Notification No. 1/2011 C. E.

Effective rate of duty of 2% on specified goods when no Cenvat credit on inputs or input services availed. --   In exercise of the powers conferred by sub-section (1) of section 5A of the Central Excise Act,1944 (1 of 1944), the Central Government, on being satisfied that it is necessary in the public interest so to do, hereby exempts the excisable goods of the description specified in column (3) of the Table below and falling under Chapter, Heading, sub-heading or tariff item of the First Schedule to the Central Excise Tariff Act, 1985 (5 of 1986), specified in the corresponding entry in column (2) of the said Table, from so much of the duty of excise leviable thereon under the said Central Excise Act, as is in excess of the amount calculated at the rate of 2% ad valorem :

        Provided that the said excisable goods are manufactured from inputs or by utilizing input services on which appropriate duty of excise leviable under the First Schedule to the Central Excise Tariff Act, 1985 (5 of 1986) or additional duty of customs under section 3 of the Customs Tariff Act, 1975 (51 of 1975) or service tax under section 66D of the Finance Act, 1994 (32 of 1994) has been paid and no credit of such excise duty or additional duty of customs on inputs or service tax on input services has been taken by the manufacturer of such goods (and not the buyer of such goods), under the provisions of the CENVAT Credit Rules, 2004.

        Explanation. – For the purposes of this notification, appropriate duty or appropriate additional duty or appropriate service tax includes nil duty or nil service tax or concessional duty or concessional service tax, whether or not read with any relevant exemption notification for the time being in force.

TABLE  
S. No. Chapter or heading or sub-heading or tariff item of the First Schedule Description of the excisable goods
 
(1) (2) (3)
1 1302 19 20, 1302 19 30 Cashew shell liquid (CNSL)
1A 040291 10 or 0402 99 20 Condensed milk put up in unit containers
2 1404 90 50 Indian Katha
3 1501 All goods
4 1502 All goods
5 1503 00 00 All goods
6 1504, 1505, 1506 All goods
7 1516 10 00 All goods
8 1517 10 Margarine
9 16 All goods
9A 1701 Jaggery powder
10 1901 10 All goods for infant use put up in unit containers
11 1902 other than 1902 40 10 and 1902 40 90 All goods
12 1903 00 00 All goods
13 1904 10 20 Paws, Mudi and the like
14 20 All goods
15 2101 Coffee or tea pre-mixes
16 2103 Sauces, ketchup and the like and preparations therefore
17 2104 Soups and broths and preparations thereof
18 2105 00 00 All goods
19 2106 90 All kinds of food mixes, including instant food mixes
20 2106 90 30 Betelnut product known as “supari”
21 2106 90 92 Sterilized or Pasteurised miltone
22 2106 90 99 (i) Ready to eat packaged food,
(ii) Milk containing edible nuts with sugar or other ingredients
23 2202 99 10 All goods
24 2202 99 20 All goods
25 2202 99 30 Flavoured Milk of Animal origin
26 2202 99 90 Tender coconut water
27 26 or any chapter Fly ash
28 *** ***
29 2702 All goods
30 2703 All goods
31 2704 All goods
32 2706 All goods
33 28 or 38 Silicon in all forms other than silicon wafers
34 2847 00 00 Medicinal grade hydrogen peroxide
35 28, 29 or 30 Anaesthetics
36 28 Potassium Iodate
37 30 Medicaments (including those used in Ayurvedic, Unani, Siddha, Homeopathic or Bio-chemic systems), manufactured exclusively in accordance with the formulae described in the authoritative books specified in the First Schedule to the Drugs and Cosmetics Act, 1940 (23 of 1940) or Homeopathic Pharmacopoeia of India or the United States of America or the United Kingdom or the German Homeopathic Pharmacopoeia, as the case may be, and sold under the name as specified in such books or pharmacopoeia
38 30 Intravenous fluids, which are used for sugar, electrolyte or fluid replenishment
39 3002 20 or 3002 30 00 Vaccines (other than those specified under the National Immunisation Program)
40 *** ***
41 3215 90 10 Fountain pen ink
42 3215 90 20 Ball pen ink
43 3215 90 40 Drawing ink
44 3306 10 10 Tooth Powder
45 3406 00 10 Candles
46 3824 50 10 Ready-mix concrete(RMC)
47 39 Products of jute and phenolic resins manufactured by pultrusion process, containing at least forty per cent. by weight of jute
48 3903 Unexpanded polystyrene beads purchased by the Malaria Research Centre
49 3916 10 20, 3916 20 11, 3916 20 91 or 3916 90 10 Canes of polymers, plastics or vegetable products
50 39 or 40 Nipples for feeding bottles
51 4015 Surgical rubber gloves or medical examination rubber gloves
51A 420321 Gloves specially designed for use in sports
52 44 or any Chapter Resin bonded bamboomat board, with or without veneer in between
52A 44 or any Chapter Flattened bamboo boards
53 4410 or 4411 Coir composite boards, coir matting boards, coir boards
54 4601 All goods
55 4602 All goods
56 4701 00 00 All goods
57 4702 00 00 All goods
58 4703 All goods
59 4704 All goods
60 4705 All goods
61 4706 All goods
62 48 or any chapter Leather board
63 *** *****
64 4802 Paper or paperboard, in the manufacture of which, -
(i) the principal process of lifting the pulp is done by hand; and
(ii) if power driven sheet forming equipment is used, the Cylinder Mould Vat does not exceed 40 inches
65 4817 Letters, envelops, lettercards and plain postcards
66 *** ****
67 *** ****
68 4820 Notebooks and exercise books
69 4909 All goods
70 4910 All goods
70A 54 or 55 Polyester staple fibre or polyester filament yarn manufactured from plastic scrap or plastic waste including waste polyethylene terephthalate bottles
71 *** ****
72 *** ****
73 5805 All goods
74 5807 All goods
75 5906 10 00 Adhesive tapes of a width not exceeding 20 cm
75A 64, 62, 63,(except laminated jute bags falling under 6305, 6309 00 00, 6310) All goods bearing a brand name or sold under a brand name and having retail sale price (RSP) of Rs. 1000 and above
76 6305 Laminated jute bags
77 6602 00 00 All goods
78 68 or 69 Sand lime bricks
79 69 Burnt Clay tiles conforming to IS specification No. 3367-1975
80 69 Ceramic tiles, on which the appropriate duty of excise under the First Schedule, or as the case may be, the additional duty leviable under the Customs Tariff Act, 1975 (51 of 1975) has already been paid, subjected to the process of printing, decorating or ornamenting in a factory which does not have the facilities (including plant and equipment) of producing ceramic tiles.
81 *** ****
82 *** ****
83 *** ****
84 70 Glassware produced by mouth-blown process
85 7015 10 Glasses for corrective spectacles and flint buttons
86 7020 00 11, 7020 00 12 or 7020 00 21 All Goods
87 7104 10 00 All goods
88 *** ****
89 *** ****
90 7310 or 7326 or any other Chapter Mathematical boxes, geometry boxes and colour boxes, pencil sharpeners
91 7321 or 7418 19 or 7419 99 Kerosene burners, kerosene stoves and wood burning stoves of iron or steel, copper or copper alloy
92 7319 Sewing needles
93 7323 or 7418 or 7615 All goods other than parts and pressure cookers
94 8215 All goods
95 8421 21 20 Water filters functioning without electricity and replaceable kits thereof
96 844250 Printing blocks and printing types
97 8452 Sewing machines other than those operated with Electric motors, whether inbuilt or attachable to the body
98 8479 Briquetting plant and machinery using agri- municipal waste
99 8479 Composting Machines
100 8517 or 8525 60 Radio trunking terminals
101 *** ****
102 8523 The following goods, namely :- (a) Recorded audio compact discs (CDs); (b) Recorded video compact discs (VCDs); (c) Recorded digital video discs (DVDs);
103 8523 The following goods, namely :-
(a) Sound recorded magnetic tapes of width not exceeding 6.5 millimeters, whether in spools, or reels or in other form of packing;
(b) Recorded media for television and sound recording such as video tapes and video discs;
(c) Recorded audio cassettes
104 *** ****
105 8523 59 10 Recorded proximity cards and tags
106 8601 to 8606 All goods (except Railway track machines falling under tariff item 8640 00 00)
107 8712 Bicycles and other cycles
108 8801 All goods
109 8804 All goods
110 8805 All goods
111 *** ****
112 *** ****
113 *** ****
114 *** ****
115 9001 40, 9001 50 00, or 9001 90 90 Spectacle lenses
116 9004 90 Spectacles
117 9017 Drawing instruments
118 9017, 8486 40 00 Mathematical calculating instruments and pantographs
119 9017 Other drawing and marking out instruments
120 9027 Kits manufactured by M/s. Hindustan Antibiotics Limited, Pimpri, for testing narcotic drugs and psychotropic substances Explanation. - For the purposes of this entry, - (a) ”narcotic drugs”  and “ psychotropic substances”  shall have the meanings respectively assigned to them in clause (xiv) and clause (xxiii) of section 2 of the Narcotic Drugs and Psychotropic Substances Act, 1985 (61 of 1985); (b) ”kits for testing narcotic drugs and psychotropic substances”  means kits consisting of chemical reagents in small bottles for testing narcotic drugs and psychotropic substances manufactured by M/s. Hindustan Antibiotics Limited, Pimpri, including test tubes droppers, test plates and similar other accessories supplied with such kits
121 9301 Military weapons, other than revolvers, pistols, swords cut lasses, bayonets, lances etc.
122 9404 Coir products
123 9404 Products wholly made of quilted textile
Materials
124 9405 Hurricane lanterns
125 9405 50 31 Kerosene pressure lantern
126 95 Sports goods other than articles and equipments for general physical exercise
127 9606 Buttons of plastics or base metals, not covered with textile materials; buttons of coconut shell or wood; other buttons;
128 9608 Following goods, namely : - (i) Pens of value not exceeding Rs. 200 per piece; (ii) Ball point pens of value not exceeding Rs. 200 per piece; (iii) Refills of ball point pens specified in (ii) above;
129 9608, 9609 Pencils, pencil leads
130 9609 Crayons, pastels, drawing charcoals, writing or drawing chalks and tailor’s chalk
131 9619 All goods
132 Any Chapter Parts, components and accessories namely, battery chargers, PC connectivity cables, memory cards and hands-free headphones of mobile handsets. Explanation. - For the purposes of this entry, mobile handsets include cellular phones.

(Amended by 37/2016-C.E. dated 31-12-2016)