in the present economic scenario, different units are being established at different locations but the assorted deliveries have to be made to the buyers. In that case, permissions on case-to-case basis may cause difficulties to the trade.

3. To obviate these difficulties, the Board has decided that the Chief commissioner will issue a general order under sub-rule (3) of rule 173H, permitting entry in a factory, of duty-paid excisable goods manufactured in other factories, which are not identical to the goods manufactured in such a factory, for the purpose of loading of the excisable goods of both the factories on the same conveyance/truck(s). The Chief Commissioner may also specify a simple procedure/record, if necessary.

4. In case of entry of identical duty-paid excisable goods, the specific orders of the Chief Commissioners, with such conditions and limitations as may be prescribed by him, shall be necessary.   

Sd/-
(P. K. Sinha)
Under Secretary (CX.6)