PUBLIC NOTICE NO.74/2001, Dt. 13.06.2001.
Sub:- All Industry Rates of Duty Drawback for the year
2001 - 02
Attention of all Exporters / CHAs /Trade is invited to Notification No. 29/2001 -
Cus(NT) dated 1.6.2001 vide which the Drawback schedule for 2001-02 is
issued.
The new rates of drawback are effective from 7.6.2001. It may be noted that in the
new schedule, a number of generic entries specially relating to readymade
garments, leather articles and writing instruments have been rationalised and split
into specific categories.
The following changes have been effected: -
- The existing entries at Sub-serial Nos. 42.05 - 42.09, which broadly cover
leather boxes, wallets, purses, travel bags, brief bags, etc. and the generic entry
"all leather goods not elsewhere specified" have been split, rationalised and made
specific through creation of 12 entries. This has been done keeping in view the
representations from the export promotion council concerned and the members of
the leather Trade.
- The entries relating to knitted garments (sub-serial No. 61.01) were generic and
had a single rate with a broad drawback cap. Knitwears enjoyed drawback rate of
15% of FOB with a cap aof Rs. 55/ piece and readymade garments a rate of 16.5%
of FOB with cap of Rs. 65/ piece. This broad branding has been in force till date.
However, the reports were being received that this facility of broad banding was
being misused by the exporters to artificially inflate the value of their export goods
to derive the peak drawback benefit obtaining in these entries. In view of the new
Schedule, as a part of retionalisation, these entries have been split and made
specific after taking into account the data furnished by the Apparel Export
Promotion Council. Accordingly, new specific entries with different drawback rates
and caps have been introduced.
- In the same manner, the existing entries pertaining to leather shoes, boots,
sandals and shoe uppers have been rationalised and split into specific entries. This
has been done considering the request of Council of Leather Exports.
- Writing instruments of all sorts were enjoying drawback rate of 20% of FOB
with a cap of Rs. 4/ piece under sub-serial No. 96.03. However, this year, based on
the data submitted by the writing Instruments Manufacturers Organaisatin, the
entries have been split into five entries comprising plastic body ball pens, metal ball
pens, micro tip pens, roller pens and marker/ highlighter pens.
Based on the data submitted by the All India Silk Export Promotion Council, the
drawback rates have been worked out for silk fabrics, garments and made-ups but
they have been capped to the extent of duty incidence on per kilogram/ per square
meter of silk content. Residual entry for all types of capital goods and machinery
falling under Chapter 84 and 85 of Customs Tariff has also been
introduced.
It is also informed that the alignment of different sub-serial Nos. / Entries with the
Customs sub- headings has been dispensed with to avoid confusion caused by
interpretatin of generic entries with reference to General Note 10
Regarding drawback shipping bills on the EDI system the Annexures at (Appendix III,
IV, VII - XI and XIII -XVI ) (copy enclosed) enumerating various documents /
conditions may be referred to/ attached at the time of processing the drawback
claims.
All drawback claims may be settled accordingly.
Sd/-11.06.2001
(M. DWIVEDI)
COMMISSIONER OF CUSTOMS (EP)