This is purely excise statury requirement.

The excise authority at any point of time if they want

to know what is the raw material you have procured & what is finished goods you have
removed(Sold) from the factory Premises they will check the below registers.
RG23 A part 1 - Raw material - Qty wise / Vendor wise
Rg23 A Part 2 - Raw material - Value wise/ Vendor wise
Rg23 C Part 1 - Capital goods - Qty wise
RG23C Part2 0 Capital Goods(assets.tools) - Value wise / Vendor wise
Rg1- Finished goods prouced & despatched(removed) from factory
Assume you procure raw material form a vendor by paying excise duty of 10 rs(RG23A Part2) &
you have produced a FG & selling it to customer & you are cahrging him a excise duty of 15 rs.RG1( since value addition is made to that raw material). As a logic the value of 15 rupees should
be paid to the govt, but you can deduct from this a amount (rs10) to a extent of whatever you
have paid to the vendor. I.e 15-10 = Rs 5 should be paid to the govt., This activity is performed
monthly using J2iun transaction(Month end Utilization). The details of the above should be
submitted to the govt in the way of excise registers such as RG23A part1 & 2, RG23C part1 & 2
& RG1 register(but excise authority least bothered abt part1)
J1i5 - Is used to update the above registers(part1 for RG23a, c & RG1).The various
classifications are
RMA - Is used for receipts(FG GR from Prodn booking)
IDH-Removal from Factory(Despatches)
IDE / IWE- Used for export despatches(removal without payment of duty)
ROP- Initial stock receipts
All the above movement types to be activated for excise transactions in SPRO
J2i5- to extract the above
J2i6 -To print the above + part 2 register also
RG23A/C part 2 will get updated at the time excise inv posting in J1iex(i.e after GR)