Export Against Supply By Foreign Buyer

4.69

Before clearance of each consignment of import supplied by the foreign buyer, the nominated agency shall execute a bond with the Customs, undertaking to export within the period stipulated in the contract, gold/silver/platinum jewellery or articles equivalent to the entire import quantity of gold/silver/platinum, mountings and findings etc excluding the admissible wastage.

In case of direct supply of gold/silver/platinum, alloys, findings and mountings of gold/silver/platinum and plain semi-finished gold/silver/platinum jewellery to status holder/ exporter, the Status Holder/exporter shall furnish a Bank Guarantee to the Customs equivalent to the Customs Duty leviable on imported gold/ silver/ platinum, alloys, findings and mountings of gold/ silver/ platinum and plain semi-finished gold/ silver/ platinum jewellery etc.

The Bank Guarantee executed with the Customs shall be valid for one year. In case of direct supply to the Status Holder/exporter, exports shall be completed within 60 days. In case of non-fulfillment of export obligation/non-achievement of stipulated value addition, Customs Department shall proceed to recover custom duty alongwith interest which may include enforcement of Bank Guarantee. Besides the importer will be liable to penal action under the Customs Act.