Rupee appreciation has affected exporters: Economic SurveyFebruary 28th, 2008 - 6:01 pm ICT by admin
New Delhi, Feb 28 (ANI): The Economic Survey tabled today says the appreciation of the rupee vis-a-vis the dollar, the main invoicing currency of export compared to the lower appreciation of competing countries coupled with the slow growth in imports of major trading partners like the United States, has affected exports of some sectors with low import intensity.
To provide relief to exporters, the government has announced several relief measures.
These included: 3 per cent increase in the Duty Entitlement Pass Book (DEPB) rates for nine sectors i.e. textiles (including handloom), ready made garments, leather products, handicrafts, engineering products, processed agricultural products, marine products, sports goods and toys; and by 2 per cent for others.
10 per cent reduction in Export Credit Guarantee Corporation (ECGC) premium
Release of around Rs 600 crore to clear all arrears of terminal excise duties and Central Sales Tax (CST) reimbursement.
Around 10 per cent to 40 per cent increase in the rates of duty drawback.
Refund of Service Tax to exporters for use of services not in the nature of Input Services.
Widening the list of interest subvention of 2 per cent for pre-shipment and post-shipment credit to include jute, textiles and carpets; processed cashew, coffee and tea; solvent extracted de-oiled cake; and plastics and linoleum.
Reduction in Custom Duty on some items relating to textiles sector. (ANI)
Tags: agricultural products, arrears, coffee and tea, credit guarantee corporation, crore, custom duty, duty drawback, economic survey, engineering products, excise duties, export credit, handicrafts, input services, invoicing, jute, leather products, linoleum, major trading partners, ready made garments, sports goods