SHREE RENUKA SUGARS LTD. Vs. UNION OF INDIA

JUDGEMENT

(1.) The Petitioner No. 1 is a company registered under the Companies Act. The Petitioner No. 2 is the authorized officer of the company. Petitioners have prayed for a declaration that no export duty was recoverable on the petitioners' export of sugar against valid advance authorization during a period between 16-6-2016 to 5-7-2016.

(2.) The petition arises in following factual background. Petitioners are engaged in the business of manufacturing, marketing and selling white refined sugar and its by-products. For such purpose, the petitioner has established a refinery in Kutch district. The petitioners import raw sugar against advance authorization without payment of duty on the condition that refined sugar would be re-exported within stipulated time. The issue involved is of collection of export duty on the petitioners' re-export of such imported raw sugar during the period between 16-6-2016 and 5-7-2016.

(3.) With effect from 1-3-2011 raw sugar, white sugar or refined sugar were placed in the Second Schedule to the Customs Tariff Act at Sr. No. 9A inviting 20% of export duty. The Government of India had issued an exemption notification dated 1-3-2011 exempting various products from payment of export duty. Raw sugar, white or refined sugar did not found place in this exemption notification. However, the Government of India issued a later notification dated 1-3-2013 amending the said exemption notification dated 1-3-2011 by virtue of which raw sugar, white or refined sugar were added in the exemption notification inviting nil duty. Thus, from 1-3-2013 export duty on raw sugar, white sugar or refined sugar was fully exempt.