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of <h1>Circular Addresses Drawback Challenges for Merchant Exporters; Outlines Verification Procedures and Calls for Feedback by March 2002.</h1> The circular addresses issues faced by merchant exporters in claiming drawbacks on garments due to excise duty changes. It recognizes merchant manufacturers, who supply materials to job workers, as liable for duty payments. Separate drawback rates apply based on Cenvat facility usage. Exporters face challenges providing non-availment certificates for Cenvat, leading to requests for higher drawback rates based on declarations. The circular outlines procedures for verification of declarations and mandates random checks by excise authorities. It calls for the preparation of lists of duty-paying units and suggests public notices to inform stakeholders. The system's effectiveness will be reviewed, with feedback required by March 2002.
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