Return of Imports after rejection

[BRIJMOHAN GOYAL]

Dear All,

We had import Cargo - A under Merit, on testing in our works, it was found that quality is not matching with spec so it was rejected . We want to know :-

(1) Procedure for return of cargo to Supplier.

(2) We can handover cargo to Supplier on ex-works basis in our factory and Supplier can re-sale this cargo in India.

Request to inform procedure for (1) & (2).

Regards,

BM Goyal

[Ramachandran Chandru]

To my knowledge, it can be handled as below to ship back rejected goods to Supplier:

* Supplier to provide letter of acceptance to take back rejected goods at their own cost.

* Approval is to be obtained from Customs authorities concerned to ship back rejected goods.

* GR Waiver is to be obtained from Banker concerned for re-export shipment.

* Supplier cannot sell the rejected goods in India, directly, with accepting back to their home country.

* Importer themselves can sell the goods in India, provided there is a buyer, on payment of applicable duties, instead of re-export.

Regards,

Chandru R

[YAGAY andSUN]

You may re-export it under Section 74 of the Customs Act.

[Kishan Barai]

Great Points listed by Chandru R Sir, more over seller also need to obtain NOC [No Objection Certification] from buyer.

AI Summary

Importer Considers Re-exporting Non-compliant Cargo; Seeks Supplier's Letter, Customs Approval, GR Waiver, and NOC Under Section 74. An importer discovered that imported cargo did not meet specifications and sought advice on returning it to the supplier. One response suggested obtaining a letter of acceptance from the supplier and approval from customs for re-export, along with a GR Waiver from the bank. It was noted that the supplier cannot directly resell the goods in India. Another response mentioned re-exporting under Section 74 of the Customs Act. Additionally, it was advised that the seller should obtain a No Objection Certificate from the buyer.