procurement of the excisable goods without payment of duty for the purpose of use in the manufacture of export of goods

[george thomas]

Dear Sir

The procedure for procurement of the excisable goods without payment of duty for the purpose of use in the manufacture of export of goods and their exportation out of India to any country except Bhutan is explained in Notification No. 43/2001. To avail excise duty exemption for the procurement of the excisable goods without payment of duty for the purpose of use in the manufacture of export of goods the following conditions are applicable:

The benefit of input stage rebate cannot be claimed in any of the following situations:

a).where the finished goods are exported under Claim for Duty Drawback,

b). where the finished goods are exported in discharge of export obligations under a Value Advance Licence or a Quantity Based Advance Licence issued before 31.03.95.

c).where facility of input stage credit is availed under CENVAT Credit Rules, 2004

Our export is in discharge of export obligations under a Value Advance Licence.( First fullfill export then import scheme)

We want to know if Our Company can procure packing material without paying excise duty or by paying excise duty and claim drawback at the time of export.The what is procedure to be followed ? We are exporting edible oil consumer packs.

AI Summary

Notification No. 43/2001: Rules on Duty-Free Procurement for Export Goods, Excluding Bhutan, and Input Stage Rebate Restrictions. A discussion on the procurement of excisable goods without payment of duty for manufacturing export goods, excluding exports to Bhutan, refers to Notification No. 43/2001. It outlines conditions where input stage rebates cannot be claimed, such as when goods are exported under Duty Drawback claims or certain licenses. A company inquires about procuring packing materials without paying excise duty or claiming drawbacks during export of edible oil packs. Responses suggest reviewing previous expert replies in the forum for guidance, emphasizing the efficiency of searching existing discussions before posting new queries.