Stock Transfer from One Unit to another unit for export ED

[george thomas]

Dear All

We have one manufacturing unit at Karnataka and another at Tamilnadu .We want send Palm Fatty Acid Distillate ( PFAD) from Karnataka Factory to Chennai factory for export from Chennai Factory.

Kindly clarify Karanataka stock transfer clearance to Chennai Factory, Can we get Excise Duty Exemption and if so what is the procedure?

[Mahir S]

You can follow the CT -1 Procedure in this matter.

[DR.MARIAPPAN GOVINDARAJAN]

Mahir Sir,

I have one doubt CT-1 is the procedure for procurement of specified goods without payment of duty from EOU. This case is transfer of goods for export. Whether CT-1 procedure is applicable. Whether the PFAD is a specified good? I request for your further advise.

[Mahir S]

Sir,

Apart from above, i do not have any other view for such stock transfer clearance for subsequent export.

Maybe some other readers may offer any suggestions on the issue.

Thanks for your support.

[JSW CEMENTLIMITED]

Sir

You have to follow the provisions of Central Excise (Removal of Goods at Concessional Rate of Duty for Manufacture of Excisable and Other Goods) Rules, 2016. You need not issue any CT1 in this case.

Regards,

V.Venkat Raman

AI Summary

Manufacturing company seeks excise duty exemption for PFAD export; Central Excise Rules, 2016, may provide relief. A manufacturing company with units in Karnataka and Tamil Nadu seeks advice on transferring Palm Fatty Acid Distillate (PFAD) for export from Chennai, questioning the possibility of excise duty exemption. One respondent suggests using the CT-1 procedure, typically for duty-free procurement from Export Oriented Units (EOUs), while another questions its applicability to this case. A third response clarifies that the company should follow the Central Excise Rules, 2016, which allow removal of goods at a concessional duty rate for manufacturing excisable and other goods, negating the need for a CT-1.