Import of Machine from Oversea Supplier on Lease Agreement and after use Export to Original Oversea supplier register in FTW in SEZ

[Danish Azfar]

Hi Experts. 

If an Indian company wants to import the Machine/equipment (required for the Manufacturing of a product) on a lease agreement from an overseas supplier. These notifications need to follow 072/2017, 001/2017, 011/2021

After 9 months, if an indian company wants to export these Machines/equipment to the original overseas supplier, but overseas supplier wants the Indian company to deliver the Machines/equipment to FTWz in SEZ, where overseas company is registered as a client. 

Will this way abe ble to fulfill the export obligation to Indian company and whether it be aligned with the release of the obligation of the above notification on which Indian company taken the benefit at the time of import. 

Thanks. 

AI Summary

Whether delivery to FTWZ satisfies re-export obligation to lessor and releases duty-relief conditions under import notifications. An Indian lessee imported manufacturing equipment from an overseas lessor under duty-relief notifications and now proposes to re-export the same equipment after nine months by delivering it to a Free Trade Warehousing Zone (FTWZ) within a Special Economic Zone where the lessor is a registered client. The legal issue is whether transfer to the FTWZ qualifies as export for discharge of the import-related export obligation and permits release from the original notification conditions. Resolution depends on strict compliance with customs procedures for re-export, lease and ownership records, time limits, transfer approvals and de-bonding formalities for SEZ/FTWZ, and whether the FTWZ delivery legally constitutes export to the original lessor.