17th May, 2006
NOTIFICATION No. 44/2006-Customs
G.S.R 291 (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 amends or further amends,
as the case may be, each of the notifications of the Government of India in the Ministry of Finance (Department of Revenue),
specified in column 2 of the Table below, in the manner specified in the corresponding entry in column 3 of the said Table,
namely:-
Table
Sl.
No.
Notification
No. and
Date
Amendment
1 2 3
1.
94/96-
Customs,
dated the 16
th
December,
1996, G.S.R.
569(E),
dated the 16
th
December,
1996.
In the said notification,-
(i) in the table,-
(a) after Sl. No. 2A and the entries relating thereto, the following Sl. No. and entries shall be inserted, namely:-
1 2 3
"2B.
Cut and polished precious and semi
precious stones exported for treatment
abroad as referred to in Paragraph
4A.20.1 of the Foreign Trade Policy,
other than those falling under Sl. No.
1";
Duty of Customs which would be leviable if the value of re-
imported precious and semi precious stones after treatment
were made up of the fair cost of treatment carried out including
cost of materials used in such treatment, whether such costs are
actually incurred or not, insurance and freight charges, both
ways.";
(ii) for the Explanation, the following Explanation shall be substituted , namely:
" Explanation.- For the purposes of this notification,-
(a) goods shall not be deemed to be the same if they are re-imported from abroad after being subjected to
remanufacturing or reprocessing through melting, recycling or recasting;
(b) 'Foreign Trade Policy' means Foreign Trade Policy, 1
st
September, 2004- 31
st
March, 2009, published
by the Government of India in the Ministry of Commerce and Industry vide notification No 1(RE-2006)/2004-
2009, dated the 7
th
April, 2006, as amended from time to time.".
2.
55/2001-
Customs,
dated the 16
th
May,
2001, G.S.R.
360(E),
dated the 16
th
may,
2001.
In the said notification, in condition (iv), after entry (h), the following entry shall be inserted, namely:-
" (i) Diamond Trading Company, Maidenhead, United Kingdom".
3.
52/2003-
Customs,
dated the
31
st
March,2003,
G.S.R.
274(E),
dated the 31
st
March,
2003.
In the said notification,-
(1) in the first paragraph,-
(i) in condition (4), clauses (ii) and (iiia) shall be omitted;
(ii) after condition (4a), following conditions shall be inserted , namely:-
" (4b) The unit may transfer capital goods or goods manufactured, produced, processed or packaged in that
unit to any other unit in a Special Economic Zone (SEZ) or other Export Oriented Undertaking (EOU) or
Electronic Hardware Technology Park (EHTP) unit or Software Technology Park (STP) unit, as the case may
be, without payment of duty for the purpose of manufacture and export therefrom or for use within the unit after
giving prior intimation to the said officer, subject to maintenance of proper accounts of removal and receipt of
goods and following the procedure of in-bond movement of goods;
(4c) The unit may remove the capital goods temporarily within the country without payment of duty for
the purposes of test, repair, calibration, refining and return thereof, after giving intimation to the said officer,
subject to maintenance of proper accounts of removal and receipt of goods.";
(2) in paragraph 6, in condition (ii), for the words "in case of unit other than those which are in existence for
less than two years", the words "the unit" shall be substituted;
(3) for paragraph 10, the following paragraph shall be substituted, namely:-
" 10. Notwithstanding anything contained in this notification,-
(i) the exemption contained herein shall also apply to spares and components, to the extent of 1.5 (one
point five) percent. of the Free on Board (FOB) value of the manufactured articles exported by the unit during
the preceding year for the purpose of supply of such spares and components for after-sale-service during the
warranty period of the exported articles to the same consignor or buyer to whom manufactured articles were
exported subject to the condition that such supply is specifically stipulated in the relevant export contract and
the said officer is satisfied that the Cost Insurance Freight (CIF) value of such imported spares and
components has been included for computation of sum total of all imported goods for arriving at the Net
Foreign Exchange Earning (NFE) as required under the Foreign Trade Policy;
(ii) the exemption contained herein shall also apply to import and supply of promotional materials like
brochures, literatures, pamphlets, hoardings, catalogues and posters of products for the purpose of export
promotion activities, to the extent of 1.5 (one point five) percent. of the Free on Board (FOB) value of the
preceding year's exports:
Provided that the export value of such spares, components and promotional materials shall not be taken into
consideration for fulfilment of Net Foreign Exchange Earnings (NFE) and for availing Domestic Sale
Entitlement as specified in paragraph 6.8 of the Foreign Trade Policy.";
(4) for paragraph 11A, the following paragraph shall be substituted, namely:-
"11A. Notwithstanding anything contained in this notification, if the said officer is satisfied that the unit
engaged in the manufacture of textiles and textile articles has left over textile fabric or textile material, he shall
allow such unit to clear such unutilized left over textile fabric or textile material into Domestic Tariff Area on
payment of duty on transaction value as if the goods have been manufactured in that unit:
Provided that such clearance shall be allowed only where the said officer certifies that the textile fabric or
textile material proposed to be cleared are left over and that such clearance do not exceed two percent. of the
Cost Insurance Freight value or the quantity of imported consignments in the previous year to which such left
over textile fabric or textile material relates, whichever is lower.".
(F.No: DGEP/FTP/382/2006)
Note:
1 . Notification No. 94/96-Customs, dated the 16
th
December, 1996 was published vide number G.S.R. No. 569 (E), dated
16
th
December, 1996 and was last amended vide G.S.R. 16(E), dated the 5
th
January, 2000.
2. Notification No. 55/2001-Customs, dated the 16
th
May, 2001 was published vide number G.S.R. 360(E), dated the 16
th
May, 2001 and was last amended by notification No. 21/2006-Customs, dated the 1
st
March, 2006, G.S.R. 122(E), dated the
1
st
March, 2006.
3. Notification No. 52/2003-Customs, dated the 31
st
March, 2003 was published vide number G.S.R 274(E), dated the 31
st
March, 2003 and was last amended by notification No.50/2005-Customs, dated the 20
th
May, 2005, G.S.R. 331(E), dated the
20
th
May, 2005.
