Section 31 in The Special Economic Zones (Customs Procedures) Regulations, 2003
31. Disposal of obsolete or surplus goods.
(1)The zone unit shall be allowed to dispose of obsolete or unusable capital goods, spares and other goods in the domestic tariff area on payment of customs duty as per provisions of clause (b) of section 76F of Act following the conditions mentioned in the Export and Import Policy and the provisions of ITC(HS) Classification of Export and Import Items Book as applicable in case of goods imported into India.(2)In case of used capital goods, depreciation shall be allowed in terms of sub-rule (1) of rule 9 of the Special Economic Zone Rules, 2003.
