Introduction: The Ministry of Finance has recently introduced amendments to notification No. 50/2017-Customs dated 30th June 2017, which addresses Customs duty exemptions for textile machineries. The modifications aim to reshape the exemption criteria and extend their applicability. In this article, we delve into the amendments, their implications, and the broader context of these changes.
Detailed Analysis: The latest amendment, designated as Notifications No. 52/2023-Customs, issued on 5th September 2023, involves the revision of S. No. 460 of the existing notification. This specific section pertains to various categories of textile machineries and their associated components. The updated S. No. 460 now encompasses shuttleless rapier looms, shuttleless waterjet looms, and shuttleless airjet looms with specific speed thresholds. Additionally, parts and components used in the manufacturing of shuttleless looms are included within this revised ambit.
The modified notification carries a significant change concerning the timeline of the exemption’s applicability. The benefits outlined in S. No. 460 are valid until 31st March 2025. Beyond this date, the exemptions cease to be effective. This timeline serves as a key marker for manufacturers and importers to assess their strategies regarding the import and utilization of these textile machineries.
The amendments introduced underline the government’s focus on promoting the textile industry’s growth and modernization. By incentivizing the import of advanced textile machinery, the government aims to enhance production capabilities and maintain competitive efficiency in the global market. The inclusion of specific speed thresholds for different types of shuttleless looms reflects the intent to prioritize high-speed and technologically advanced machinery, thereby facilitating productivity improvements in the textile sector.
Conclusion: The recent amendments to notification No. 50/2017-Customs signify a strategic move by the Ministry of Finance to encourage the modernization of the textile industry through targeted Customs duty exemptions. The focus on high-speed shuttleless looms and associated components acknowledges the importance of innovation and efficiency in the sector. Industry players need to be mindful of the revised timeline for exemption applicability, ensuring effective planning and utilization of these benefits. The changes align with the government’s vision to transform and bolster the textile industry’s competitiveness, both domestically and internationally, fostering growth and technological advancement.
GOVERNMENT OF INDIA
MINISTRY OF FINANCE
(DEPARTMENT OF REVENUE)
Notifications No. 52/2023-Customs | Dated: 5th September, 2023
G.S.R 653(E).—In exercise of the powers conferred by sub-section (1) of section 25 of the Customs Act, 1962 (52 of 1962) and sub-section (12) of section 3 of the Customs Tariff Act, 1975 (51 of 1975), the Central Government, on being satisfied that it is necessary in the public interest so to do, hereby makes the following further amendments in the notification of the Government of India in the Ministry of Finance (Department of Revenue), notification No. 50/2017-Customs, dated the 30th June, 2017, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 785(E), dated the 30th June, 2017, namely :-
In the said notification, in the Table, for S. No. 460 and the entries relating thereto, the following S. No. and entries shall be substituted, namely:-
|
(1) |
(2) | (3) | (4) | (5) | (6) |
| “460. | 8446,
8448 |
The following goods (other than old and used) for use in the
textile industry, namely: – (i) Shuttleless Rapier Looms [above 650 meters per (ii) Shuttleless Waterjet Looms [above 800 meters per (iii) Shuttleless Airjet Looms [above 1000 meters per minute]; (iv) Parts and components for use in manufacturing of shuttleless looms Provided that nothing contained in this S.No. shall have effect after 31st March, 2025. |
Nil
Nil Nil Nil |
–
– – – |
–
– – 9”. |
[F. No. CBIC-190354/44/2023-TO(TRU-I)-CBEC]
RAJEEV RANJAN, Under Secy.
Note : The principal notification No. 50/2017-Customs, dated the 30th June, 2017 was published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-Section (i), vide number G.S.R. 785(E), dated the 30th June, 2017 and was last amended vide notification No. 46/2023-Customs, dated the 26th July, 2023, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-Section (i), vide number G.S.R. 557(E), dated the 26th July, 2023.
