• Download mobile app
10 Aug 2022, Edition - 2584, Wednesday

Trending Now

  • Covid 19: India reports 16,167 new cases and 41 deaths in last 24 hours
  • SP leader’s car hit by truck, dragged for 500 metres in UP’s
  • Breaking glass ceiling, CSIR gets first woman director general in N Kalaiselvi

Coimbatore

SIMA hails marginal increase in duty drawback rates

Covai Post Network

Share

Coimbatore : Southern India Mills’ Association (SIMA) Wednesday said that the new Remission of Duties or Taxes on Export Product (RoDTEP) benefit would refund all the embedded/blocked duties and taxes and cover all the textile products such as fibres, yarn, fabrics,garments, made-ups, technical textiles, etc., across the value chain to have a level playing field in the global market and remain competitive.

In a statement, SIMA Chairman Ashwin Chadran thanked the Duty Drawback Committee and the Government for considering the inputs given by the textiles and clothing industry and enhancing the rates marginally across the value chain.

The Duty Drawback being a WTO-compatible export benefit, the scheme would help the exports to achieve a sustained growth rate provided the duty drawback calculation takes care of all incidences of duties and taxes, he said.

The duty drawback rate for cotton grey yarn has been increased from 1.7 to 1.9 per cent, for fabric from 1.6 to 2, made-ups from 2.6 to 2.8 per cent, apparel from 1.9 to 2.1 per cent, thus encouraging value addition and benefit the predominantly cotton based spinning sector, he said.

This might help to boost cotton yarn exports to a certain extent, he said and appealed to the Government to remove the value cap for spandex yarn and certain categories of woven fabrics to encourage value addition.

Stating that It was essential to refund the State and Central levies that were not refunded under duty drawback calculations to make the cotton yarn and fabric exports competitive, Ashwin said that the industry has been pleading the same from the inception of announcing Rebate of State Levies (RoSL) benefit for garments and made-ups.

Subscribe To Our Newsletter

COIMBATORE WEATHER