Dear Sir,
We have wire manufacturing unit in Rajasthan. We want to export wires in Europe, we use imported copper then there is custom duty of 5%. If we use the imported copper rod 8mm or 2.6mm do we need to pay the custom duty because we are going to use the same material to manufacture wires and export to Europe.
Best regards,
Tenzing
U CAN ISSUE THE ADVANCE LICENCE FROM CONCERNED DGFT ....HOW MANY EXPORT ORDER HAVE YOU?YOUR TURNOVER, ?????????
Advance Authorisation An Advance Authorisation is issued to allow duty free import of inputs, which are physically incorporated in the export product (making normal allowance for wastage). In addition, fuel, oil, energy, catalysts etc. which are consumed/utilised in the course of their use to obtain the export product, may also be allowed under the scheme.
Duty free import of mandatory spares upto 10% of the CIF value of the Authorisation which are required to be exported/ supplied with the resultant product may also be allowed under Advance Authorisation.
Advance Authorisations are issued on the basis of the inputs and export items given under SION. However, they can also be issued on the basis of Adhoc norms or self declared norms. Advance Authorisation can be issued either to a manufacturer exporter or merchant exporter tied to supporting manufacturer(s):
i) for Physical exports (including exports to SEZ); and/ or
ii) for Intermediate supplies; and /or
iii) to the main contractor for supply of goods to the categories mentioned in paragraph 8.2 (b), (c), (d), (e), (f), (g), (i) and
(iv) of the Foreign Trade Policy;
REGARDS,
CAclubindia
