Dispatch to sez unit

This query is : Resolved

Ganesh Patil (Querist)
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12 December 2012 Dear Experts,
We are the manufacturing Co. of Material handling equipment. And 1st time Selling / Dispatching Material to SEZ unit.
please advice me what document required for dispatch to SEZ?
and which documents I have to get from Customer and Excise Dept. ?

thanks in advance

Ganesh Patil

Ganesh Patil

Ganesh Patil (Querist)
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12 December 2012 What is the UT - 1 bond ? And form ARE -1 ?

Asha Kanta Sharma

Asha Kanta Sharma

(Expert)
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21 July 2024 When dispatching goods to a Special Economic Zone (SEZ) unit in India, there are specific procedures and documents required to comply with SEZ regulations. Here’s a general overview of what is typically involved:

### Documents Required for Dispatch to SEZ:

1. **Invoice:**
- Prepare a commercial invoice detailing the goods being dispatched, their quantity, value, and other relevant information.

2. **Packing List:**
- A packing list specifying the contents of each package or container being dispatched.

3. **Transport Documents:**
- Documents such as a delivery challan or transport receipt to accompany the goods during transportation.

4. **Shipping Bill (ARE-1):**
- This is a key document required for dispatching goods to an SEZ unit. It serves as proof that goods are being sent from the Domestic Tariff Area (DTA) to the SEZ. The shipping bill is known as ARE-1 (Application for Removal of Goods under Claim for Rebate of Duty Paid on Excisable Materials Used in the Manufacture or Processing of Export Goods) in this context.

5. **Declaration and Undertaking:**
- The exporter (your company) needs to submit a declaration stating that goods are being dispatched to an SEZ unit and undertake to comply with SEZ regulations.

### Additional Requirements:

- **Form UT-1 (Under Taking - 1):**
- UT-1 bond is required when goods are supplied to SEZs. It's an undertaking to fulfill the obligations under the Central Excise Act, 1944. This bond ensures that goods cleared to SEZs are used for authorized purposes.

- **Form ARE-1:**
- As mentioned earlier, Form ARE-1 is the shipping bill used for removal of goods from DTA to SEZs. It needs to be filed with the customs authorities and endorsed by them after verification.

### Steps Involved:

1. **Preparation:**
- Ensure all documents (invoice, packing list, transport documents) are prepared accurately and comply with SEZ regulations.

2. **Customs Clearance:**
- Submit Form ARE-1 along with supporting documents to the customs for clearance. The customs will verify and endorse the ARE-1 after verification.

3. **Dispatch:**
- Once customs clearance is obtained, dispatch the goods to the SEZ unit along with the endorsed ARE-1 and other documents.

4. **Compliance:**
- Maintain records of dispatch and ensure compliance with SEZ regulations regarding documentation and procedures.

### Important Points:

- **Legal Compliance:** Ensure all documentation and procedures comply with SEZ rules and regulations to avoid penalties or delays.

- **Consultation:** It's advisable to consult with a customs clearing agent or SEZ consultant to ensure accurate documentation and compliance with current regulations.

By following these guidelines and understanding the specific documents required (such as ARE-1 and UT-1 bond), your company can successfully dispatch goods to an SEZ unit in India. This process facilitates smooth operations and compliance with SEZ regulations, enhancing business opportunities in designated SEZ areas.

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