Export to Nepal – Liberalisation
GOVERNMENT has amended several Central Excise NT notifications to grant additional benefits for exports to Nepal.
1. Notification No. dated 04.09.2004 prescribes the procedure for granting of rebate for goods exported to countries other than Nepal. Now this Notification will apply to exports to Nepal too – Notification No. , Dated: December 05, 2011
2. Notification No. dated 06.09.2004 prescribed the procedure for granting of rebate on goods exported to Nepal, to be paid to the Government of Nepal. Now, as the Rebate can be paid to the exporter, this notification is rescinded. – Notification No. , Dated: December 05, 2011
3. Notification No. dated 26.06.2001 prescribes the conditions and procedure for export without payment of duty to countries other than Nepal and Bhutan. Now this Notification will apply to exports to Nepal – that is without payment of duty. Notification No. , Dated: December 05, 2011
4. Notification No. dated 26.06.2001 prescribes the conditions and procedure for procurement of excisable goods without duty for manufacture of export goods. This Notification had certain conditions that for export to Nepal and Bhutan, the payment was to be in freely convertible currency and the procedure under Notification No. 45/2001-CENT had to be followed. Now these restrictions are removed for Nepal. - Notification No. , Dated: December 05, 2011
5. Notification No. dated 26.06.2001 prescribes the procedure for removal of excisable goods without payment of duty for manufacture of export goods by an advance licence holder, for export to countries other than Nepal and Bhutan. Now this notification is applicable for export to Nepal too. - Notification No. , Dated: December 05, 2011
6. Notification No. dated 26.06.2001 prescribes the procedure for export without payment of duty to Nepal and Bhutan. Now Nepal is removed – that is no restrictions or conditions specific to Nepal. Goods can be exported to Nepal just like to any other country. Notification No. , Dated: December 05, 2011
All these notifications are effective from 01.03.2012.
The Himalayan Times editorially commented,"it would be fitting to look at the other concession that India has made, namely to do away with the Duty Refund Procedure which has been found to be rather onerous. With these agreements in place, the future for Nepal-India trade stands on firm footing, and Nepal can be certain of reaping in the all-round benefits coming its way".