Government of India
Ministry of Finance
Department of Revenue
Central Board of Excise & Customs
New Delhi, the 7, April, 2000
Subject: Drawback — sanitary/industrial casting (unmachined)- covered under S.S. No. 73.03 of DBK Table
Representations have been received from the Exporters and the Trade that the Drawback on unmachined sanitary castings and unmachined industrial castings is not being allowed under S.S. No. 73.03 of the Drawback Table as the corresponding Customs Tariff Heading has not been mentioned against the said Drawback S.S. No. in the Drawback Tables for the year 1997-98, 1998-99 and 1999-2000.
2. In this regard, it may be recalled that by virtue of CBEC’s Circular No.220/59/96-CX dated 01/07/96 issued in the wake of CEGAT’s orders dated 20/05/93 in the case of M/s Shivaji Works Limited Vs. CC. Aurangabad [1994 (69) ELT 674 (Tribunal)], all castings, coming out of the castings moulds upto the stage of proof machining and requiring further machining before being used as machine parts are appropriately classifiable under Central Excise Tariff Heading 73.25. As the said heading corresponds with the Customs Tariff Heading 73.25. As the said heading corresponds with the Customs Tariff Heading 73.25, the goods of the above nature are covered by the same. Therefore, these goods are specifically mentioned in the DBK S.S. No. 7303. However, due to inadvertence the relevant Customs Tariff Heading 73.25 has not been mentioned against the said DBK SS No.
3. It is, therefore, clarified that the unmachined sanitary castings and unmachined industrial castings are covered by the Drawback SS.No. 73.03 of the Drawback Table. The Drawback claims of the parties may be settled accordingly.
4. It also clarified that due to printing error the allocation for the SS No. 73.03 has been indicated in the Table as ‘All Customs”. The same may be read as ‘All Central Excise.
5. This may be brought to the notice of the staff concerned and trade through issuance of suitable standing order and public notice.