CUSTOMS Notification No 80/1995, Exemption to the materials when imported into India against an Advance Licence issued on or after 1st April, 1995, covered by a Quantity Based Duty Exemption Entitlement Certificate

Notification No. 80 dated 31^st March 1995 (As amended by notification nos. 25/96, 49/99, 121/99, 120/2000, 30/2001, 122/2001, Notification No. 113 dated 16^th October 2002, Notification No. 125 dated 12^th November 2002, Finance Bill 2003-2004)

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 materials imported into India, against an Advance Licence issued on or after 1^st April, 1995 (hereinafter referred to as the said licence), from the whole of the duty of customs leviable thereon which is specified in the First Schedule to the Customs Tariff Act, 1975 (51 of 1975) subject to the following conditions, namely:-

(i)������� that the materials imported are covered by a Quantity Based Duty Exemption Entitlement Certificate (hereinafter referred� to as the said certificate), issued by the Licensing Authority on or after 1^st� April, 1995 in the form specified in the Schedule annexed to this notification, in respect of the value, quantity, description, quality and technical characteristics;

Provided that where the quantity allowed for a particular description of material cannot be imported within the specified value under the said Certificate, the Collector of Customs may allow adjustment of individual values within total value;

(ii)������ the importer at the time of clearance of the imported materials-

(a) produces proof of having executed a bond or a legal undertaking before the Licensing Authority concerned, for complying with the conditions of this notification; and

(b) executes 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 binding himself to pay on demand, an amount equal to the duty leviable on the imported materials but for the exemption contained herein, in respect of which the conditions specified in this notification in this notification have not been complied with together with interest at the rate of 15% per annum from the date of clearance of the materials;

Provided that the bond or legal undertaking shall not be necessary in respect of imports made after discharge of export obligation in full, as evidenced by endorsement of Licensing Authority in the said certificate;

(iii)������ that the said licence and the said certificate are produced before the proper officer of Customs at the time of clearance of imported goods for debit,

(iv)������ that the imports and exports� are undertaken through the sea ports at Mumbai, Calcutta, Cochin, Magdolla, Kakinada, Kandla, Mangalore, Marmagoa, Madras, Nhava Sheva, Paradeep, Pipavav, Sikka, Tuticorin, Visakhapatnam, Dahej, Nagapattinam, Okha and Mundhra, or through� any of the airports at Ahmedabad, Bangalore, Bhubaneshwar, Mumbai, Calcutta, Coimbatore, Delhi, Hyderabad, Jaipur, Madras, Srinagar, Trivandrum, Varanasi, Nagpur and Cochin or through any of the Inland Container Depots at Agra, Bangalore, Coimbatore, Delhi, Faridabad, Gauhati, Guntur, Hyderabad; Jaipur, Jalandhar, 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 and Garhi Harsaru or through the Land Customs Station at Ranaghat, Singhabad and Rakaul.

Provided that the Commissioner of Customs, may be special Order and subject to such conditions as may be specified by him, permit import and export through any other Seaport, Airport, or Inland Container Depot or through the Land Customs Station.

(v)������� that the export obligations is discharged, within the period specified in the said certificate or within such extended period as may be granted by the Licencing Authority or the Director General of Foreign Trade, by exporting goods manufactured in India and the said� certificate bearing an endorsement of the Licencing Authority evidencing discharge of export obligation within a period of 30 days of the expiry of period allowed for fulfilment of export obligation or within such extended period as the said Assistant Collector of Customs may allow;

(vi)������ exempt materials shall not be disposed of or utilized in any manner, except for utilisation in discharge of export obligation, before the export obligation under the said licence has been discharged in full;

Provided that the Acetic Anhydride, Ephedrine and Pseudoephedrine Vitamin Pen-G and their derivatives in respect of which the benefit of this notification is claimed shall be utilised by the importer in his own factory or in the factory of any other manufacturer indicated in the said certificate even after discharge of export obligation:

(vii)����� where benefit of the notification is sought by a person other than the licencee, such benefit shall be allowed against the said licence and the said certificate only if it bears endorsement of transferability by the Licensing Authority.

Provided that benefit of this notification shall not be allowed to a transferee of licence for import of Acetic Anhydride, Ephedrine and Pseudoephedrine.