Definicja running bond

An excise bond in which the bond value refers to the maximum amount of basic excise duty (BED) that can be covered at any one time.

The net bond value is reduced when you submit an ARE-1, but goes up again once you receive confirmation that the goods have been exported.

Example

You have an excise bond with a value of INR 10,000. You create an ARE-1 for an export with a BED amount of INR 8,000. The net bond value goes down to INR 2,000. When you receive confirmation that the goods have been exported, the net bond value goes back up to INR 10,000.