Export Procedure

[varun arora]

Dear Experts

Please reslove my query

If a Manufacturer is supplying goods to Merchant Exporter and ME will export the goods, In this case ME is not providing the CT 1 certificate and Our officer is advising us(Manufacturer who is supplying goods) that Execute the bond on the behalf of ME and in this case no need to have CT-1 and Excise officer will be satisfied after receiving ARE- 1 copies endorsed by custom officer.

Further If Manufacturer execute Bond then How will Mnfrer get ensured that goods will be exported??

And secondly while supplying goods to ME, Mfrer will prepare ARE-1 copies or ARE-3 copies?? i mean what kind of AR set will be prepared??

Thanks in advance.

AI Summary

Export bond liability: manufacturer becomes accountable when furnishing bond for merchant export and must prepare ARE 1.
When a merchant exporter effects export, a bond must be furnished; a manufacturer may execute that bond on the merchant exporter's behalf, in which case Form ARE-1 and the bond application will be in the manufacturer's name and the manufacturer becomes responsible to account for the exported goods. If the merchant exporter furnishes its own bond and CT-1, it prepares and signs ARE-1 and sends CT-1 and ARE-1 to the manufacturer, who clears goods without duty quoting CT-1 and the counter signed ARE-1. Deemed exports and direct manufacturer exports use ARE-3 or ARE-2 procedures respectively.