Export : EOU through Merchant Exporter
This query is : Resolved
17 May 2010
If an EOU exports goods through Merchant Exporter then what would be the benefit to
EOU and how would the Merchant exporter Benefit?
EOU and how would the Merchant exporter Benefit?
21 May 2010
MR . A. N. SHARMA JI,
AS PER PARA 6.11 OF FOREIGN TRADE POLICY2009-2014,
SUPPLIES FROM DTA TO EOU / EHTP/STP/BTP/ UNITS WILL BE REGARDED AS "DEEMED EXPORTS" AND DTA SUPPLIER SHALL BE ELGIBLE FOR RELEVANT ENTITLEMENTS UNDER CHAPTER-8 OF FOREIGN TRADE POLICY, BESIDES DISCHARGE OF EXPORT OBLIGATION.
2. CENVAT CREDIT .
3. REIMBURSEMENT OF CENTRAL SALES TAX ,
4. EXEMPTION FROM CENTRAL EXCISE DUTY ,
5. CENVAT CERDIT FROM SERVICE TAX.
AS PER PARA"6.15
IN CASE ANY EOU / EHTP/STP/BTP UNIT IS UNABLE TO UTILISE GOODS AND SERVICES , IMPORTED OR PROCURED FROM DTA , IT MAY BE:
(1) TRANSFER TO ANOTHER EOU/EHTP/STP/BTP UNIT OR
(II) DISPOSED OFF IN DTA WITH APPROVAL OF CUSTOM S AUTHORITIES ON PAYMENT OF APPLICABLE DUTIES AND SUBMISSION OF IMPORT AUTHORISATION,
(III) EXPORTED , SUCH TRANSFER FROM EOU EHTP/STP/BTP UNIT TO ANOTHER UNIT WOULD BE TREATED AS IMPORT OF RECEIVING UNIT.
IN VIEW OF ABOVE, MERCHANT EXPORTER IS THIRD PARTY, AND CONSIGNEE WILL BE EXPORTER AND MERCHANT EXPORTER WILL INDICATE HIS NAME ON SHIPPING BILL AND AVAIL DEPB, DBK,AND CHAPTER-3 SCHEME .
EOU UNIT WILL SUBMIT A DECLARATION FOR NOT TAKING ANY BENEFIT.
DRAWBACK ALSO AVAILABLE FOR MERCHANT EXPORTER.
EOU ONLY AVAIL BENEFIT OF NET FOREIGN EXCHANGE.
THX
AS PER PARA 6.11 OF FOREIGN TRADE POLICY2009-2014,
SUPPLIES FROM DTA TO EOU / EHTP/STP/BTP/ UNITS WILL BE REGARDED AS "DEEMED EXPORTS" AND DTA SUPPLIER SHALL BE ELGIBLE FOR RELEVANT ENTITLEMENTS UNDER CHAPTER-8 OF FOREIGN TRADE POLICY, BESIDES DISCHARGE OF EXPORT OBLIGATION.
2. CENVAT CREDIT .
3. REIMBURSEMENT OF CENTRAL SALES TAX ,
4. EXEMPTION FROM CENTRAL EXCISE DUTY ,
5. CENVAT CERDIT FROM SERVICE TAX.
AS PER PARA"6.15
IN CASE ANY EOU / EHTP/STP/BTP UNIT IS UNABLE TO UTILISE GOODS AND SERVICES , IMPORTED OR PROCURED FROM DTA , IT MAY BE:
(1) TRANSFER TO ANOTHER EOU/EHTP/STP/BTP UNIT OR
(II) DISPOSED OFF IN DTA WITH APPROVAL OF CUSTOM S AUTHORITIES ON PAYMENT OF APPLICABLE DUTIES AND SUBMISSION OF IMPORT AUTHORISATION,
(III) EXPORTED , SUCH TRANSFER FROM EOU EHTP/STP/BTP UNIT TO ANOTHER UNIT WOULD BE TREATED AS IMPORT OF RECEIVING UNIT.
IN VIEW OF ABOVE, MERCHANT EXPORTER IS THIRD PARTY, AND CONSIGNEE WILL BE EXPORTER AND MERCHANT EXPORTER WILL INDICATE HIS NAME ON SHIPPING BILL AND AVAIL DEPB, DBK,AND CHAPTER-3 SCHEME .
EOU UNIT WILL SUBMIT A DECLARATION FOR NOT TAKING ANY BENEFIT.
DRAWBACK ALSO AVAILABLE FOR MERCHANT EXPORTER.
EOU ONLY AVAIL BENEFIT OF NET FOREIGN EXCHANGE.
THX
21 May 2010
EOU is the Manufacturer of the goods. Merchant exporter is the exporter.
Container is sealed in EOU premises.
Consignee is abroad.
ARE-1
Both will sign the ARE-1
Procedure:
1.Invoice and Packing List: Merchant Exporter: Addition of Manufacturer Exporter, Consignee Abroad.
2.GSP Merchant Exporter
3.BL
Shipper
Merchant Exporter
Consignee
TO Order
Notify Party
Foreign Destination
Manufacturer Exporter (100% EOU),
Payment to EOU in INR
Therefore Who will Benefit?
Container is sealed in EOU premises.
Consignee is abroad.
ARE-1
Both will sign the ARE-1
Procedure:
1.Invoice and Packing List: Merchant Exporter: Addition of Manufacturer Exporter, Consignee Abroad.
2.GSP Merchant Exporter
3.BL
Shipper
Merchant Exporter
Consignee
TO Order
Notify Party
Foreign Destination
Manufacturer Exporter (100% EOU),
Payment to EOU in INR
Therefore Who will Benefit?
21 May 2010
SIR,
PLEASE GO TO THE FOLLOWING PATH:
https://www.rbi.org.in/scripts/NotificationUser.aspx?Id=183&Mode=0
PLEASE GO TO THE FOLLOWING PATH:
https://www.rbi.org.in/scripts/NotificationUser.aspx?Id=183&Mode=0
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