Customs Notification No. 47 dated 22^nd April 2002 (As amended by Corrigendum dated 26^th June 2002, Notification No. 113 dated 16^th October 2002)

In exercise of the powers conferred by sub-section (1) of section 25 of the Customs Act, 1962 (52 of 1962), the Central Government, being satisfied that it is necessary in the public interest so to do, hereby exempts materials required for the manufacture of the final goods when imported into India, from whole of the duty of Customs leviable thereon, under the First Schedule to the Customs Tariff Act, 1975 (51 of 1975), and from the whole of the additional duty leviable thereon under section 3 of the said Customs Tariff Act subject to the following conditions, namely: -

(1)��� that the importer has been granted Advance Licence for deemed export by the Licensing Authority for import of the said materials for the aforesaid purpose in terms of paragraph 4.1.1 of the Export and Import Policy (hereinafter referred to as the said licence), and the said licence is produced by the importer at the time of clearance for debit by the proper officer of the Customs;

(2)������ that the said licence contains the endorsements specifying inter alia

(a)��������� the description, quantity and value of materials allowed to be imported under the said licence;

(b)��������� the description and quantity of said materials allowed to be imported duty free; and

(c)���������� the description and quantity of final goods to be manufactured out of, or with the imported materials;

(3)��� the importer executes a bond with such surety or security and in such form and for such sum as may be specified by the Assistant Commissioner of Customs or Deputy Commissioner of Customs binding himself to pay on demand, an amount equal to the duty leviable on the imported materials but for the exemption contained herein, in respect of which the conditions specified in this notification have not been complied with together with interest at the rate of 15% per annum from the date of clearance of materials;

(4)��� that the importer produces evidence of having discharged obligation to supply final goods to the satisfaction of the said the Assistant Commissioner of Customs or Deputy Commissioner of Customs within a period of thirty days from the expiry of the period allowed for fulfilment of obligation to supply final goods or within such extended period as the (Assistant Commissioner of Customs or Deputy Commissioner of Customs) may allow; and

(5)��� that the exempt materials are utilised for the manufacture of final goods and no portion of such materials shall be loaned, transferred, sold or disposed of in any other manner;

Provided that where final goods in respect of which the said materials have been imported have already been manufactured and supplied as required under this notification, the importer may use the said materials for the manufacture of any other goods;

(6)��� that the imports and exports are undertaken through sea ports at Mumbai, Sikka, Kolkata, Cochin, Kandla, Mangalore, Marmagoa, Chennai, Nhava Sheva, Paradeep, Tuticorin, Vishakhapatnam, Kakinada, Magdalla, Dahej, Mundhra, Nagapattinam, Okha and Pipavav or through any of the airports at Ahmedabad, Bangalore, Mumbai, Kolkata, Bhubaneshwar, Coimbatore, Nagpur, Cochin, Delhi, Hyderabad, Jaipur, Chennai, Srinagar, Trivandrum, and Varanasi or through any of the Inland Container Depots at Bangalore, Coimbatore, Delhi, Guwahati, Hyderabad, Kanpur, Ludhiana, Moradabad, Pimpri (Pune), Pitampur (Indore), Agra, Faridabad, Jaipur, Guntur, Nagpur, Varanasi, Surat, Jodhpur, Salem, Tirupur, Singanalur, Waluj, Bhiwadi, Malanpur, Nasik, Rudrapur (Nainital), Dighi (Pune), Vadodara, Daulatabad (Wanjarwadi and Maliwada), Waluj (Aurangabad), Anaparthi (Andhra Pradesh), Kota, Udaipur, Ahmedabad, Jalandhar, Bhilwada, Pondicherry and Garhi Harsaru or through Land Customs Stations at Ranaghat and Singhabad.

Provided that the Commissioner of Customs may, by special order and subject to such conditions as may be specified by him, permit import and export through any other sea port, airport or inland container depot or through a land customs station.