Notification No. 37 dated 8th
May 2000 (As amended by Notification No. 52 Dated 6th November 2001,
Notification No. 35 dated 24th June 2002)
In exercise of the powers conferred
by sub-section (1) of section 5A of the Central Excise Act, 1944(1 of 1944),
read with sub-section (3) of the Additional Duties of Excise (Goods of Special
Importance) Act, 1957(58 of 1957), the Central Government, being satisfied that
it is necessary in the public interest so to do hereby exempts excisable goods
specified in the Table below (hereinafter referred to as the said goods), when
brought for use in a granite quarry for the purpose of quarrying of granite
(hereinafter referred to as the said purpose ) , by hundred percent export
oriented units, approved by the Board of Approvals for hundred percent export
oriented units, appointed by a notification of Government of India in the
Ministry of Industry (Department of Industrial Policy and Promotion), or the
Development Commissioner concerned, as the case may be, (hereinafter referred
to as the said EOU Board) or by units within an Export Processing Zone or a
Free Trade Zone specified in Annexure-1 to this notification
(hereinafter referred to as the Zone), approved by the Board of Approvals for
Export Processing Zone appointed by a notification of Government of India in
the Ministry of Industry (Department of industrial Policy and Promotion) or the
Development Commissioner concerned, as the case may be, for the said purpose
(hereinafter referred to the said EPZ Board), from the whole of duty of excise
leviable thereon under section 3 of the Central Excise Act, 1944 (1 of 1944)
and the additional duty of excise leviable thereon under section 3 of the
Additional Duties of Excise� (Goods of
Special Importance ) Act , 1957 (58 of 1957) , subject to the following
conditions, namely:-
(1)����� The unit has been granted necessary
approval for procurement of said goods for the said purpose.
(2)�� The said goods are brought directly to the
unit from the factory of manufacture or from the warehouse.
(3)�� The said goods are used by the unit for the
purpose of quarrying of granite meant for the further processing or manufacture
or production of article of granite for export by its own export oriented unit
or its unit in the Zone
(4)�� The unit executes a bond with the Assistant
Commissioner of Customs or Central Excise or Deputy Commissioner of Customs or
Central Excise in the prescribed form and for such sum as may be specified by
the Assistant Commissioner of Customs or Central Excise or Deputy Commissioner
of Customs or Central Excise, binding itself:
(a)��� to use the said goods only for its own
export oriented unit or its unit in the zone, as the case may be;
(b)��� to fulfill the export obligation and Net
Foreign Exchange Earning as a Percentage of Export and comply with conditions
stipulated in this notification and the Export and Import Policy;
(c)��� to pay on demand an amount equal to the duty
as leviable on the goods and interest at the rate of fifteen per cent per annum
on the said duty from the date of duty free procurement of the said goods till
the date of such duty, if-
(i)���� in the case of capital goods, such goods
are not proved to the satisfaction of the Assistant Commissioner of Customs or
Central Excise or Deputy Commissioner of Customs or Central Excise to have been
installed or otherwise used within a period of one year from the date of
procurement thereof or within such extended period not exceeding five years as
the Assistant Commissioner of Customs or Central Excise or Deputy Commissioner
of Customs or Central Excise may, on being satisfied that there is
sufficient� cause for not using them as
above within the said period, allow,
(ii)��� In case of goods other than capital goods,
such goods are not proved to the satisfaction of the Assistant Commissioner of
Customs or Central Excise or Deputy Commissioner of Customs or Central Excise
to have been used in connection with the quarrying of granite or re-exported
within the period of one year from the date of procurement thereof or within
such extended period as the Assistant Commissioner of Customs or Central Excise
or Deputy Commissioner of Custom or Central Excise may, on being satisfied that
there is sufficient cause for not using them as above within the said period ,
allow,
(iii)�� in case of components, spares and consumables
procured duty free, the unit fails to achieve the Net Foreign Exchange Earning
as a Percentage of Exports (NFEP) and Export Performance (EP) as specified in
Appendix-1 of the Export and Import Policy with in one year of procurement of
such goods or within such extended period, not exceeding one year, as the
Assistant Commissioner of Customs or Central Excise or Deputy Commissioner of Customs
or Central Excise may on being satisfied that there is sufficient cause, allow:
Provided
that the Commissioner of Customs or Central Excise may
extend the period of achievement of Net Foreign Exchange Earning as a
Percentage of Export (NFEP) or Export Performance (EP) for further period not
exceeding five year from the date of procurement.
(5)�� The unit maintains a proper account of
receipt, consumption and utilization of the said goods and granite so quarried
and transferred to his processing unit or to any other export oriented unit or
units in the Zone, and shall submit such accounts periodically to the
Development Commissioner of the Zone and to the Assistant Commissioner of
Customs or Central Excise or Deputy Commissioner of Customs or Central Excise,
in such form and in such manner as may be laid down by the Development
Commissioner.
(6)�� The manufacturer of the said goods follows
the procedures contained in rules 11 and 20 of the Central Excise Rules, 2002.
(7)�� The manufacturer of the said goods
follows the procedure contained in the Central Excise (Removal of Goods at
Concessional Rate of Duty for Manufacture of Excisable Goods) Rules, 2001, with
the modification that a certificate in Form CT-3 annexed to this notification
as Annexure-III shall be used by the Central Excise officer in charge of the
user industry in place of an application in the Form at Annexure-I provided in
the said rules.
(8)�� The quarries are in the name of the unit
either or �lease-basis� or on �ownership basis�. The location and area of
quarries or any subsequent changes in location of quarry or quarries at a later
stage, shall be intimated by the unit to the Development Commissioner and the
Assistant Commissioner of Customs or Central Excise or Deputy Commissioner of
Customs or Central Excise.
(9)�� The Assistant Commissioner of Customs or
Central Excise or Deputy Commissioner of Customs or Central Excise may, subject
to such conditions and limitations as he may specify and subject to the
provisions or the Export and Import Policy, allow-
a.���� the unit to supply granite so quarried to
other Export Oriented Units or units in the Zone without payment of duty;
b.���� the said goods to be taken out temporarily
without payment of duty for repairs and return thereof;
c.���� the unit to export the said goods;
d.���� destruction of obsolete capital goods
without payment of duty, if such goods are destroyed in the presence of the
Customs or Central Excise Officer.
(10)The said goods shall not be transferred or
shifted to any other site or quarry owned or taken on lease by the unit without
permission of the Assistant Commissioner of Customs or Central Excise or Deputy
Commissioner of Customs or Central Excise.
(11)The accounts of the said goods used at the
quarrying site shall be kept in the site in a properly constructed office to
enable the verifications of the same as and when required.
(12)The goods so quarried shall be removed from the
quarry site only for supply to unit�s own processing unit in the Zone or
Export-Oriented Unit or for supply to an other hundred percent Export-Oriented
Unit or the units in the Zone engaged in processing or production or
manufacture of article of granite and export thereof and shall not be allowed
to exported as such or to be cleared in Domestic Tariff Area.
2.���� Without prejudice to any other provision
contained in this notification, the Assistant Commissioner of Customs or
Central Excise or Deputy Commissioner of Customs or Central Excise may, subject
to such conditions and limitations as he may deem fit to impose under the
circumstances of the case for the proper safeguard of the revenue interest and
also subject to such permission of the Development Commissioner, where it is
exclusively required under the Export and Import Policy, allow the unit to
clear the said goods to any place in India in accordance with Export and Import
Policy -
(a)��� such clearance of capital goods may be
allowed on payment of an amount equal to the excise duty leviable on such goods
on the depreciated value thereof and at the rate in force on the date of
payment of such duty;
(b)�� such clearance of goods other than capital
goods, may be allowed on payment of excise duty leviable on such goods on the
full value at the time of their clearance from the factory of manufacture and
at the rate in force on the date of payment of such excise duty.
Explanation: The depreciation in respect of
goods covered by clause (a) shall be allowed for the periods from the date of
their use in a quarry to the date of payment of duty.
Note: For the purposes of this notification, "Export
and Import Policy" means the Export and Import Policy, 2002-2007,
published by the Government of India in the Ministry of Commerce and Industry vide
notification No. 1/2002-07, dated the 31st March, 2007, as
amended from time to time.
TABLE
1.
Hydraulic Excavators
2.
Pneumatic Compressors
3.
Jack Hammers
4.
Hydraulic Drilling Machines
5.
Line Drillers
6.
Front End Loaders
7.
Pneumatic Grinders
8.
Diamond Wire Saws
9.
Dressing Machine
10. Core
Drilling Machine
11. Jet
Burners
12. Cranes
13. Derricks
14. Tippers
and Dumpers
15. Welding
Machine
16. Generating
Sets
17. Steel
Chains and Steel Ropes
18. D-Shackles
19. Diamond
Wires
20. Diamond
Segments
21. Tungsten
Carbon Drill Rods
22. Steel
Feathers & Wedges
23. Burner
Nozzle
24. Welding
Rods
25. Hydraulic
Oil and Lubricants
26. Explosives
27. Chisels,
Hammers, Chain Pulley Blocks.
28. Steel
Pillow Kits
29. Dust
Collector
30. Consumables
and tools
ANNEXURE I:
Name of the Zone
1.
Omitted
2.
Omitted
3.
Falta Export processing Zone
4.
Madras Export Processing Zone
5.
Noida Export Processing Zone
6.
Omitted
7.
Vishakhpatnam Export Processing Zone
8.
Omitted
9.
Kay-Foam Export Processing Zone, Kandivili, Mumbai.
Note: The Zone shall comprise of places bearing
survey numbers and enclosed by boundaries as may be specified by the
jurisdictional Commissioner of Customs in a Public / Trade Notice, issued in
this behalf.
ANNEXURE II:
FORM C.T-3
Certificate for removal of excisable goods
under bond
No._______________
Date _____________������� �
This is to certify that:
(1) Mr./Messer
__________________________________________ (Name and address) is/ are bona fide
licensee holding Licence No. ___________________________ Valid upto
_____________________________ .
(2) That
he/ they has/ have executed a bond in Form B-17 (General Surety/ General
Security) No. _____________________ Date __________________ for Rs __________
with the [Assistant Commissioner of Central Excise or Deputy Commissioner of
Central Excise] _____________________________ and as such may be permitted to
remove _________________ (quantity) of ___________________ (excisable goods)
from the unit at ________________________ to their undertaking ______________
at ______________________ .
(3) That the specimen signatures of
his/ their authorised agent, namely, Shri ______________________________are
furnished here below duly attested;
Specimen
Signature of Owner or his Authorised agent ____________________________________________
Attested
Central
Excise Officer-in-charge of the hundred percent Export Oriented Undertaking or
unit EPZ ____________________________