Non export of goods by eou

[Himansu Sekhar]

Kindly give suggestions to a query.

An eou has sent goods for export. Due to some reasons, the goods are not exported within six months. Also the goods were lost in the port. The eou had sent the goods under ARE1s with due acknowledgements of the department. Through out the period they have positive NFEs. The eou wants to pay thecex duties at the usual rate and as per the values mentioned in the ARE1s. But the department insists to pay the duties alongwith customs duties. Also they want the pay the duties at the value at the nearby price of the similar goods imported.

Kindly suggest the property methods

AI Summary

EOU Faces Duty Dispute Over Lost Goods; Seeks Remission Under Section 23 and Rule 21. An Export Oriented Unit (EOU) faced issues when goods intended for export were lost at the port and not exported within six months. The EOU proposed paying excise duties based on values in ARE-1 forms, but the department demanded duties including customs duties, valuing them at prices of similar imported goods. A respondent advised that the EOU's responsibility ends once goods leave Indian waters and suggested applying for duty remission. They clarified that remission can be sought under Section 23 of the Customs Act and Rule 21 of CE Rules, applicable beyond factory premises. The EOU maintains positive Net Foreign Exchange (NFE) throughout.