Home» Circulars» V. Imp Revised All Industry Rates Of Duty Drawback

 

 

Dear Members,   We are pleased to inform you that  Ministry of Finance, Department of Revenue, Government of India  has  notified Revised All Industry Rates of Duty Drawback.   In this regard, Government has issued Notification no. 95/2018-Cus (NT) Dated  06.12.2018  regarding changes in All Industry Rates (AIRs) of DBK.   This notification shall come into force on the 19th  day of December, 2018.   The revised AIR DBK rates for few items (under our purview) have been increased in  Chapter 29, 32, 33, 38 etc.   For the sake of convenience of members,  the  gist of  revised AIR DBK rates for items under CHEMEXCIL purview is provided as  follows:   Chapter AIR DBK Revised  Rate   Chapter 28   DBK Rates remain at 1.1 % (with exception of few  items with NIL rate)       Chapter 29   DBK Rate for most of the items remains at 1.5%  with the exception of  following items: Tariff Item Description of goods Unit Drawback Rate Drawback cap per unit in Rs. (T) (1) (2) (3) (4) (5) 290401 4,4- Dinitrostilbene 2,2- disulphonic acid   1.9%   290701 Para Cresol   1.7%   292101 4,4 DiaminoDiphenylSulfone Kg 3.2% 25.8 292102 Ortho Chloro Para Nitro Aniline Kg 2.7% 6.6                     Chapter 32   DBK Rate for most of the items remains at 1.5%  with the exception of  following items: Tariff Item Description of goods Unit Drawback Rate Drawback cap per unit in Rs. (T) (1) (2) (3) (4) (5) 320401 AZO Black Dix (Acid Black)   1.8%     320402 Reactive dyes Kg 2.8%   13.1 320403 Pigment violet Kg 2.5%   73.3 320404 Yellow 3 (Food colouring agent, Sunset Yellow)   1.9%     320405 Sulphur black(Sulphur based colouring matter) Kg 2.2%   3.4 320406 Solvent black (Solvent based colouring matter)   1.9%     320407 Optical brightener (Optical whitening agent) Kg 2.4%   13.5                     Chapter 33   The DBK rates in this chapter for items remain unchanged (0.15 to 1.5%)  with exception of  following items:   Tariff Item Description of goods Unit Drawback Rate Drawback cap per unit in Rs. (T)   (1) (2) (3) (4) (5) 3302 Mixtures of odoriferous substances and mixtures (including alcoholic solutions) with a basis of one or more of these substances, of a kind used as raw materials in industry; other preparations based on odoriferous substances, of a kind used for the manufacture of beverages       330201 Synthetic Perfumery Compounds   1.5%   330299 Others   0.15%   3307 Pre-shave,      shaving      or   after-shave                          preparations, personal deodorants, bath prepara-tions, depilatories and other perfumery, cosmetic or toilet preparations, not elsewhere specified or included, prepared room deodorisers, whether or not perfumed or having disinfectant properties       330701 Perfumed Agarbatti / Incense sticks / Dhoop / Loban Kg 3.9% 22.3                   Chapter 34      DBK Rate for  all tariff lines in this chapter is  1.5%   Chapter 38   DBK Rate for most of the items remain at 1.5%  with exception of  following  item: Tariff Item Description of goods Unit Drawback Rate Drawback cap per unit in Rs. (T)   (1) (2) (3) (4) (5)   380801 2,4-Dichloro Phenoxy Acetic Acid Kg 4.2% 7.4                       Important Notes and conditions:   The tariff items and descriptions of goods in the said Schedule are aligned with the tariff items and descriptions of goods in the First Schedule to the Customs Tariff Act, 1975 (51 of 1975) at the four-digit level only. The descriptions of goods given at the six digit or eight digit in the said Schedule are in several cases not aligned with the descriptions of goods given in the First Schedule to the Customs Tariff Act, 1975.   The figures shown in column (4) in the said Schedule refer to the rate of drawback expressed as a percentage of the free on board value or the rate per unit quantity of the export goods, as the case may be. The figures shown in column (5) in the said Schedule refer to the maximum amount of drawback that can be availed of per unit specified in column (3).   The rates of drawback specified against the various tariff items in the said Schedule in specific terms or on ad valorem basis, unless otherwise specifically provided, are inclusive of drawback for packing materials used, if any. Drawback at the rates specified in the said Schedule shall be applicable only if the procedural requirements for claiming drawback as specified in rule 12, 13 and 14 of the said rules, unless otherwise relaxed by the competent authority, are satisfied.   The rates of drawback specified in the said Schedule shall not be applicable to export of a commodity or product if such commodity or product is – Manufactured partly or wholly in a warehouse under section 65 of the Customs Act, 1962 (52 of 1962); Manufactured or exported in discharge of export obligation against an Advance Authorisation or Duty Free Import Authorisation issued under the Duty Exemption Scheme of  the relevant Foreign Trade Policy : Provided that where exports are made against Special Advance Authorisation issued  under paragraph 4.04A of the Foreign Trade Policy 2015-20 in discharge of export obligations in terms of Notification No. 45/2016- Customs, dated 13th August, 2016, the rates of drawback pecified in the said Schedule shall apply as if in the said Schedule, the entries in columns (4) and (5) against the Tariff items in the said Schedule below all Chapters, except Chapter 61 and 62, are NIL, and those in Chapters 61 and 62 are as specified in the Table annexed hereto; manufactured or exported by a unit licensed as hundred per cent Export Oriented  Unit in terms of the provisions of the relevant Foreign Trade Policy;   manufactured or exported by any of the units situated in Free Trade Zones or Export Processing Zones or Special Economic Zones manufactured or exported availing the benefit of the notification No. 2/1997 -Customs, dated 1st April, 1997   All claims for duty drawback at the rates of drawback notified herein shall be filed with reference to the tariff items and descriptions of goods shown in columns (1) and (2) of the said Schedule respectively. Where, in respect of the export product, the rate of drawback specified in the said Schedule is Nil or is not applicable, the rate of drawback may be fixed, on an application by an individual manufacturer or exporter in accordance with the said rules. Where the claim for duty drawback is filed with reference to tariff item of the said Schedule and it is for the rate of drawback specified herein, an application, as referred under sub-rule (1) of rule 7 of the said rules shall not be admissible.   This notification  (Notification no. 95/2018-Cus (NT) Dated  06.12.2018)  shall come into force on the 19th  day of December, 2018. For full text of the AIR Drawback Schedule and above-said Notification, please use below links:- 95/2018-Cus (NT) d.t 06.12.2018 View (4526 KB) देखें (4051 KB) Revised All Industry Rates of Duty Drawback http://cbic.gov.in/resources//htdocs-cbec/customs/cs-act/notifications/notfns-2018/cs-nt2018/csnt95-2018.pdf;jsessionid=C2C8CE81BFAEC19BA1AECF4513DE7EDB   Members are requested to take note of new provisions/ Rates  in Duty Drawback.   You can also  mail send your feed-back on ed@chemexcil.gov.in  & deepak.gupta@chemexcil.gov.in   Thanking You, Yours faithfully,   (S.G. BHARADI) Executive Director CHEMEXCIL