New Drawback Rates may provide some Relief to Engineering Sector: FIEO
Author(s): City Air NewsLudhiana, November 17, 2015: Mr S C Ralhan, President, Federation of Indian Export Organizations (FIEO) commenting on the new All Industry Rates of Duty Drawback effective from 23rd November, 2015, said that a quick...
cityairnews
Nov 17, 2015 12:30
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Ludhiana, November 17, 2015: Mr S C Ralhan, President, Federation of Indian Export Organizations (FIEO) commenting on the new All Industry Rates of Duty Drawback effective from 23rd November, 2015, said that a quick analysis of it shows cosmetic changes in the rates. In the current situation of declining exports, trade & industry was expecting better support from this route but the rates announced may not appear to be encouraging in majority of export sectors, Mr. Ralhan pointed out.
However, the FIEO Chief welcomed increase in composite rates for items like frozen shrimps/prawns, perfumed agarbatti, finished/lining leather, leather hand bags/wallet/betls, industrial gloves, millmade fibre yarn/fabric, readymade garments, madeups and handtools, etc. Mr. Ralhan also welcomed for providing separate entries for several items as this will addresses the exporters’ issues in these areas. He complimented the Drawback Committee for providing increased Customs rate of 2% to certain engineering items falling under Chapter 72, Chapter 73, Chapter 83, Chapter 84, Chapter 85, Chapter 86 and Chapter 89 which will help the exporters to neutralize the impact of import duty hike in steel used for export production. But reduction in composite rates for wooden art ware, papier mache, yarn/fabric/garment of silk, carpets, brass artare/articles, sports goods will be a further setback to the exporters of these items as they are already facing problem because of slow demand as also price competition. Allowing exporters of wheat to function under Brand Rate mechanism and payment of provisional drawback in certain cases of export under claim for brand rate would be a relief to exporters; added the FIEO Chief.
Date:
Tuesday, November 17, 2015
