Business

India: Duty drawback rates for T&C exports hiked

The Apparel Export Promotion Council (AEPC) has welcomed the hike in duty drawback rates. Last week, the Finance Ministry has rationalized the duty drawback and brought more items under the scheme for tax refund to exporters to give a boost to overseas shipments.

The drawback rates for the garment cotton, man-made and silk have been increased to 7.6 percent, 10.2 percent and 7.8 percent respectively for 2013-14, he said. The revised All Industry Rates of duty drawback comes into effect from September 21.

"The move would give a boost to overseas shipments. Government has announced duty drawback for the garment cotton, manmade and silk for the year 2013-14. This is a critical incentive which we all need," AEPC Chairman A Sakthivel said.

India's garment exports grew 19 percent year-on-year to US$ 1.27 billion in July. The country's overall exports rose to a two-year high of 13 percent in August on account of improved global situation.