export to nepal letter of undertaking required for ssi exempted unit.

[Anil Jangid]

My client firm has a turnover less than 1.25 crore so it is not required to get excise registeration. Now they are exporting goods to nepal. What is the require form and procedure in this case? Shall i have file letter of undertaking in this case?

AI Summary

Exporters to Nepal with nil duty goods exempt from letter of undertaking; use form ARE-1 per Notification 42/2001-CE (NT). A client firm with a turnover below 1.25 crore, exempt from excise registration, is exporting goods to Nepal. They inquired about the necessity of a letter of undertaking. It was clarified that under Notification No. 42/2001-CE (NT), excisable goods with nil duty or wholly exempted do not require a letter of undertaking. Instead, they must use form ARE-1 for exports. Additionally, exports to Nepal are treated similarly to other countries, as per Circular No. 958/1/2012-CX, following the revised trade treaty between India and Nepal.