OFFICE OF THE COMMISSIONER OF CUSTOMS:
C.R.BUILDING:QUEEN’S
ROAD:BANGALORE-560 001.
C. No. V111/48/07/2010 Cus Tech Dated: 8.01.2010
TRADE FACILITY CIRCULAR
NO. 02
/2010
Sub: Introduction of duty
drawback on gold and silver jewellery — Procedure for drawback claim thereof—
reg.
Attention of all exporters, CHAs and trade is invited to the Notification No. 175/2009-Cus [NT] dated 27.11.2009 and Board’s Circular No. 33/2009-Cus dated
27.11,2009 issued in connection with granting of drawback on gold and silver jewellery exports. As per the said notification, new entries for gold and silver jewellery and parts thereof have been introduced at SI. No. 711301 and 711302 and drawback will be admissible at specific rates based on the content of gold i.e. 0.995 or more purity and silver with 0.999 purity. The drawback is admissible only for exports made from ACC.
2 Since drawback for gold and silver jewellery shall be admissible subject to purity as aforesaid, it is necessary to ascertain the quality and quantum of such gold / silver exported by subjecting the goods to examination by approved Customs Jewellery Expert.
3. The drawback rates provided for gold and silver jewellery and parts thereof shall not be applicable to goods manufactured or exported in discharge of export obligation against any scheme of the relevant Export & Import Policy or the Foreign Trade Policy of the Government of India, which provides for duty free import / replenishment / procurement from local sources of gold / silver.
4. In order to ensure the smooth implementation of the drawback scheme, the following procedure is prescribed:
a) the exporter shall file drawback shipping bill [green colour] manually at ACC Bangalore in quadruplicate with proper serial number recorded in the register. The format of SB shall be same as is being filed at present in the case of re-export of imported goods under claim for drawback as per Section 74 of the Customs Act, 1962 and the same shall be accompanied by the following documents:
(i) Export invoice
(ii) Copy of export contract I Letter of Credit [LC]
(iii) Packing List
(iv) GR-I form in duplicate
(v) Declaration as per enclosed Annexure I
(vi) Certificate of registration with the Gem & Jewellery Export Promotion
Council,
(vii) Certificate of purity, weight etc prepared by any one of the panelists
belonging to the approved panel of jewellery experts
b) the shipping bill must contain item wise details indicating identification mark, gross weight and net weight of gold content [0.995 or more purity] I net silver content [0.999 purity) as the case may be.
c) the goods and the Shipping Bill shall be presented to the designated customs officers, hereinafter referred to as the Jewellery Appraiser/ Jewellery Examiner, for assessment, examination and certification of the purity of the goods under export. It may also be noted the certificate of purity , weight etc prepared by the panel of approved jewellery experts( in terms of sub-clause vii of para 4 above) would not be the sole document for assessing the purity and weight of the goods under export. The details as contained in such certificate or certificates issued by the panelists would be corroborated and confirmed by
designated Jewellery Appraiser/Jewellery Examiner of the Department by way of endorsement on the Shipping Bill, Invoices and other requisite documents.
d) All Shipping Bills with FOB value more than Rs. 10 Lakhs or those with duty drawback amount of more than Rs. 1 Lakh shall be countersigned by the Assistant / Deputy Commissioner [Exports].
e) The jewellery and parts meant for export shall be packed in steel / tin containers of suitable size. These containers shall be sealed by the proper officer with one time seal and separate serial numbered one time security seals after examination and certification of content (0.995 or more purity) / net silver Content (0.999 purity) as the case may be. The serial number of the security seal shall be indicated on the shipping bill by the. designated Jewellery Appraiser/Examiner.
f) The Superintendent of Customs in charge of exports shall issue Let Export Order after ensuring that the seals are in order and after confirming the assessment and examination particulars recorded on the Shipping Bill by the Jewellery Appraiser/Examiner
g) Triplicate copy of the Shipping Bill for export of goods under a claim for drawback shall be deemed to be a claim for drawback filed on the date on which the proper officer of Customs makes an order permitting clearance and loading of goods for exportation under Section 51 and said claim for drawback shall be retained by the proper officer making such order:
The said claim for drawback shall be accompanied by the following documents, namely:
(i) Export invoice
(ii) Copy of export contract / Letter of Credit [LC]
(iii) Packing List
(iv) Declaration as per enclosed Annexure I
(v) Certificate of registration with the (3cm & Jewellery Export Promotion Council.
h) the EGM details vis-à-vis flight details shall be recorded by the proper officer on the triplicate copy of the shipping bill and the same shall be sent to the drawback Section for processing and sanction of drawback claims. A separate register shall be maintained at the Export Shed about the receipt of such shipping bills and transmission of the same to drawback Section.
5. In order to disburse the drawback amount, the exporter shall provide to the
Assistant / Deputy Commissioner [Drawback], the details of their bank account along with IFSC code and Authorized Dealer Code, for crediting the drawback amount. No claim shall be sanctioned unless this information has been provided.
6. The Drawback shall be sanctioned within 7 days of receipt to drawback claim in Drawback Section.. The drawback Section shall disburse drawback amount by issue of a consolidate cheque on weekly basis for the exporters who have their bank account with any branch of the Punjab National Bank. A consolidated cheque shall be forwarded to PNB, BIAL for onward credit to the accounts of the respective exporters. For rest of the exporters who do not have an account with any branch of the Punjab National Bank, individual cheques shall be issued which shall be dispatched only registered post/speed post. There will be no hand delivery of cheques under any circumstances.
7. Any difficulties may be brought to the notice of the
Additional Commissioner, Air Cargo Complex, BIAL,
8. The Trade Facility comes into effect from 1.2.2010.
Sd/-
(B.BHATTACHARYA)
COMMISSIONER.
To
Copy to the Chief Commissioner of Customs,
Bangalore Zone,
Copy to the Additional Commissioner/Joint
Commissioner of Customs, Air Cargo Complex, BIAL,
Copy to the Joint Commissioner of Customs,
ICD, Whitefield,
Copy to the Deputy Commissioner of Customs,
Customs Division,
Copy to the CHA Association,
ANNEXURE 1
DECLARATION BY TUE EXPORTER FOR EXPORT OF GOLD / SILVER
JEWELLERY OR PARTS THEREOF UNDER CLAIM OF DRAWACK
I / We ………………….[name of the exporter] hereby declare that:
1. The weight of gold I silver declared in the shipment s of 0.994 or more purity of o1d or 0.999 purity of silver
2. That the gross weight is more than gold / silver content and the net gold content [0.995 or more purity] / net silver content [0.999 purity] is and the drawback claim has been restricted to this quantity only.
3. The export is not under any other export promotion scheme under which gold/silver is supplied / replenished duty free.
* Strike out whichever is inapplicable.
Name, address and signature of’ the Exporter
Dated: IEC No