Government of India
Ministry of Finance
Department of Revenue,
Central Board of Excise & Customs, New Delhi
Subject : Central Excise – Option for registration under Rule 174 to the manufacturers of goods specified under Chapters 61 7 62 of the Central Excise Tariff Act where rate of duty is NIL or the goods are exempted – Instructions regarding.
I am directed to say that difficulty had arisen for the manufacturers of goods specified under Chapters 61 & 62 of the Central Excise Tariff Act where rate of duty is NIL or the goods are exempted, especially the garment manufacturers primarily engaged in the manufacture / production for exports. These manufacturers were denied a simplified export procedure since these could not register themselves with the Central Excise in terms of the existing provisions of Notification 22/98 – Central Excise (N.T.) dated the 4th June, 1998. The Director General of Foreign Trade recommended for permitting registration to the category of manufacturers specified above.
2. The matter was examined and the Government decided to give option to the manufacturers of goods specified under Chapters 61 & 62 of the Central Excise Tariff Act where rate of duty is NIL or the goods are exempted, especially the garment manufacturers, to obtain registration certificate under Rule 174 of the Central Excise Rules, 1944. Accordingly, notification 49/99 – Central excise (N.T.), dated the 9th July, 1999, has been issued. All procedures applicable to registered manufacturers under the Central Excise Rules or instructions issued from time to time, will apply to such registered persons.
3. For the sake of clarity it is reiterated that this merely an option to the manufacturers of the aforementioned category and it should not be insisted upon any such manufacturer to apply for and obtain registration.