2009 (2) TMI 125 - AT - Customs

Drawback on re-export of goods imported under DEPB scheme Port of Import and Port of Export Different Section 74 of Customs Act, 1962 circular dated 1-11-2002 clarifies that so long as the conditions specified in Section 74 of Custom Act, Re-export of Imported Goods (Drawback of Customs Duties) Rules, 1995 and relevant notifications issued under Section 74 are fulfilled, drawback u/s 74 should be allowed on merits without insisting on re-export of goods to the same supplier or that the re-export should take place from the same port. - held that Customs Circular dated 1-11-2002 does not put any embargo to the effect that the re-export should take place from the same port as the port of import, benefit of duty drawback allowed.

Summary

The appellate tribunal CESTAT, Mumbai, ruled on the appeal filed by the Revenue regarding the issuance of a Shipment Certificate by the Mumbai Port for a re-exported consignment. The key issue was, whether the exporters' request for a Shipment Certificate could be considered by the Mumbai Port despite the re-export taking place from JNPT. The tribunal considered the Customs Circular No. 72/2002, which clarified that drawback under Section 74 of the Customs Act should be allowed on merits without insisting on re-export from the same port. The tribunal noted that all documents were filed before the Mumbai Port, which examined the goods and issued the Let Export Order before the cargo was transported to JNPT. As the re-export from JNPT was not disputed and the circular did not require re-export from the same port, the tribunal dismissed the appeal, upholding the Commissioner (Appeals) order. The judgement was pronounced on 5-2-2009.