## Policy Analysis Report: Customs Notification Amendments (October 3, 2022)
**1. Executive Summary:**
This report analyzes two customs notifications (No. 52/2022-Customs and No. 53/2022-Customs) issued on October 3, 2022, which amend existing Government of India notifications concerning customs duties. Notification No. 52/2022 makes a technical correction, substituting an entry in the original notification. Notification No. 53/2022 introduces a new entry related to concessional customs duty on goods falling under tariff item 7110 (Platinum, Palladium and Rhodium), with specific conditions tied to end-use in manufacturing of certain items. The key finding is that these amendments aim to refine existing customs regulations, with Notification 53/2022 aiming to incentivize domestic manufacturing of noble metal compounds, solutions, and catalytic convertors, while setting clear preconditions for availing the concessional rates.
**2. Introduction:**
The purpose of this report is to provide an informative analysis of two recent amendments to customs notifications issued by the Ministry of Finance, Department of Revenue, Government of India, specifically Notifications No. 52/2022-Customs and No. 53/2022-Customs, both dated October 3, 2022. The analysis is based solely on the provided text of the notifications.
**3. Policy Overview:**
* **Notification No. 52/2022-Customs:** Amends Notification No. 50/2017-Customs, dated June 30, 2017. The core objective of this amendment appears to be to correct a technical error in the entry for S. No. 364B in the Table of the original notification.
* **Notification No. 53/2022-Customs:** Amends Notification No. 11/2021-Customs, dated February 1, 2021. The core objective of this amendment is to introduce a new entry (15A) providing a concessional customs duty rate for goods under tariff item 7110 (Platinum, Palladium and Rhodium) provided they are used for specific manufacturing purposes.
**4. Background and Rationale:**
* **Notification No. 52/2022-Customs:** The rationale for this amendment is to rectify an inconsistency. The substitution of the entry suggests a typographical or technical error existed in the original notification that needed correction to ensure clarity and accurate implementation of the policy.
* **Notification No. 53/2022-Customs:** The rationale for this amendment is to provide customs duty concessions on Platinum, Palladium and Rhodium (falling under tariff item 7110) imported for use in manufacturing specific goods. This suggests a policy objective to promote domestic manufacturing of Noble Metal Compounds, Noble Metal Solutions, and Catalytic Convertors by reducing input costs.
**5. Key Provisions / Changes:**
* **Notification No. 52/2022-Customs:**
* **Specific Part Changed:** The entry against S. No. 364B in column 2 of the Table in Notification No. 50/2017-Customs.
* **New Rule/Provision:** The entry "7107 00 00, 7109 00 00, 7111 00 00, 7112, 7118" is substituted for "7107 00 00, 7109 00 00, 7110, 7111 00 00, 7112, 7118".
* **Effect of Change:** The effect is to correct what appears to be an erroneous inclusion of "7110" in the original entry. This likely aligns the entry with the intended scope of the notification.
* **Notification No. 53/2022-Customs:**
* **Specific Part Changed:** A new entry (15A) is inserted after Sl. No. 15 in the Table of Notification No. 11/2021-Customs.
* **New Rule/Provision:**
* **S. No.:** 15A
* **Tariff Item:** 7110 (Platinum and Palladium)
* **Conditions:** Concessional duty is applicable for the use in the manufacture of:
* Noble Metal Compounds and Noble Metal Solutions (heading 2843)
* Goods falling under subheading 3815 12
* Catalytic convertors falling under tariff item 8421 32 00
* The importer follows the procedure set out in the Customs Import of Goods at Concessional Rate of Duty or for Specified End Use Rules, 2022.
* **Goods:** Rhodium
* **Effect of Change:** Introduces a conditional concessional duty for the import of Platinum, Palladium, and Rhodium used in specific manufacturing processes, subject to compliance with the "Customs Import of Goods at Concessional Rate of Duty or for Specified End Use Rules, 2022". This aims to lower the cost of raw materials for manufacturers in these specified sectors.
**6. Target Audience and Stakeholders:**
* **Notification No. 52/2022-Customs:** Businesses and individuals involved in the import/export and handling of goods covered under S. No. 364B of Notification No. 50/2017-Customs.
* **Notification No. 53/2022-Customs:** Manufacturers of Noble Metal Compounds, Noble Metal Solutions, and Catalytic Convertors who import Platinum, Palladium, and Rhodium (tariff item 7110). The customs authorities responsible for implementing and monitoring import regulations are also key stakeholders.
**7. Implementation Aspects (Inferred):**
* **Responsible agency:** Central Board of Indirect Taxes and Customs (CBIC), as indicated by the F. No. CBIC reference.
* **Procedures:** Notification No. 53/2022 references "Customs Import of Goods at Concessional Rate of Duty or for Specified End Use Rules, 2022," suggesting that importers seeking to avail the concessional duty must adhere to the procedures outlined in those rules.
* **No specific timelines are mentioned in the provided text.**
**8. Expected Outcomes / Impact of Changes:**
* **Notification No. 52/2022-Customs:** Ensures correct application of customs duties, reducing the potential for misinterpretations or disputes.
* **Notification No. 53/2022-Customs:**
* Reduced import costs for manufacturers of Noble Metal Compounds, Noble Metal Solutions, and Catalytic Convertors using Platinum, Palladium and Rhodium.
* Increased domestic production of these goods due to lower input costs, potentially leading to enhanced competitiveness.
* Greater compliance burden on importers to ensure proper end-use and adherence to the "Customs Import of Goods at Concessional Rate of Duty or for Specified End Use Rules, 2022".
**9. Conclusion:**
The two customs notifications issued on October 3, 2022, represent refinements to existing customs policies. Notification No. 52/2022 corrects a technical error for enhanced regulatory clarity. Notification No. 53/2022 introduces a conditional concessional duty for specific raw materials, intending to promote domestic manufacturing in key sectors. Understanding the conditions and procedures outlined in the referenced "Customs Import of Goods at Concessional Rate of Duty or for Specified End Use Rules, 2022" is crucial for affected industries to leverage the benefits of the new amendment.
Key Entities Referenced
Customs Act, 1962: An act of the parliament of India to consolidate and amend the law relating to customs.
Customs Tariff Act, 1975: An act of the parliament of India to provide for the levy and collection of customs duties on goods imported into India and for matters connected therewith.
Central Government: The executive, authority, and government of India.
Ministry of Finance Department of Revenue: A department within the Ministry of Finance responsible for revenue collection and taxation in India.
Gazette of India: An official journal of the Government of India, publishing official rules, regulations, and notifications.
New Delhi: The capital of India, where the notifications are issued.
Customs Import of Goods at Concessional Rate of Duty or for Specified End Use Rules, 2022: Rules pertaining to the import of goods at concessional duty rates for specific purposes.
Finance Act, 2021: An act of the parliament of India to give effect to the financial proposals of the Central Government for the financial year 2021-2022.
Platinum: A chemical element, used in the manufacture of goods falling under heading 2843.
Palladium: A chemical element, used in the manufacture of goods falling under heading 2843.
Noble Metal Compounds: Chemical compounds containing noble metals, falling under heading 2843.
Noble Metal Solutions: Solutions containing noble metals, falling under heading 2843.
Rhodium: A chemical element, used in catalytic convertors falling under tariff item 8421 32 00
CBIC: Central Board of Indirect Taxes and Customs
Vikram Vijay Wanere: Under Secretary.
रजिस्ट्री स.ं डी.एल.- 33004/99 REGD. No. D. L.-33004/99
सी.जी.-डी.एल.-अ.-03102022-239302
xxxGIDHxxx
CG-DL-E-03102022-239302
xxxGIDExxx
असाधारण
EXTRAORDINARY
भाग II—खण् ड 3—उप-खण्ड (i)
PART II—Section 3—Sub-section (i)
प्राजधकार स ेप्रकाजित
PUBLISHED BY AUTHORITY
स.ं 676] नई दिल्ली, सोमिार, अक्त बू र 3, 2022/आजश्ि न 11, 1944
No. 676] NEW DELHI, MONDAY, OCTOBER 3, 2022/ASVINA 11, 1944
जित्त मत्रं ालय
(रािस्ट्ि जिभाग)
अजधसचू ना
नई दिल् ली, 3 अक् तूबर, 2022
सख्ं य ा 52/2022- सीमा िल्ु क
सा.का.जन. 759(अ).—केंद्रीय सरकार, सीमा िुल्क अजधजनयम, 1962 (1962 का 52) की धारा 25 की उप- धारा (1)
और सीमा िुल्क टैररफ अजधजनयम, 1975 (1975 का 51) की धारा 3 की उप-धारा (12) के अधीन प्रित्त िजियों का प्रयोग करते हुए,
यह समाधान हो िाने पर की लोकजहत में ऐसा करना आिश्यक है, भारत सरकार, जित्त मंत्रालय (रािस्ट्ि जिभाग) की अजधसूचना
संख्या 50/2017-सीमा िुल्क, दिनांक 30 िून 2017, जिसे सा. का. जन. 785(अ), दिनांक 30 िून 2017 के तहत भारत के रािपत्र,
असाधारण, भाग 2, खंड 3, उप-खंड (i) में प्रकाजित दकया गया था, में और आगे भी जनम्नजलजखत संिोधन करती है, यथा:-
उि अजधसूचना में, सारणी म,ें क्र. सं. 364ख के सामने, स्ट्तंभ (2) में, “7107 00 00, 7109 00 00, 7110, 7111 00
00, 7112, 7118” प्रजिजि के स्ट्थान पर, "7107 00 00, 7109 00 00, 7111 00 00, 7112, 7118" प्रजिजि को प्रजतस्ट्थाजपत
दकया िाएगा I
[फा. सं. सीबीआईसी-190354/261/2022-TO(TRU-I)-सीबीईसी]
जिक्रम जििय िानेरे, अिर सजचि
नोट : मूल अजधसूचना संख्य ा 50/2017- सीमा िुल्क दिनांक 30 िून, 2017, को सा.का.जन. 785(अ), दिनांक 30 िून, 2017, के
तहत भारत के रािपत्र, असाधारण भाग 2, खड 3, उप खंड (i), में प्रकाजित दकया गया था, और इसमें अंजतम बार अजधसूचना
संख्य ा 50/2022- सीमा िुल्क, दिनांक 27 जसतंबर, 2022, जिसे सा.का.जन. 730(अ), दिनांक 27 जसतंबर, 2022, के तहत
भारत के रािपत्र, असाधारण भाग 2, खंड-3, उप-खंड(i) में प्रकाजित दकया गया था, के द्वारा संिोधन दकया गया था।
6640 GI/2022 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 3(i)]
MINISTRY OF FINANCE
(Department of Revenue)
NOTIFICATION
New Delhi, the 3rd October, 2022
No. 52/2022-Customs
G.S.R. 759 (E).—In exercise of the powers conferred by sub-section (1) of section 25 of the Customs Act,
1962 (52 of 1962) and sub-section (12) of section (3) of the Customs Tariff Act, 1975 (51 of 1975), the Central
Government, being satisfied that it is necessary in the public interest so to do, hereby makes the following further
amendments in the notification of the Government of India, Ministry of Finance (Department of Revenue), No.
50/2017-Customs, dated the 30th June, 2017, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-
section (i), vide number G.S.R. 785(E), dated the 30th June, 2017, namely :-
In the said notification, in the Table, against S. No. 364B, in column (2), for the entry “7107 00 00, 7109 00 00,
7110, 7111 00 00, 7112, 7118”, the entry “7107 00 00, 7109 00 00, 7111 00 00, 7112, 7118” shall be substituted.
[F. No. CBIC-190354/261/2022-TO(TRU-I)-CBEC]
VIKRAM VIJAY WANERE. Under Secy.
Note: - The principal notification No.50/2017-Customs, dated the 30th day of June, 2017 was published in the Gazette
of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 785(E)., dated the 30th day of
June, 2017 and last amended, vide notification No. 50/2022-Customs, dated the 27th September, 2022 published
in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 730(E)., dated the
27th September, 2022.
अजधसचू ना
नई दिल् ली, 3 अक्त ूबर, 2022
सख्ं य ा 53/2022- सीमा िल्ु क
सा.का.जन. 760 (अ).—केंद्रीय सरकार, जित्त अजधजनयम, 2021 (2021 का 13 ) की धारा 124 के साथ परित
सीमा िुल्क अजधजनयम, 1962 (1962 का 52) की धारा 25 की उप-धारा(1) द्वारा प्रित्त िजियों का प्रयोग करते हुए,
यह समाधान हो िान े पर की लोकजहत म ें ऐसा करना आिश्यक ह,ै भारत सरकार, जित्त मंत्रालय (रािस्ट्ि जिभाग) की
अजधसूचना संख्या 11/2021 - सीमा िुल्क, दिनांक 1 फ़रिरी 2021, जिसे सा. का. जन. 69(अ), दिनांक 1 फ़रिरी 2021
के तहत भारत के रािपत्र, असाधारण, भाग II , खंड 3 , उप - खडं (i) म ें प्रकाजित दकया गया था, म ें और आगे भी
जनम्नजलजखत संिोधन करती ह,ै यथा:-
उि अजधसूचना म,ें सारणी म,ें क्र. स.ं 15 और उससे संबंजधत प्रजिजियों के पश् चात ् जनम्नजलजखत क्र.स.ं और
प्रजिजियों को अंत:स्ट्थ जपत दकया िाएगा, अथाात् :-
(1) (2) (3) (4)
“15क 7110 जनम्नजलजखत के अलािा अन्य माल:- 1.5%”.
(क) प्लैरटनम और पलै ेजडयम का जनम्नजलजखत के जिजनमााण म ें उपयोग
हते ु:-
(i) िीर्ा 2843 के अधीन आने िाले सभी माल जिसके अंतगात
नोबल मेटल कंपाउंड और नोबल मेटल सोलूिन्स भी ह;ै
(ii) उपिीर् ा3815 12 के अधीन आने िाले सभी माल;
(iii) टैररफ मि 8421 32 00 के अधीन आन े िाल े कैटेजलरटक
कन्िटार;[भाग II—खण् ड 3(i)] भारत का रािपत्र : असाधारण 3
बितें दक, आयातक सीमा िुल्क (िुल्क की ररयायती िर पर या जिजिि
अंजतम उपयोग के जलए माल का आयात) जनयम, 2022 म ें जनधााररत
प्रदक्रया का पालन करता ह;ै
(ख) रोजडयम
[फा. स.ं सीबीआईसी-190354/261/2022-TO(TRU-I)-सीबीईसी]
जिक्रम जििय िानेरे, अिर सजचि
नोट : मूल अजधसूचना संख्या 11/2021 - सीमा िुल्क, दिनांक 1 फ़रिरी 2021, जिसे सा. का. जन. 69(अ), दिनांक 1
फ़रिरी 2021 के तहत भारत के रािपत्र, असाधारण, भाग II, खंड 3, उप-खंड (i), और इसमें अंजतम बार
अजधसूचना संख् या 27/2022- सीमा िुल्क, दिनांक 21 मई, 2022, जिसे सा.का.जन. 379(अ), दिनांक 21 मई,
2022, के तहत भारत के रािपत्र, असाधारण भाग 2, खंड-3, उप-खंड(i) में प्रकाजित दकया गया था, के द्वारा
संिोधन दकया गया था।
NOTIFICATION
New Delhi, the 3rd October, 2022
No. 53/2022-Customs
G.S.R. 760 (E).—In exercise of the powers conferred by sub-section (1) of section 25 of the Customs Act,
1962 (52 of 1962) read with section 124 of the Finance Act, 2021 (13 of 2021), the Central Government, on being
satisfied that it is necessary in the public interest so to do, hereby makes the following further amendments in the
notification of the Government of India, in the Ministry of Finance (Department of Revenue), No. 11/2021-Customs,
dated the 1st February, 2021, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide
number G.S.R. 69(E), dated the 1st February, 2021, namely :-
In the said notification, in the Table, after Sl. No. 15 and the entries relating thereto, the following S. Nos.
and entries shall be inserted, namely: -
(1) (2) (3) (4)
“15A. 7110 Goods, other than the following: - 1.5%”.
(a) Platinum and Palladium for use in the manufacture of: -
(i) all goods, including Noble Metal Compounds and Noble Metal
Solutions, falling under heading 2843;
(ii) all goods falling under sub-heading 3815 12;
(iii) catalytic convertors falling under tariff item 8421 32 00;
Provided that, the importer follows the procedure set out in the Customs
(Import of Goods at Concessional Rate of Duty or for Specified End Use)
Rules, 2022;
(b) Rhodium
[F. No. CBIC-190354/261/2022-TO(TRU-I)-CBEC]
VIKRAM VIJAY WANERE, Under Secy.
Note: The principal No. 11/2021-Customs, dated the 1st February, 2021, published in the Gazette of India,
Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 69(E), dated the 1st February, 2021 and
last amended, vide notification No. 27/2022-Customs, dated the 21st May, 2022 published in the Gazette of
India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 379(E), dated the 21st May, 2022.
Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064
and Published by the Controller of Publications, Delhi-110054.