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Customs Notification No-73/2006 dated 10.7.2006
Exempts goods against a duty credit certificate issued under the Target Plus Scheme -reg.
G.S.R. 408 (E),- 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
goods when imported into India against a duty credit certificate issued under
the Target Plus Scheme in accordance with paragraph 3.7 of the Foreign Trade
Policy (hereinafter referred to as the said certificate) from, -
(a) the whole of the duty of customs leviable thereon under the First Schedule to the Customs Tariff Act, 1975 (51 of 1975); 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 :-
(1) that the benefit under this notification shall be available only in respect of duty credit certificate issued under the said Scheme to a Star Export House on the basis of incremental growth in FOB value of exports made during the financial year 2005-06 over the exports made during the financial year 2004-05;
(2) that the said certificate has been issued to a Star Export House by the Regional or licensing authority and it is produced before the proper officer of customs at the time of clearance for debit of the duties leviable on the goods, but for this exemption:
Provided that exemption from duty shall not be admissible if there is insufficient credit in the said certificate for debiting the duties leviable on the goods, but for this exemption;
(3) that the said certificate and goods imported against it shall not be transferred or sold:
Provided that where the goods are imported by a merchant exporter having supporting manufacturer(s) whose name and address is specified on the said certificate, the said goods may be utilised by the said supporting manufacturer(s);
(4) that in respect of capital goods, office equipment and professional equipment, a certificate from the jurisdictional Deputy Commissioner of Central Excise or Assistant Commissioner of Central Excise, as the case may be, is produced confirming installation and use of goods in the importer’s factory or premises within six months from the date of import or within such extended period as the Deputy Commissioner of Customs or Assistant Commissioner of Customs may allow :
Provided that in respect of units which are not registered with the central excise, the said installation certificate may be issued by an independent Chartered Engineer :
Provided further that where the capital goods, office equipment and professional equipment, are imported by a merchant exporter having supporting manufacturer(s), the goods may be installed in the factory or premises of the said supporting manufacturer(s);
(5) that the imports against the said certificate are undertaken through sea ports at Mumbai, Sikkim, Kolkata, Cochin, Magdalla, Kakinada, Kandla, Mangalore, Marmagoa, Chennai, Nhava Sheva, Paradeep, Pipavav, Sikka, Tuticorin, Visakhapatnam, Dahej, Mundhra, Nagapattinam, Okha, Bedi including Rozi-Jamnagar, Muldwarka, Porbander, Dharamtar and Vadinar or through any of the airports at Ahmedabad, Bangalore, Bhubaneswar, Mumbai, Kolkata, Coimbatore, Delhi, Hyderabad, Jaipur, Chennai, Srinagar, Trivandrum, Varanasi, Nagpur, Cochin, Rajasansi (Amritsar) and Lucknow (Amausi) or through any of the Inland Container Depots at Agra, Bangalore, Coimbatore, Delhi, Faridabad, Gauhati, Guntur, Hyderabad, Jaipur, Jallandhar, Kanpur, Ludhiana, Moradabad, Nagpur, Pimpri (Pune), Pitampur (Indore), Surat, Tirupur, Varanasi, Nasik, Rudrapur (Nainital), Dighi (Pune), Vadodara, Daulatabad (Wanjarwadi and Maliwada), Waluj (Aurangabad), Anaparthy (Andhra Pradesh), Salem, Malanpur, Singanalur, Jodhpur, Kota, Udaipur, Ahmedabad, Bhiwadi, Madurai, Bhilwara, Pondicherry, Garhi Harsaru, Bhatinda, Dappar (Dera Bassi), Chheharata (Amritsar), Karur, Miraj, Rewari, Bhusawal, Jamshedpur, Surajpur, Dadri, Tuticorin, Kundli, Bhadohi, Raipur, Mandideep (District Raisen), Durgapur (Export Promotion Industrial Park) and Babarpur or through the Land Customs Station at Ranaghat, Singhabad, Raxaul, Jogbani, Nautanva (Sonauli), Petrapole, Mahadipur, Nepalganj Road, Dawki, Agartala, Sutarkhandi, Amritsar Rail Cargo and Attari Road or Special Economic Zones as specified in the notification issued under section 76A of the said Customs Act;
(6) that where the importer does not claim exemption from the additional duty of customs leviable under section 3 of the said Customs Tariff Act, he shall be deemed not to have availed the exemption from the said duty for the purpose of calculation of the said additional duty of customs.
(7) that the importer shall be entitled to avail of the drawback or CENVAT credit of additional duty leviable under section 3 of the said Customs Tariff Act against the amount debited in the said certificate.
2. The following categories of exports shall not be counted for calculation of export performance or for computation of entitlement under the scheme -
(i) export of imported goods covered under para 2.35 of the Foreign Trade Policy or exports made through transhipment;
(ii) export turnover of units operating under SEZ/EOU/EHTP/STP/BTP Schemes or supplies made to such units or products manufactured by them and exported through DTA units;
(iii) deemed exports (even when payments are received in Free Foreign Exchange and payment is made from EEFC account);
(iv) service exports;
(v) diamonds and other precious, semi precious stones;
(vi) exports of gold, silver, platinum and other precious metals in any form, including plain and studded jewellery;
(vii) ores and concentrates, of all types and in all forms;
(viii) cereals, of all types;
(ix) sugar, of all types and in all forms;
(x) crude/petroleum oil and crude/petroleum based products covered under ITC HS Codes 2709 to 2715, of all types and in all forms;
(xi) export performance made by one exporter on behalf of another exporter.
Explanation, - In this notification –
(i) “goods” means any inputs, capital goods including spares, office equipment, professional equipment, office furniture, and agricultural products listed in Chapters 1 to 24 of the First Schedule to said Customs Tariff Act as may be notified by DGFT from time to time, which are freely importable under the Foreign Trade Policy;
(ii) “capital goods” has the same meaning as assigned to it in paragraph 9.12 of the Foreign Trade Policy;
(iii) "Foreign Trade Policy " means the Foreign Trade Policy 2004-2009 updated as on 31st March, 2005, published by the Government of India in the Ministry of Commerce and Industry vide notification No.1/(RE-2005), dated the 8th April, 2005 as amended from time to time;
(iv) “Regional or licensing authority” means the Director General of Foreign Trade appointed under section 6 of the Foreign Trade (Development and Regulation) Act, 1992 (22 of 1992) or an officer authorised by him to grant a license or certificate under the said Act.
Under Secretary to the Government of India.