re export procedure

[rajan gopal]

Dear Expert,

We a 100% EOU exported goods. Later we noticed that there were some quality issues in the goods. So we get back the same by re-importing.

Now, after rectifying the quality issues we have to re-export. So request you tell me the procedure along with relevant notifications

Thanks & Regards

Rajan

[Shilpi Jain]

The re-import would be eligible for the duty exemption contained in notification 52/2003 customs as per entry 14 of the Annexure I to such notiification which reads as under

(i) Goods re-imported (other than specified in Annexure–VII to this notification) within three years from the date of exportation, for repair or reconditioning.

Provided that such re-imported goods are re-exported within one year of the date of re-importation.

Further para 2.49 of the FTP 2015-20 provides as below

2.49 Export of Repaired Goods

Goods or parts thereof, except restricted under ITC (HS), on being exported and found defective, damaged or otherwise unfit for use may be imported for repair and subsequent re-export. Such goods shall be allowed clearance without an Authorisation and in accordance with customs notification. To that extent the exporter shall return the benefits /incentive availed on the returned goods. If the item is ‘restricted’ for import, the exporter shall require an import license.

Thereby, such goods should be repaired and re-exported wihin 1 year from re-importation and no duties payable at the time of reimport.

[YAGAY and SUN]

Also check the chapter 6.28 of the FTP read with HBP Vol.1 and 100% EOU provisions.

AI Summary

Duty exemption for re-imported goods allows repair and re-export subject to prescribed time limits and compliance requirements.
Re-imported exported goods brought back for repair qualify for a duty exemption if re-importation and subsequent re-export occur within the prescribed periods; no duties are payable at re-importation when conditions are met. FTP allows such import for repair without authorisation per customs notification, requires repayment of any export benefits/incentives on returned goods, and mandates an import licence where the item is restricted.