Exemption to Nylon Filament Yarn - 208/87 - Central Excise - Tariff

Exemption to Nylon Filament Yarn

Notification No. 208/87-C.E.

Dated 11-9-1987

In exercise of the powers conferred by sub-rule (1) of rule 8 of Central Excise Rules, 1944, the Central Government hereby exempts nylon filament yarn, falling under sub-heading No. 5402.11 of the Schedule to the Central Excise Tariff Act, 1985 (5 of 1986), from so much of the duty of excise leviable thereon which is specified in the said Schedule as is in excess of the amount calculated at the rate of rupees nine and paise twenty-four per kilogram, subject to the following conditions, namely :-

(i) the said nylon filament yarn is intended for use for the manufacture of nylon-cotton blended sarees ;

(ii) the manufacturer produces evidence to the Assistant Collector of Central Excise to the effect that the said nylon filament yarn is intended for use under a programme duly approved by the Textile Commissioner and an officer not below the rank of a Joint Secretary in the Ministry of Textiles for the manufacture of low price nylon-cotton blended sarees ;

(iii) the manufacturer, shall, within such period as the Assistant Collector of Central Excise may specify in this behalf, produce a certificate from the Textile Commissioner to the effect that the said nylon filament yarn has been used for the aforesaid purpose :

Provided that the exemption contained in this notification shall also apply to the said nylon filament yarn contained in any fents, rags and chindies of the said nylon-cotton blended sarees :

Provided further that the exemption in respect of the said nylon filament yarn contained in such fents, rags and chindies shall apply only upto an aggregate quantity of such fents, rags and chindies not exceeding eight per cent of the total clearance of such low price nylon-cotton blended sarees.

Explanation. - For the purposes of this notification :

(a)  "low price", in relation to a nylon-cotton blended saree, means the maximum ex-factory price fixed for such saree under the programme referred to in condition (ii) above;

(b) "fents" means -

(i) bona fide cut-pieces of a saree of length 45 centimetres or more but not exceeding 90 centimetres where the width of the saree is one metre or more, and of length 65 centimetres or more but not exceeding 135 centimetres where the width of the saree is less than one metre, arising during the normal course of manu­facturing (including processing) or packing or drawing samples;

(ii) damaged saree of length 45 centimetres or more but not exceeding 90 centimetres where the width of the saree is one metre or more, and of length 65 centimetres or more but not exceeding 135 centimetres where the width of the saree is less than one metre; and

(iii) cut-pieces of length 45 centimetres or more but not exceeding 90 centimetres where the width of the saree is one metre or more, and of length 65 centimetres or more but not exceeding 135 centimetres where the width of the saree is less than one metre, cut from damaged saree ;

(c) "rags" means -

(i) bona fide cut-pieces of a saree of length more than 23 centimetres but less than 45 centimetres where the width of the saree is one metre or more, and of length more than 23 centimetres but less than 65 centimetres where the width of the saree is less than one metre, arising during the normal course of manu­facturing (including processing) or packing or drawing samples; and

(ii) cut-pieces of a damaged or sub-standard saree of length more than 23 centimetres but less than 45 centimetres where the width of the saree is one metre or more, and of length more than 23 centimetres but less than 65 centimetres where the width of the saree is less than one metre;

(d) "chindies" means normal cut-pieces of a saree which are 23 centimetres or less in length including remnants or cut-pieces of a saree, damaged or otherwise deficient in standard.