Deemed export pricing


SamSue (Partner)     11 June 2019

SamSue
Partner 
 1 likes  52 points

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Dear All:

We manufacture plastic bags/pouches for food packaging and do not export any of our product as of today.

We obtain raw material from different suppliers for our domestic sales. These raw material suppliers also provide raw material at deemed export price. The deemed export price of raw material is less than (by few thousand rupees per metric tonne) the domestic raw material price.

Our customer is operating from a SEZ location. They buybags/pouches from us, pack their food product in our bags/pouches and export 100% of their production.

Our customer is of the opinion that we are eligible to obtain raw material at deemed export price as our bags/pouches are used to pack their products and the being exported.  

I have spoken with our raw material suppliers and unable to get a clear response. I would like to know:

If we can avail deemed export pricing from our raw material suppliers? If yes, what document, etc., we have to submit to our raw material supplier and are there any conditions we have to fulfil .

 

Would appreciate your response or direct me to a right Forum who can help me.

 

Thanks and Regards,

 

Sam & Sue

 




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