COMMISSIONER OF CENTRAL EXCISE : SHILLONG

Morello Compound, Shillong – 793 001.

 Tel: 0364-2224751.                 Fax: 0364-2223428/2226215/2223030.                          E-mail: cexshill@excise.nic.in

Trade Facilitation Notice No. 16/2006-CE

Dated ----Sept. 2006

              Trade of all concerned are informed that in this year’s budget, it had been proposed to withdraw the SSI exemption on power driven pumps designed to handle water, which do not conform to Bureau of Indian Standards (BIS). Though the withdrawal was to be effective from 1.4.2006, because of representations that units needed time to get BIS certification, the date for implementing the proposal had earlier been extended by notification No.27/2006-Central Excise dated 30th March, 2006 till 1.8.2006.

2.                                          In view of representations that there is come delay in getting BIS certification, it has been decided to allow sufficient time to the units likely to be affected by the withdrawal of SSI exemption, to obtain requisite BIS certification. Accordingly, notification No.39/2006-Central Excise dated 10th August, 2006 has been issued to amend notification No.8/2003-Central Excise dated 1st March, 2003 so as to continue Small Scale Industries excise duty exemption on all power driven pumps designed to handle water from the date of publication of this notification in the official Gazette and till the 31st day of December, 2006. With effect from 1.1.2007, this exemption will not be available to power driven pumps designed to handle water which do not conform to BIS standards.

3.                                          All small scale manufacturers of pumps may avail SSI exemption benefit. It has been made clear that the benefit of SSI exemption would not be available after 31.12.2006 to pumps which do not conform to BIS standards. On the request of Board, BIS has already issued instructions to its field offices to process applications received from pump manufacturers expeditiously.

4.                                          The difficulties faced by Small Scale Units in getting BIS certification may be brought to the notice of the undersigned so that the matter may taken up with the concerned BIS authority.

Source:-352/1/2006-TRU dated 14th August, 2006

                                                   ( KARNAIL SINGH )

                                                COMMISSIONER

Source:-352/1/2006-TRU dated 14th August, 2006