Exemption to specified sophisticated textile machineries - 071/87 - Customs -Tariff

Exemption to specified sophisticated textile machineries Notification No. 71/87-Cus. Dated 1-3-1987 In exercise of the powers conferred by sub-section (1) of section 25 of the Customs Act, 1962 (52 of 1962), and in supersession of the notification of Government of India in the Ministry of Finance (Department of Revenue) No.157/86-Customs, dated the 1st March, 1986, the Central Government, being satis fied that it is necessary in the public interest so to do, hereby exempts machines specified in the Table hereto annexed and falling within Chapter 84 of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975), when imported into India, from - (a) so much of that portion of the duty of customs leviable thereon which is specified in the said First Schedule, as is in excess of 25 per cent ad valorem ; and (b) the whole of the additional duty leviable thereon under section 3 of the said Customs Tariff Act, subject to the following conditions, namely:- (i) the exemption shall apply only to new machines; (ii) the importer, at the time of import of the said machines, produces to the Assistant Collector of Customs, a certificate issued by an officer not lower in rank than a Joint Chief Controller of Imports and Exports to, the effect that - (1) the importer has executed a bond specified by the Chief Controller of Imports and Exports either to the effect that - (a) in the case of imported looms specified in the said Table, 75% of the goods produced by such looms shall be exported out of India; and (b) in the case of imported Rotor Spinning Machines specified in the said Table, 75% of the goods produced by such Rotor Spinning Machines shall be exported out of India or the goods so produced shall be utilised in the production of fabrics exported out of India, and (c) the export obligation mentioned in (a) and (b) of condition (ii)(1) above shall be fulfilled for a period of five years from the commence ment of production on the said looms or on the said Rotor Spinning Machines, as the case may be; or to the effect that - (a) in the case of imported looms specified in the said Table, goods produced by such looms and of value not less than 5 times the value of the machines as determined under section 14 of the Customs Act, 1962, shall be exported out of India within a period of 5 years from the date of importation of the said machines; and (b) in the case of imported Rotor Spinning Machines specified in the said Table, goods produced by such Rotor Spinning Machines and of value not less than 5 times the value of the machines as deter mined under section 14 of the Customs Act, 1962, shall be either exported out of India or the goods so produced shall be utilised in the production of fabrics exported out of India, within a period of 5 years from the date of importation of the said machines; and (c) the export obligations mentioned in (a) and (b) of condition (ii)(2) above shall be over and above the average export performance during the preceding 3 years; (3) the importer has undertaken to comply with such instructions as are issued by the Chief Controller of Imports and Exports to monitor and enforce the fulfilment of the said export obligation. THE TABLE Sl. No. Description of the machines 1. Airjet looms 2. Waterjet looms 3. Other shuttleless looms with reed space not less than 260 cms. 4. Rotor Spinning Machines. 2. This notification shall be in force upto and inclusive of the 31st day of March, 1988.