Procedure to surrender export incentive

This query is : Resolved 

29 April 2025 We are an exporter of medical products and are eligible for the duty drawback. We exported the product to our customer against an advance payment. Currently, the customer has returned the product as he is unhappy. We have to surrender the duty drawback. Please advise.

29 April 2025 Rule 18 of the Customs and Central Excise Duties Drawback Rules, 2017, states that if the sale proceeds are not realized, the drawback paid will be recovered by customs authorities.

If the goods are returned and re-imported, you must inform customs and repay the drawback amount. This is because the export benefit was granted on the basis of the export, which is now nullified by the return of goods
Notify your authorized agent/bank and customs authorities about the return and initiate the process to repay the drawback amount.

30 April 2025 Sir, Thanks for your reply.

Is there any option to pay online or to approach the customs office with a DD?

30 April 2025 Yes, but only after getting the order from customs officer.

30 April 2025 Thanks, sir. We received the product through customs and paid the duty. Is it enough?

30 April 2025 If the duty (at prevailing rate) was paid while importing it back, question of duty drawback doesn't arise.

28 September 2025 Good luck.....


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