Skimmed Milk, Baby Food, Butter Oil etc exempted from Basic Customs Duty
CENTRAL Government has amended S. No. 3 of Notification No. 21/02-Cus granting exemption from basic customs duty for goods falling under Chapter 0402 10 and 0402 21 00 (skimmed milk, baby food etc) upto an aggregate of thirty thousand metric tonnes of total imports of such goods in a financial year.
Hitherto, the said goods were subjected to a basic customs duty of 5% upto an aggregate of ten thousand metric tonnes of total imports and the quantity cap therein (at erstwhile S. No. 3) was inclusive of all the goods falling under 0402 21 00 listed at S. No. 3A of the said Notification.
However, with the current amendment, the quantity cap for goods of Chapter 0402 21 00 listed at both S. Nos. 3 and 3A of the said notification is delinked whereby, goods falling under Chapter 0402 21 00 would hereafter be allowed exemption from basic customs duty upto an aggregate of thirty thousand tonnes and further a concessional rate of 5% would be available for another ten thousand tonnes. Whether it is intended or due to a result of a slip up will depend on how quick a corrigendum is issued by the Board to sort this out.
Notification No. 21/02-Cus is further amended to provide exemption from basic customs duty for white butter, butter oil, anhydrous milk fat etc falling under Chapter 0405, upto an aggregate of fifteen thousand metric tonnes of total imports of such goods in a financial year.
This exemption/concessional rate as per the latest amendments shall apply to such quantity of imports for which an importer holds a Tariff Rate Quota Allocation Certificate issued by the EXIM Facilitation Committee in the Directorate General Of Foreign Trade in accordance with the procedure as may be specified by the EXIM Facilitation Committee in the Directorate General Of Foreign Trade from time to time through a Public Notice.
Notification No. , Dated : March 11, 2010