Export Procedure_Urgent

[Varun Arora]

Dear Experts,

A manufacturer supplier wants to supply the goods to merchant exporter, Can supplier supply the same goods against a bond executed by the supplier not by merchant exporter because merchant exporter is not providing the same.

In this case which bond should be executed with the excise department and further to which jurisdiction i.e. supplier or merchant exporter.

is there any further documents needs to be submitted with excise department.

And further also if manufacturer supplier is having Annual regular LUT then also a fresh bond is required??

Thank you in advance..

AI Summary

B-1 bond use for merchant exports required; LUT not permissible and bond must be executed with Assistant Commissioner.
Manufacturer-suppliers can use their own B-1 running bond to cover duty for merchant exports; LUT cannot be used. The B-1 bond is executed with the Assistant Commissioner of Central Excise in the manufacturer's jurisdiction and may require either surety or security. Export Houses must adopt surety or security as stipulated. Security commonly takes the form of a bank guarantee in the prescribed format, executed in favour of the President of India through the Assistant Commissioner. Manufacturers should secure equivalent protection from merchant exporters and obtain ARE-1, attested EP copy of the shipping bill, and bill of lading as proof of export for submission to the Superintendent Central Excise.