MANUFACTURING IN CUSTOMS BONDED FACILITY
‘A Scheme for manufacturing and other operations in a Customs Bonded Facility to Promote India as a Global Manufacturing Hub’
India allows duty-free import of raw materials and capital goods for manufacturing and other operations in a bonded manufacturing facility.
- Deferment of import duty on imported capital goods and raw materials .
- Exemption of the deferred duty If these imported inputs are utilized for exports purpose.
- Duty payable only when the finished / capital goods are cleared to the domestic market.
- When finished goods are exported, in addition to the waiver of BCD + IGST on the imported (and duty deferred) goods used, the GST on the finished goods can be zero-rated. Any input GST can be taken as a credit against output GST.
HOW TO APPLY
Download Brochure on Scheme for Manufacturing In Customs Bonded Facility