The Sports Goods Export Promotion Council 1E / 6, Swami Ram Tirth Nagar, New Delhi - 110055

Tel – 011-47761100, Fax – 011-23632147

SGEPC/DBK/2014-15 13.05.2014

To,

ALL MEMBERS OF THE COUNCIL

Sub: - Review of All Industry Rates in respect of Sports Goods & Toys (Revised)

Dear Sir/ Ma’am,

Further to our below email dated 17th

April, 2014, please note that an official circular (as

attached) has been received from Drawback division stating the last date for submission of data

is 31st May, 2014. We have requested for extension of time, but meanwhile drawback data

collection process has to be started immediately.

Accordingly, Mr. R. M. Gupta, Consultant (Drawback), will be visiting the units for data

collection as per below schedule:

1. Between 26th

- 31st May- Meerut

2. Between 2nd

May- 7th

May- Delhi/ NCR

3. Between 9th

- 14th

June- Jalandhar

Please note that there are slight changes in the formats as per attached circular from Drawback

division.

Kindly ensure that the data/information as per new format of Proforma- I (A), Proforma- I (B),

Proforma- II, Proforma- III and Proforma- IV in addition to other documents (DBK I Statement,

DBK II Statement, DBK III Statement, along with Shipping bills, Purchase bills) are complete

in all respects along with enclosures before the consultant’s visit so that drawback data is

finalized during his visit and submitted in time.

Best Regards,

Tarun Dewan

Executive Director

----- Original Message -----

From: SGEPC

To: Sent: Thursday, April 17, 2014 11:55 AM

Subject: Review of All Industry Rates in respect of Sports Goods & Toys

The Sports Goods Export Promotion Council

1E / 6, Swami Ram Tirth Nagar, New Delhi - 110055

Tel – 011-47761100, Fax – 011-23632147

CIN: U74900DL1958NPL002893

SGEPC/DBK/2014-15

17/04/2014

All Members of the Council

Sub: Review of All Industry Rates in respect of Sports Goods & Toys falling under sub-

serial nos. 9503-9508 and 650603 of Drawback Schedule-Preparation of Data for 2014-15

Dear Sir(s),

As you are aware that All Industry Rates of duty Drawback are reviewed by the Government

every year with the announcement of the budget. This year budget is expected to be announced

in June 2014 and therefore, the data giving the latest consumption norms and the Custom &

Central Excise duties suffered thereon may be required to be submitted to the Ministry of

Finance in the prescribed proforma (Copy enclosed) within one month of the presentation of

budget. You are, therefore, requested to submit the data in the enclosed DBK I, II, III statements

and covering proforma. For each item, data from at least four to five major

manufacturers/exporters are required alongwith copy of gate passes and Bill of Entries available

in support of duty suffered.

A.DBK I STATEMENT: Please list out clearly various inputs used (including packing material)

in the manufacture of unit quantity of export products. Please submit DBK I statement for each

type/quality of export product separately e.g. in case you are manufacturing football of different

sizes or quality please give DBK I statement separately for each size or quality.

DBK II STATEMENT: Please give details of procurement of all imported raw materials during

the period Oct 2013- Mar 2014 (In case the details for this period are not available the same may

be furnished for the earlier period). Photocopies of Bill of Entries/Invoices should be

enclosed.

DBK III STATEMENT: Please give details of indigenous materials procured during the period

preferably Oct 2013- Mar 2014. (In case the details for this period are not available the same

may be furnished for the earlier period). Photocopies of Central Excise Invoices for all items

need to be closed.

Quantum of HSD/Furnace Oil required per unit if available may be furnished separately.

COPIES OF SHIPPING BILLS: Please enclose the few latest copies of Shipping Bills for each

type/quality of product in support of FOB value.

COPIES OF PURCHASE BILLS: Please enclose the purchase/Import Bills showing payment

of Custom & Excise Duties preferably from Oct 2013- Mar 2014.

B. In addition to the above, the data is also required to be submitted in the enclosed formats

(Proforma 1(A) 1(B) Proforma II & Proforma III). Last year the Drawback Directorate was

particular about these. Therefore, it is very necessary that data is prepared accordingly. We

have to make special efforts to ensure that there is no anomaly in the data submitted in

conventional proforma DBK I, II & III and new proforma so far, as consumption, import prices,

F.O.B. values etc are concerned.

Kindly ensure that the data/information in above mentioned proforma complete in all respects

along with enclosures specified above reaches this office latest by 30.06.2014 so that the same

may be examined in detail before preparation of the final data.

Thanking you,

Yours faithfully,

Tarun Dewan

Executive Director

F.No.609/54/2014-DBK (A) Government of India

Ministry of Finance, Department of Revenue Central Board of Excise & Customs

Drawback Division *******

Jeevandeep Building, 4th floor,

New Delhi, dated 7th May, 2014

To: Export Promotion Councils/ Trade and Industry Associations

Copy to: Commissioners of Central Excise (All) Subject - Request for provision of data by Export Promotion Councils/Trade and Industry Associations for the purposes of the exercise for All Industry Rates (AIR) of Duty Drawback for the year 2014- reg.

In connection with the above cited subject, the EPCs/Trade and Industry Associations are requested to provide cost and consumption data for the period January-March, 2014 w.r.t. the inputs/input services which are used in the manufacture of the export products in the specified Proforma, in 4 parts - I(A) & I(B), II, III, IV. The consumption of input materials/services and incidence of duties/tax, which is filled in the Part I as being against the export of a particular product, must invariably relate to it. Part II requires information on the actual cost, including the break-up, incurred for making the export product and the sales realization on such export product. Part III relates to the incidence of service tax paid at input stage. Part IV requires details of captive power used for manufacturing the export product. 2. While providing the above data, due care should be taken on the aspects that- (a) Data provided is representative and complete for the period January-March, 2014. While submitting data in respect of a particular manufactured export item of a manufacturer, the details of any/all input(s)/service(s) used in the manufacture of all types/styles of that particular export item should also be indicated. (b) Data submitted should pertain to at least five units for each export product. The units should be selected from amongst the small, medium as well as large manufacturer exporters. (c) Data should be of and should pertain to manufacturers/ manufacturer exporters, and it should be certified by the manufacturer and its Chartered Accountant. (d) The data is to be supported by relevant documents such as Bills of Entry, Shipping Bills, invoices etc. (e) The data should pertain to only those manufacturers/units which are ready to have their records and production processes subjected to inspection by the Customs and Central Excise Department for the purposes of verifying correctness. 3. Please ensure that the data of the relevant manufacturers/units that you use is also

submitted to the Asst/Dy Commissioner of Central Excise having jurisdiction over the respective manufacturer/unit. It is expected that the Commissioner of Central Excise shall, within 7 days of receipt of this data by the jurisdictional AC/DC, have the data conveyed to Drawback Division duly verified along with comments as necessary.

4. It is requested that EPCs/Trade and Industry Associations may make above information reach Drawback Division by 31

st May, 2014. The information must be presented in the prescribed

Proforma only. Suggestions for rationalization of entries in the existing AIR Drawback Schedule, along with justification, may also be conveyed.

Yours sincerely

(Rajiv Talwar) Joint Secretary Tel: 23341079

Encl: Proforma in 4 parts

PROFORMA - I (A)

Data pertaining to : January – March, 2014 Name of C. Ex. Division and Commissionerate : _____________________________

Name of the Manufacturer whose goods are exported : _________________________________________________________________________________ Name of items produced and exported : _________________________________________________________________________________

Inputs

Unit

(UQC)

Quantity of domestic

inputs used during Jan. – March, 2014

in UQC

Value of domestic

inputs (excluding

excise duty) used during

Jan. – March, 2014

Average domestic price of Inputs

(Col. 4 / Col. 3)

Total Excise duties paid

on the inputs used during

Jan. – March, 2014

Quantity of Imported

inputs used during Jan. – March, 2014

in UQC

Total CIF Value of imported

inputs used during

Jan. – March, 2014

Average import price

of Inputs (Col. 8 / Col. 7)

Total Customs duties paid on

the inputs used during

Jan. – March, 2014

1 2 3 4 5 6 7 8 9 10

Name of goods

produced / Exported

Unit (UQC)

Quantity of goods sold in domestic market during

Jan. – March, 2014 in UQC

Value of goods (excluding Excise

Duty) sold in domestic market during

Jan. – March, 2014

Average domestic sale price (Col. 14 /

Col. 13)

Quantity of goods exported during Jan. – March, 2014 in UQC

Total FOB value of goods exported

during Jan. – March, 2014

Average FOB value (Col. 17 /

Col. 16)

11 12 13 14 15 16 17 18

Note: 1. Customs duties to include Basic Customs Duty, CVD, Cess and any other duties. Excise duty should include Cess.

2. To be completed by the individual manufacturer whose goods are exported. 3. Data should be submitted taking into account all types / models / styles / qualities of the export product.

4. Value and duty to be in Rupees.

PROFORMA I (B)

(To be completed by the Export Promotion Councils)

Data pertaining to : January – March, 2014 Name of product exported :………………………………………………………... (To be filled separately for each export product)

Principal material

Inputs* that went into

manufacturing of the final

product mentioned

above

Unit (UQC) Total Quantity

of Import in UQC

Total Quantity of domestic production

in UQC

Rate of import duty (limited to Basic Customs Duty, CVD, Cess and any

other duties)

Rate of excise duty

(including Cess)

1 2 3 4 5 6

Note: * It should not include common utilities/ consumables like electricity, fuel etc.

PROFORMA – II (To be submitted export product-wise for each Manufacturer whose data forms part of the representative data)

SUMMARY COST SHEET IN RS. PER UNIT OUTPUT Period : Jan.- March 2014

Manufacturer’s name :

Name of export product :

(1) Material cost (in Rupees)

S.No. Main Items Material Cost

Sub total: (2) Expenses incurred in Fuel, electricity, coal, coke etc. (in Rupees) ……………

(3) Salaries, Wages & Other overhead expenses (allocated/apportioned as is the

costing practice adopted by the unit for MIS, inventory valuation etc.) (in Rupees)………….

(4) Total cost of sales (as estimated as per the costing practice adopted by the unit

for MIS, inventory valuation etc.) (in Rupees)…………………

(5) Domestic Sale price (in Rupees) ………………….

(6) FOB realization (in Rupees) ………………………..

.

PROFORMA – III

(To be submitted export product-wise for each Manufacturer whose data forms part of the representative data) SERVICE TAX PAID ON INPUTS

Period : April, 2013 to March, 2014 1. Name of Manufacturer of

export project :

2. Products Exported :

3. Total Business Turnover (Income) :

4. Domestic Sales :

5. Export Sales :

6. Total Sales (4+5) :

7. Break-up of Total Input Service Tax (including cess)

Name of Service Service Tax Paid (Rs.)

(i)

(ii)

(iii)

(iv)

(v)

8. Total Tax Paid on Input Services (including cess) :

Proforma – IV

Details of captive power used for manufacturing the export product

Name of Manufacturer of Export Product : (i) Details of Power Consumed:

Name of Export Product Total quantity of the export product manufactured during

Jan-Mar - 2014

No. of Units of power consumed for manufacturing the quantity

given in Col. (2) in KWH

Out of Col. 3, no. of unit of power purchased from

Electricity Board (in KWH)

Out of Col. 3, no. of Units of Power Generated through DG Sets (in KWH)

(1) (2) (3) (4) (5)

(ii) Details of fuel used for Captive Power generation.

Name of Input (fuel)

8 Digit Customs

classification

Locally purchased input used for export production for which

duty paying documents are

available with the exporter

Central Excise duty paid on locally

procured input as per duty paying

documents available with the exporter.

(in Rs.)

Input purchased from the market for which duty paying documents are

not available

Imported input used for export production for

which duty paying documents are

available with the exporter

Duty paid on imported input as per duty paying

documents available with exporter (in Rs.)

Imported input purchased from

the dealer dealing with imported input

for which duty paying documents are not available

Quantity with UQC

Value in Rs.

Quantity with UQC

Value in Rs.

Quantity with UQC

Value in Rs.

BCD CVD SAD Quantity

with UQC

Value in Rs.

(1) (2) (3) (4) (5) (6) (7) (8) (9) (10) (11) (12) (13) (14)

COVERING PROFORMA FOR ALL INDUSTRY DRAWBACK RATES

1 Name of the Firm

2 Name and address of the factory where the export product is

manufactured

3 The Commissioner of Central Excise/Customs under whose

jurisdiction the factory falls

4 Description in details of the export products

5 Quality/Grade with Technical Characteristics/Specifications

6 Brand/Commercial type/grade of the product

7 Heading & Sub-heading of the export product as per Customs/Central

Excise Tariff Schedules

8 SSNo. Of the current Drawback Table where under the export

product is classified/

9. If any brand rate has been fixed during last THREE years (please

indicate reference no. & the date under which the rate was fixed)

10 Quantity and F.O. B. value of the export product during the period

1.4.2013 to 28.2.2014 (month wise) (your share of export vis-à-vis)

total quantity of export product out of the country if known, may also

please be indicated). Average F.O.B. value per unit of the export

product during the said period 1.4.2013 to 28.02.2014

11 Average F.O.B. value of the product per unit (i.e. per Kg./per meter

etc.) (Please also enclose photocopies of latest S/Bills)

12 The Central Excise Tariff No. and rate of Central Excise duty

payable on the export product.

13 Whether CENVAT facility availed for various inputs.

14 The Quantity and value of the by-product or co-products( and their

sale value) that arise during the course of manufacture of the export

product for the unit specified in DBK-I

15. Brief process of manufacture (enclose catalogue/literature etc.)

16. Your assessment of duties of Customs and Central Excise suffered on

inputs used in the manufacture of the specified grade/quality of

export products

Signature of the Manufacturer or

Authorised Agents

STATEMENT DBK - I

Description & technical specification of the export product__________________. Bill of materials* used for manufacture of (state no. of unit@)

the product. *(Bill of material should consist of raw materials and components going into the manufacture of export product and the actual

packing materials used).

Catalysts and consumables used for the manufacture of the export product should also be separately indicated.)

S.No Name of

material /

component

Quality /

Technic

al

Characte

ristics

Whether

imported or

indigenous

Unit Gross

Qty.

reqd.

Wastage Qty.

Irrecoverable/Recover

a ble

Sale price

of waste

per unit

of Qty.

By Product /

Co-Product

Qty. Sale

value/unit

Net wt.

of the

material

Remark

1.

2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13.

@ Give convenient units by which goods are invoiced for export (e.g. per tonne, per dozen / pcs., per sq. mtr., etc)

Notes: 1. The units of quantity to be furnished in col.5 should be given in such a manner that it could be related to Statements – II and III

respectively.

2. Maintenance stores/materials such as lubricating oil, greases, fuel, etc. which are employed to run the machinery and plant should be

excluded.

3. The data for packing materials should be fort he same unit quantity for which data for export product for raw materials and components

have been given.

4. Only these raw materials/components etc. to be indicated for which proof of payment of Customs/Central Excise duties is shown in

DBK-II/III. Details of such inputs need to be given where duty paid is claimed as CENVAT or where there is absence of proof of duty.

Only a brief mention of such inputs being used should be sufficient.

CERTIFICATE REQUIRED FOR DBK-I STATEMENT

I. On behalf of the applicant, I hereby certify that the materials as mentioned above are actually required and being used for production of

export product.

Station_________________ Signature______________________

(Name & Designation of the Chief Executive)

Production Incharge (with seal)

II. It is certified that (to be given by an independent Chartered Engineer):

(a) The consumption of various materials shown in DBK-I has been examined by us and these are actually required and being consumed in

the factory of production for manufacture of export product as checked by us on verification of the production process and relevant

technical & related documents.

(b) The imported material above shown in DBK-I are being actually used in manufacture of the export product and are not being substituted

by indigenous materials.

(c) The wastage/co-product/by-product claimed are as per production process in the factory. There is no suppression of co-product/by-

product. The wastages claimed in our view are reasonable and are comparable to the general norms for the industry. Where wastages are

considered high, an indication of the normal wastage in the industry has been indicated by us under “Remark” column.

Signature________________________________

Name___________________________________

Designation______________________________

Address_________________________________

Place____________ Branch of Engg. In which qualified___________

Date____________ Name & Address of the institution under which

Charted. Ref. No. and date of Membership

************************

STATEMENT DBK – II

Direct imports of materials / components made by the manufacturer and foreign materials obtained locally by the manufacturer during the period Oct. 2013

to Mar. 2014 for manufacture of export product mentioned in DBK – I.

____________________________________________________________________________________________________________

S.No. Description Technical

Characteristics

S.No. in DBK-I

Statement

B/E No. and

date under

which

imported

Name of

Custom

House

Unit Qty. Imported Assessable

value

1.

2. 3. 4. 5. 6. 7. 8. 9.

Heading No. in

Customs Tariff

Act, 1975

Rate of Duty Country from where

imported and name of

supplier

Is assessment final Amount of

duty paid

Name & full address

of the supplier in case

the foreign materials /

components obtained

locally

Remark

10.

11. 12. 13. 14. 15. 16.

Note: (1) In respect of stocks of the materials / components in hand on 31st Dec, 2013:

(a) the details of stocks and

(b) the particulars of the bills of duty in the same proforma as at columns 2 to 15 above accounting for the said stock should also

be furnished separately. Please enclose photocopies of some of the latest Bills of Entries or other documentary evidences of

payment particulars.

(2) If any of the materials mentioned have also been procured from indigenous origin, this must be separately stated in remarks

column and full details of the procurement should be furnished in DBK-II Statement, even if these are not used in the products

used.

(3) In case any material procured from import and indigenous sources, cut the use of only imported material claimed for export

production, please furnish the following certificates: “It is hereby certified that even though the materials mentioned at

S.No._________are being imported and also being procured indigenously, but only the materials of imported origin are being used

in the manufacture of export product mentioned in DBK-I and the same is likely to be continued to be used in the coming year

also. In case of any change / deviation in this pattern of consumption is effected, the Directorate would be informed immediately

for reconsideration of All Industry Drawback where necessary.

(4) Minor items which do not contribute to any significant proportion to the above expected drawback rate may be ignored at the

discretion of the applicant.

(5) Please give a clear indication if any materials/components are covered by CENVAT provisions where facilities availed under

DEEC or benefit of any other exemption claimed.

(6) In case assessment of any of the materials imported is provisional or disputed, kindly give indication of the nature of dispute and

minimum duty which importer has accepted as liable.

CERTIFICATE

Certified that the particulars mentioned in this statement are correct to the best of my knowledge and belief and no claims for refund of

duty in respect of any of the above mentioned bills of entry has been or will be lodged with the Customs.

Signature of the Manufacturer

Or Authorized Agent

Station:

Date:

STATEMENT DBK – III

Materials / Components of Indian Origin obtained by the Manufacturer during the period Oct, 2013 to Mar, 2014 for manufacture of export

product mentioned in DBK-I Statement.

____________________________________________________________________________________________________________

S.No

.

Description Technical

Characteri

stics

S.No. in DBK-I

Statement

Unit Quantity

purchased

Assessment

value

Central Excise

Tariff No.

Effective rate

of duty

1.

2. 3. 4. 5. 6. 7. 8. 9

Amount of Duty paid Name and address of the

supplier

Gate Pass No. and

date

Is assessment

of duty final

Remark

10.

11. 12. 13. 14.

In respect of stock of materials/components in hand on 31 Dec. 2013.

(a) the details of the stock and

(b) the particulars of the procurement (in proforma as at Columns 2-12) amounting for the stock should also be furnished separately.

Note:

(1) In this statement details of only those items which are chargeable to the excise duty to be given for which proof of C.Excise duty

can be established by Gate Pass.

(2) If any materials are not covered by the Gate Passes information to the extent available may be given with clear indication as to

basis of this information.

(3) Materials / components specified in DBK-II statement if they are also of indigenous origin and procured locally should be

included in this statement whether dutiable or not. This is irrespective of the fact whether dutiable or not. This is irrespective of

the fact whether the said material / components are claimed to be only for the manufacture of goods for local sales and not for

exports, this should be specifically stated in the remark column against the respective serial number of the said materials /

components.

(4) Please give clear indication whether CENVAT benefit availed for any input. If it is not availed, reason thereof too be given under

„Remarks‟ column.

CERTIFICATE

Certified that the particulars in this statement are correct to the best of my knowledge and belief and no claims for refund of duty of any of

the above mentioned materials / components has been or will be lodged with the Central Excise Authorities.

Station:

Date: Signature of the Manufacturer or

Authorized Agent