The Directorate of Customs and Intelligence is claimed to have issued a notice to the Nissan Ashok Leyland joint venture for export failure. If the industry sources are to be believed, the joint venture may have to pay Rs. 200 crore for non-fulfillment of export obligations. Claimed sources, that there is also the possibility of the joint venture’s factory equipment being seized on non payment of the penalty. The equipment is said to have been imported by the JV. In connection with the same, the Customs department is claimed to have issued a demand notice to Renault Nissan Automotive India, which imported tools, robots and jigs for the JV. The import of these items were under Export Promotion Capital Goods (EPCG), a scheme which provides tax incentives for exports. Since the vehicles made by the JV were not exported, the notice was issued. The Renault-Nissan Alliance is said to have sought two months from the Customs authorities to pay up. Ashok Leyland, at the other end, is known to have begun evaluating the future of the partnership even as it writes off substantial amounts of its investment in it

Leave a Reply

Your email address will not be published. Required fields are marked *

AlphaOmega Captcha Classica  –  Enter Security Code
     
 

*