Notification No. 51/2025-Customs (N.T.), Dated 25-08-2025
1. Introduction to the Amendment
The Central Board of Indirect Taxes and Customs (CBIC) has issued a notification amending Notification No. 77/2023-Customs (N.T.), dated 20-10-2023. The amendment specifically revises drawback rates under Chapter 71 of the Schedule. These changes directly impact exporters engaged in the jewellery sector, particularly those dealing with gold and silver jewellery. By modifying the rates, the CBIC aims to align the drawback structure with the prevailing international market rates of precious metals.
2. Revised Drawback Rates for Gold and Silver Jewellery
As per the amendment, the figure ‘335.50’ against tariff item 711301 has been substituted with ‘466.76’, which applies to gold jewellery. Similarly, the figure ‘4468.10’ against tariff items 711302 and 711401 has been replaced with ‘5234.00’, applicable to silver jewellery. Effectively, the revised rates now stand at Rs. 466.76 per gram for gold jewellery and Rs. 5,234.00 per kilogram for silver jewellery. These updated figures reflect the increased value of imported inputs used in jewellery manufacturing.
3. Applicability for Exporters
Exporters dealing with tariff items 711301, 711302, and 711401 must adopt these revised rates when filing claims under the Customs and Central Excise Duties Drawback Rules, 2017. The new drawback rates are applicable to jewellery manufactured from imported gold and silver that is subsequently exported. This ensures that exporters receive a fair and accurate reimbursement of duties paid on imported raw materials, thereby promoting competitiveness in the international jewellery market.
4. Impact on the Jewellery Export Sector
The revision of drawback rates is expected to provide significant relief to jewellery exporters, who often face volatile price fluctuations in precious metals. By enhancing the drawback amounts, the CBIC has addressed concerns regarding cost recovery on inputs, which is crucial for maintaining profitability in export operations. Moreover, these changes will help Indian jewellery manufacturers remain competitive in global markets, while also simplifying compliance under the Drawback Rules.
