Export under Bond without payment of duty ( Rule 19 ) :

• Any excisable goods may be exported without payment of duty from a factory of the producer/ manufacturer/ warehouse/ any other premises, as may be approved by the commissioner ;
• Any material may be removed without payment of duty from a factory of the producer / manufacturer or warehouse/ any other premises for use in the manufacture / processing of goods which are exported , as may be approved by the Commisioner
• The export shall bge subject to such conditions , safeguards and procedure as may be specified by notification by the Board

Exporter to furnish bond : The exporter shall furnish a general bond in the form B-1 (equal to the duty chargeable on the goods) to Jurisdictional AC/dc or Maritime Commissioner ; or other authorized officer . Manufacturer-exporter can furnish annual letter of undertaking in form ut-1 in lieu of a bond.

• Export to be made within 6 months.
• Export to be made in original packed condition.
• Exempted goods / Nil rated goods cannot be exported under bond.

The procedure for export of finished goods shall remain same as discussed in Rule 18. However, five copies of application in ARE-1 form is to be executed. The fourth copy of application shall remain with Range Officer and fifth copy of application is optional copy for claiming export incentives.