Purchase by SEZ from its Parent/ Sister concern

[vishnumurthi holla]

Dear Sir,

We are having a SEZ unit manufacturing Automotive Components made out of rubber and allied products.

We have also running a DTA unit dealing the similar commodity.

My query is, If SEZ Unit Purchases Some of Semi finished commodities from its DTA unit, Can it be treated as Export for DTA Unit. and Whether such commodities run through further Manufacturing process at SEZ and subsequently exported from India. Can this transaction technically permitted under SEZ rules? Please share valuable inputs- Pro's and Con's.

AI Summary

SEZ Unit Queries Export Status of DTA Semi-Finished Goods; Compliance with Central Excise Valuation Rules Required A SEZ unit manufacturing automotive components inquires about purchasing semi-finished goods from its Domestic Tariff Area (DTA) unit and whether this transaction can be treated as an export for the DTA unit. The response advises that the DTA unit must comply with specific rules, including Rules 8, 9, and 10 of the Central Excise Valuation Rules, 2000, and Rule 30 of the SEZ Rules, to ensure the transaction is permissible under SEZ regulations.