Exemption to goods imported for execution of an export order for jobbing - 32/1997 - Customs -Tariff

Exemption to goods imported for execution of an export order for jobbing 1 st April, 1997 Notification No. 32/97-Customs In exercise of the powers conferred by sub-section (1) of section 25 of the Customs Act 1962 (52 of 1962) and in supesession of the notification of the Government of India in the Ministry of Finance (Department of Revenue) No. 81/95-Customs, dated the 31st March, 1995, the Central Government, being satisfied that it is necessary in the public interest so to do, hereby exempts the goods imported into India from the whole of the duty of Customs leviable thereon which is specified in the first Schdule to the Customs Tariff Act, 1975 (51 of 1975) and from whole of the additional duty leviable thereon 1 [ under sub-sections (1), (3) and (5) of section 3 ] of the said Customs Tariff Act, subject to the following conditions, namely:- (i) that the goods are imported for execution of an export order placed on the importer by the supplier of goods for jobbing; (ii) that the goods so imported, including resultant products, are re-exported to the supplier of the goods or to any other person which the said supplier may specify within six months from the date of clearance or within such extended period as the Assistant Commissioner or Deputy Commissioner of Customs of Customs may allow: Provided that where the goods are in the nature of patterns drawings, jigs, tools, fixtures, moulds, tackles and instruments, such goods may be allowed by the Assistant Commissioner of Customs or Deputy Commissioner of Customs to be retained subject to payment of customs duties leviable as on the date of import without allowing any depreciation except for items specified in the negative list of import in the Export and Import Policy for which the impoter shall obtain and produce, necessary permission in terms of paragraph 7.12(v) of the Export and Import Policy: Provided further that the wastage arising during the process of jobbing, as determined in terms of Standard Input-Output norms published by the Government of India in the Ministry of Commerce in the Handbook of Procedure (Vol.2) and to where such Standard Input-Output norms for the resultatnt product have not been published, the satisfaction of the Assistant commissioner of customs or Deputy Commissioner of Customs 2 [***] shall be disposed off in the manner as may be specified by the said Assistant Commissioner of Customs or Deputy Commissioner of Customs 2 [***]; (iii) that the goods are utilised only for the discharge of export obligation and no part thereof shall be sold, loaned, transferred or otherwise used or disposed of; (iv) that the FOB value of the resultant products exported is at least 10% more than the C.I.F. value of all goods imported in relation to the said resulant products: Provided that where the resultant products are textile and clothing goods falling under chapters 50 to 63 of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975), the value addition under this condition shall be of any positive value; (v) that the jobbing is undertaken in accordance with the procedure set out in the Customs (Import of Goods at Concessional Rate of Duty for Manufacture of Excisable Goods) Rules, 1996; Provided that where the jobbing is to be undertaken by or through cottage industry without being confined to any specific premises, the importer shall execute 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 goods imported 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 fifteen percent per annum from the date of clearance of goods; (vi) that the imports and exports are undertaken through sea ports at Bombay, Calcutta, cochin, Kandla, mangalore, Marmagoa, Madras, Nhava Sheva, Paradeep, Tuticorin and Visakhapatnam or through any of the airports at Ahmedabad, Bangalore, Bombay, Calcutta, Coimbatore, Delhi, Hyderabad, Jaipur, Madras, Srinagar, Trivandrum and Varanasi or through any of the Inland container Depots at Bangalore, Coimbatore, Delhi, Gauhati, Hyderabad, Kanpur, Ludhiana, Moradabad, Pimpri (Pune) and Pitampur (Indore): 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. (vii) that the goods being imported are not prohibited items specified in the ITC (HS Classification of export and import) as declared by the Government of India in the Ministry of Commerce. 3 [ 2. Nothing contained in this notification shall have effect after the 31st March, 2026. ] Explanation .- In this Notification, - (i) Export and Import Policy means the Export and Import Policy 1 April 1997 - 31 March 2002, published vide notification of the Government of India in the Ministry of Commerce No. 1/1997-2002, dated the 31st March, 1997 or the Export and Import Policy April, 2002 - March 2007, published vide notification of the Government in the Ministry of Commerce Industry (Department of Commerce) No.1/2002-07, dated 31st March, 2002. (ii) Goods means raw materials, components, intermediates, semifinished goods, consumables, parts, packing materials inlcuding hangers for garments, patterns, drawings, jigs, tools, fixtures, moulds, tackles, instruments, and computer hardware and software, as are directly related to the export order and supplied free of cost by the foreign buyer. --------------------------------------------- Notes:- [Notifn. No.32/97-Cus. dt.1.4.97 as amended by Notifn. Nos. 1/99-Cus, dated 1-1-1999; No. 50/99-Cus, dated 29-4-1999; No. 89/99-Cus, dated 6-7-1999 and No. 105/03-Cus, dated 10-7-2003.]. 1. Substituted vide Not. 26/2017 - Dated 29-6-2017 , 1st day of July, 2017 , before it was read as. under section 3 2. Omitted vide Not. 26/2017 - Dated 29-6-2017 , 1st day of July, 2017 , before it was read as. and Central Excise 3. Inserted vide Notification No. 38/2024-Customs dated 23-07-2024 w.e.f. 24-07-2024