Rule 19 export exemption: procedural wording did not narrow the rule, supporting prima facie waiver of pre-deposit.

Rule 19 of the Central Excise Rules, 2001 permits removal of materials without duty for use in manufacture or processing of export goods, subject to Commissioner approval, and Notification No. 43/2001-C.E. (N.T.) operates as the procedural framework under that rule. The use of the term "procurement" in the notification does not narrow the broader language of Rule 19 itself. On the stated facts, goods were removed with permission of the proper officer for processing and return to the principal manufacturer for export, so a prima facie case existed for the benefit of Notification No. 43/2001-C.E. (N.T.) and waiver of pre-deposit. The separate claim under Notification No. 214/86-C.E. was prima facie not available because the goods were not covered by that exemption.

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Issues: Whether the appellants had made out a prima facie case for waiver of pre-deposit in the light of Rule 19 of the Central Excise Rules, 2001 and Notification No. 43/2001-C.E. (N.T.), and whether they could also claim the benefit of Notification No. 214/86-C.E.

Analysis: Rule 19(2) permits removal of any material without payment of duty for use in the manufacture or processing of goods meant for export, subject to approval by the Commissioner. The corresponding notification was read as a procedural framework under Rule 19(3), and the use of the term "procurement" in the notification was held not to curtail the wider language of the rule itself. On the facts, the goods had been removed with permission of the proper officer for processing and return to the principal manufacturer for export, so the appellants established a prima facie case that the benefit of Notification No. 43/2001-C.E. (N.T.) was not excluded. The claim under Notification No. 214/86-C.E., however, was found prima facie unsustainable because the goods in question were not covered by that exemption.

Conclusion: The appellants were entitled to waiver of pre-deposit on a prima facie view, though their claim under Notification No. 214/86-C.E. was not accepted.

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