Procedure for returned goods to be taken to the factory for claiming duty exemption

[Guest]

We have a manufacturing unit under SEZ scheme as 100% EOU. We have exported our goods regularly to abroad. But our cutomer rejects our goods for some shipments (from the last 7 exports)partly. Now what procedure to be followed to get the goods to our factory claiming duty exemption?

[Surender Gupta]

In FTP, detailed procedures have been prescribed to handle the like situation. You may refer to the detailed procedures and conditions prescribed therein.

[Guest]

Chapter IV Sec.26, Sec.39 [Destruction of goods] sec.45 [Exports] Chapter V sec.47 [To DTA ] please read the above SEZ Rules which may help you to proceed re-export or DTA sales of rejected goods, if you have agreement with your customer for resending the rejected goods after repair or recondition it is also allowed as per SEZ rules.

[RadheyShyam Mangal]

Kindly refer sr.no. 15 of annexure-1 of the exemption notification No. 52/2003 cus.

AI Summary

Duty exemption procedures allow re-export, DTA sale or repair of rejected SEZ exports under specified rules. Rely on Foreign Trade Policy procedures and SEZ Rules: rejected SEZ/EOU exports may be re-exported, sold to DTA, or returned for repair and reconditioning for reshipment where a buyer agreement exists; compliance with notified exemption conditions (refer to the cited exemption notification annexure entry) is required to claim duty exemption.