'Supplies from DTA to SEZ attract export duty'

Duty credit allowed under the RoDTEP scheme is subject to realisation of sale proceeds within the period allowed by the RBI

Please refer to the notification 29/2022-Cus dated May 21, 2022, imposing export duty on certain steel products. Will the export duty be applicable on goods sent from the DTA to an SEZ? If so, please give the relevant provisions.

Supplies from DTA to an SEZ will attract export duty in accordance with the fifth proviso to Rule 27 of the SEZ Rules, 2006. It reads, “Provided also that supplies from Domestic Tariff Area to Special Economic Zones shall attract export duty, in case, export duty is leviable on items attracting export duty.” This proviso was inserted in the said Rules