960418

Duty drawback

only on textile

component of

consignments

RECORDER REPORT

KARACHI: The Collectorate of Customs has asked its rebate section to ensure that Central Excise Duty drawback is paid only on the textile component of the export consignments, and not the combined weight of the textile and non-textile materials.

In its order No. SI/Misc/20/95-Exp-R-I dated April 06, 1996, on the admissibility of drawback on textile materials under SRO 184(I)/95 dated 12-03-1995, the Collectorate of Customs (Exports) states that:

"Rebate of Central Excise Duty is admissible on tents and tarpaulins under SRO 184(I)/95 dated 12-03-1995 on the net weight of textile material only at the rate of Rs 2.50 per kg.

"It has been observed that some exporters of such items have been claiming rebate on the export of such consignments at the rate of Rs 2.50 per kg despite having some portion of non-textile accessories/materials in the consignments along with the textile materials, which is not in accordance with the said notification and invokes objection.

"In order to facilitate the exporters it has been decided that in future the exporters shall declare the weight of the textile and non-textile materials/accessories separately on the bill of export and relevant export documents.

"The Processing Section should ensure that the weight of textile and non-textile materials is declared separately on the bill of export and relevant export documents in case of consignments which contain both textile and non-textile materials and the staff of the Rebate Section concerned will ensure that rebate of Central Excise Duty is paid only on the textile component".