Drawback on Exports by
Surface (Land) to Nepal, Bhutan and Myanamar
Drawback on exports to Nepal, Bhutan and Myanmar (Burma) by land shall be
admissible on the following terms and conditions.
There are three different policies for drawback against exports to these
countries. These are –
(i) exports against an irrevocable letter of credit established by Nepalese,
Bhutanese or Burmese importers of any items to any person,
(ii) supplies to projects in Nepal or Bhutan financed by UN, World Bank IDA or
ADB or any other multilateral agency but for which payment is received in any
freely convertible currency.
(iii) capital goods exports to Nepal against global tender for which payment is
received in Indian currency.
Payment for Exports
Nepal, Bhutan, Myanmar. Drawback will be admissible against export to Nepal,
Bhutan and Myanmar, provided an irrevocable Letter of Credit (L/C) in freely
convertible currency is established by the Nepalese, Bhutanese or Burmese
importers in favour of Indian exporters for the value of export goods.
Nepal and Bhutan. It shall also be available against supplies to projects in
Nepal/Bhutan financed by any United Nations Agency or the International Bank for
Re-construction and Development (IBRD) or the International Development
Associations (IDA) or the Asian Development Bank (ADB) or any other multilateral
agency of the like and for which payment is received in freely convertible
currency.
Global Tender
If capital goods i.e. items of machinery including prime movers, instruments,
apparatus and appliances, control gear and transmission equipment as well as
auxiliary equipment (including those required for research and development
purposes, testing and quality control), required by an importer for production
of goods or for rendering services including those for replacement or expansion,
are exported under claim of drawback to any place in Nepal against any global
tender invited by Nepal and for which payment is received in Indian currency,
such items will also be eligible to drawback.
Bank Certificate
The exporter is required to produce a certificate duly signed by the concerned
bank in India showing the payment in freely convertible currency or, as the case
may be, in Indian currency.
Land Routes
Where the exports take place through Land Customs Stations, such exports shall
be through the following Land Customs Stations.
Nepal
1. Jogbani
2. Nautanawa
3. Raxaul
Myanamar
4. Darranga
5. Jaigaon
6. Imphal-Pallel-Taruk Road (NH-39)
7. Ledo-Tirap-Manpong Pangsu Pass Road
FOB Value
For exports undertaken from various Land Customs Stations, the f.o.b. value will
be taken to include the cost of transportation from the point of loading
of export goods, any where in India, upto the Land Customs Station from which
export is being effected. The cost of international transportation beyond the
Indian Land Customs Station, into the neighbouring country will be excluded from
the f.o.b. value.
Export Procedure
For export by land (or by air) to any destination, in Nepal, Bhutan and Myanamar,
the exporter should present a Bill of Export (B. Ex.) to the
Superintendent at the Land Customs Station. Along with the Bill of Export, the
following additional documents are to be submitted in case of exports to
Nepal/Bhutan/Myanamar:
(i) export i.e. commercial invoice,
(ii) packing list/weight specification,
(iii) pre-shipment inspection certification where the goods are subject to such
inspection,
(iv) Govt. of India’s letter (copy) where a brand rate has been fixed.
(v) Export licence/contract.
The following additional documents are to be submitted to the
Commissioner of Customs (Preventive) Office, Patna (Bihar) after the completion
of export to Nepal.
(i) bank certificate in the prescribed form for having received the specified
amount of foreign exchange in US Dollars or UK Sterling Pounds,
(ii) invoice
(iii) evidence of the receipt of goods in Nepal/Bhutan/Myanamar.
While submitting these documents, the exporter should quote the relevant Bill of
Export No. and date for necessary linking of documents relating to drawback
claim.
Declarations/Statements
For declarations/statements on relevant documents, See Chapter 6.
Exports/Claim Made before
Commencement of 1995 Rules
See Chapter 6.