Insta
Export Incentive Scheme: North Indian Garment Businesses Seek Government Intervention On New Rates
Swarajya Staff
Dec 13, 2018, 09:16 AM | Updated 09:16 AM IST
Save & read from anywhere!
Bookmark stories for easy access on any device or the Swarajya app.
Ready-made garment exporters in the northern region are apprehensive about the new rates of export incentive scheme as they fear the revised rates will significantly bring down the export abilities of the apparel sector, The Tribune has reported.
The exporters have expressed their concerns with the Centre and requested it to immediately review the new rates of export incentive scheme to boost business.
The Central Board of Indirect Taxes and Customs (CBIC) had, last week, cut the duty drawback rates on cotton, man-made and blended garments, which will take effect from 19 December.
The Apparel Export Promotion Council (AEPC), in a letter to the Finance Ministry, has termed the move a setback for the industry which, due to the implementation of GST, is already losing its share in the global market.
“Policy support for the industry after GST has significantly declined by around 5.5 per cent,” the letter stated.
The council has sought the enhancement of drawback rates like it was done in other important segments such as yarn, fabric and made ups, to benefit the entire value chain. It has also provided detailed cost analysis for enhancing the drawback rates to boost exports.
Save & read from anywhere!
Bookmark stories for easy access on any device or the Swarajya app.
Support Swarajya's 50 Ground Reports Project & Sponsor A Story
Every general election Swarajya does a 50 ground reports project.
Aimed only at serious readers and those who appreciate the nuances of political undercurrents, the project provides a sense of India's electoral landscape. As you know, these reports are produced after considerable investment of travel, time and effort on the ground.
This time too we've kicked off the project in style and have covered over 30 constituencies already. If you're someone who appreciates such work and have enjoyed our coverage please consider sponsoring a ground report for just Rs 2999 to Rs 19,999 - it goes a long way in helping us produce more quality reportage.
You can also back this project by becoming a subscriber for as little as Rs 999 - so do click on this links and choose a plan that suits you and back us.
Click below to contribute.
