The Central Board of Excise and Customs vide Circular No. 13/2017-Cus dated April 10, 2017 has clarified that the indigenous goods supplied to the EOUs/EPZ/SEZ/EHTP/STP units after availing the deemed export benefits are to be treated as ‘imported goods’ and accordingly, duty as applicable to the imported goods is liable to be paid. Once the goods are treated as imported goods and applicable Customs duty is paid at the time of their transfer/sale back into Domestic Tariff Area (“DTA”) or exit, there is no requirement of refund of the deemed export benefits availed on such goods or for the production of a certificate from the Development Commissioner regarding refund or non-availment of deemed export benefits at the time of clearance of such goods or exit.
Alternatively, the EOU/STP/EHTP units would also be allowed to clear the domestically procured goods or on exit, on payment of Excise duty as per Notification No. 22/2003-CE dated March 31, 2003 only on production of certificate from the Development Commissioner to the effect that deemed export benefits have been paid back or not availed, as the case may be, as envisaged in Circular No. 74/2001-Cus dated December 4, 2001.
Read more at: http://www.cbec.gov.in/resources//htdocs-cbec/customs/cs-circulars/cs-circulars-2017/circ13-2017cs.pdf