Circular No.ES/20/2018-19 April 16, 2018
To: Members of the Council
Sub: Request for views/Suggestions and data for review of All Industry Rates (AIRs) of Duty Drawback for the year 2018
As you are aware, Post GST Regime, the revised drawback rates are unable to impact much on MMF Textile exports, thereby making the products globally uncompetitive. Also, the new drawback rates and value caps are unable to promote value addition and export of value-added products. The effort of the Ministry of Finance to fix the Drawback rates comes at a time when the Government is in the process of implementing the new tax regime in the country. The Council has been urging the Government to reconsider the decision of fixing low rates of the duty drawback since it has adversely affected the MMF Textile sector.
Now, the Council has received a communication from the Drawback Department vide Letter No. 609/27/2018- DBK dated 12th April, 2018 inviting views/suggestions and data for review of All Industry Rates (AIRs) of duty drawback for the year 2018.
It may be informed that the Government is proposing to review the All Industry Rates (AIRs) of Duty Drawback for the year 2018 with reference to the incidence of Customs and Central Excise duties on goods manufactured for export.
In this regard, members are requested to provide data w.r.t. inputs used in the manufacture and the respective export products in the specified enclosed Proforma- I (A), II, and III.
While providing the above data, the following aspects should be taken care of:-
The above requested information sent by you will help the Council in pursuing the matter for revising the rates of MMF Textiles in the AIR Drawback Schedule, suitably.
I therefore urge all my fellow members to send us the above documents to the Council at the following email ids (firstname.lastname@example.org, email@example.com and firstname.lastname@example.org) latest by 23rd April, 2018 for enabling us to prepare Calculations based on your data for a suitable Drawback Rate to the Drawback Division for consideration.
We solicit your valuable views/suggestion and receipt of documents in this matter.
Members are requested to fill in the Proformas and send the same along with the desired documents by the due date as suggested above.