Central Excise - Clearance of Intermediate goods for captive consumption for use in export goods, without payment of duty under Rule 13(1)(b)- Clarification regarding.

Clarification on Rule 13(1)(b): Intermediate Goods Can Be Cleared Without Duty for Export Manufacturing Under Notification No. 47/94-CE.

The circular clarifies the application of Rule 13(1)(b) of the Central Excise Rules, 1944, regarding the clearance of intermediate goods for captive consumption in manufacturing export goods without duty payment. It addresses concerns about the absence of certain provisions in the new rule compared to the previous one. The Board confirms that intermediate goods can be cleared without duty for in-bond manufacturing of export goods under Notification No. 47/94-CE, even if specific procedural requirements like CT3 generation are not met, provided other Chapter-X provisions are substantially followed. Commissioners may impose conditions to ensure proper accounting and revenue protection.