Use of partial material imported under import dealer code

[sachin shilamkar]

We are registered dealer under central excise for imported goods. We have imported 200 kg oil in 25kg packing. While selling the same to customers we are passing on ACD & CVD. Now we want to break one packing of 25kg and use 5kg of the material for retail sale in small packs.

We want to know if we do so

1) Can we be able to pass on ACD & CVD for the rest of material (175kg) to the customers who are purchasing the same from us under dealer import code.

2) Can we be able to pass on ACD & CVD for balance 20kg (from the packing which is opened) to the customers who are purchasing the same from us.

Regards

Sachin

AI Summary

Repacking as manufacture: opening bulk imports for retail packing triggers excise registration and permits ACD/CVD credit usage.
Repacking imported bulk into retail packs is treated as manufacture under Chapter Note 5 to Chapter 15, requiring excise registration and compliance; a small-scale exemption may apply below the statutory threshold. Input credits for ACD and CVD can be taken and used to discharge duty on repacked goods, but opening a single container triggers manufacture treatment for that container and may affect duty passing or crediting across the consignment.