IMP. NO. 113/2003
EXP. NO. 113/2003
PUBLIC NOTIC NO. 34/2003 DATE : 26/03/2003
Subject : Duty Drawback rates for Non- Alloy Steel and alloy Steel forgings – reg.
Attention of all Exporters/CHA’s is invited to the Ministry’s Circular No. 4/2003-Cus issued under F. No. 609/112/2002 DBK dated 21.1.03 on the above subject reproduced below.
2. Attention is invited to the SS Nos 73.29 of the Drawback Schedule, 2002-2003, whereby duty drawback rates have been provided for non-alloy/carbon steel forgings, etc. and alloy steel forgings,etc., respectively. However, the admissibility of drawback under these entries is further subject to the conditions of non-availment of Cenvat Facility’.
3. The Engineering Export Promotion Council has represented that duty drawback rates in respect of these products have been determined by taking into consideration only ‘Steel’ as the input. Therefore, they should be permitted to avail of the Cenvat facility as regards the other inputs other than ‘Steel’, for example, consumables, furnace oil, high speed diesel oil, light diesel oil, superior kerosene oil, machinery spares, die blocks etc.
4. This issue has been examined. It is a fact that the duty drawback rates in respect of these products falling under SS No 73.29 and 73.30 of the Drawback Schedule have been formulated by taking into account the duty incidence only in respect of steel. The duty incidence on account of other inputs has not been considered while computing these rates. Therefore, if the exporters avail Cenvat Facility in respect of inputs other than steel, no double benefit shall accrue.
5. It is, therefore, clarified that in all those cases relating to SS Nos 73.29 and 73.30 of the Drawback Schedule where the exporters have availed the Cenvat Facility in respect of inputs other than steel, duty drawback should not be denied.
All pending cases of the parties will be decided accordingly.
Sd/- (4.3.03)
(SHISHIR KUMAR)
COMMISSIONER OF CUSTOMS (EP)
MUMBAI
Attested By
(S. G. GAWDE)
DY. COMMISSIONER OF CUSTOMS
DRAWBACK DEPARTMENT
MUMBAI.
F. NO. S/10-608/2001 DBK
(Issued on the basis of Ministry’s Circular 4/2003 Cus issued under F. No. 609/112/2002 DBK dated 21.1.03 Government of India, Ministry of Finance, Department of Revenue)
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