SSI exemption on power driven pumps extended

Greater Kashmir

New Delhi: The Budget 2006-07 proposed to withdraw SSI exemption on power driven pumps, designed to handle water, which are not as per Bureau of Indian Standards (BIS). The proposed withdrawal was to be effective from 1st April 2006. This change was aimed at encouraging manufacture of energy efficient and safe pumps which find widespread use in agriculture, a PIB handout said.
It has been represented that some units will not be able to get the benefit of SSI exemption as they may not be able to get the BIS certification by 1st April, 2006. In order to give sufficient time to the units likely to be affected by the withdrawal of SSI exemption to obtain requisite BIS certification, Government have decided to extend the time limit for the proposed withdrawal of SSI exemption from 1st April 2006 to 1st August 2006. This will give sufficient time to the units to get the requisite BIS certification within this period.
The Government have issued Notification No.27/2006-Central Excise dated 30.3.2006 for effecting the above change.