FIEO Not Happy with Cuts in DBK on Electronic Goods
FIEO Chief welcomes Drawback Rates but ask for
review for Electronic Sectors Responding to Duty Drawback rates, Mr M Rafeeque Ahmed, President, FIEO said that by and large
Drawback rates are on expected lines as generally the decline are in the range
of 0.1% to 0.5% with few exceptions. Mr. Ahmed
welcomed increase in rates for silk garments, fabrics and yarn, gold and silver
jewellery and also bringing milk products under Drawback as exports growth in
dairy sector has been encouraging. President FIEO, however, expressed his
concern on sharp decline in drawback rates for electronic sectors where the DBK
rates for Coloured and Black & White TVs have been slashed from 4% to 1%
and Public Address Systems etc from 2% to 1%. Since
only recently we introduced new electronic hardware policy with a view to
encourage hardware manufacturing in India to reduce electronics imports, which
may cross over US$ 200 Billion in next 5-7 years, said Mr Ahmed, the rate for
the sector may be reviewed looking at broad objectives. FIEO has also provided
a comparison of Drawback rates for important exports sectors. Drawback
comparison document is attached below:
|
Product
|
Drawback
Rates for 2012-13 |
Drawback
rates for 2013-14 (effective from 21st September,2013) |
|
Milk
and Milk Products |
NIL |
1% |
|
Meat
Products |
1.6% |
1.5% |
|
Frozen
Marine Products |
3.5% |
3.3% |
|
Wheat
|
1% |
NIL |
|
Brass/Copper
Handicrafts |
12.5% |
12% |
|
Garment
Cotton |
7.9% |
7.6% |
|
Man
Made |
10.5% |
10.2% |
|
Silk |
7% |
7.8% |
|
Leather Shoes |
9.2% |
9.1% |
|
Leather
Sandles |
8.2% |
8.1% |
|
Sports
Shoes |
4% |
3% |
|
Gold
Jewellery |
Rs
100.70 per gram of net gold content |
Rs
227.20 per gram of net gold content |
|
Silver
Jewellery |
Rs
2590.80 per kg of net silver content |
Rs
3436.80 per kg of net silver content |
|
Car with automatic transmission |
3.67% |
3.67% |
|
Tractors
|
2% |
1.7% |
|
Car
components |
7.5% |
7.2% |
|
Coloured and
B/W TVs |
4% |
1% |
|
Public
Address System/Loudspeakers |
2% |
1% |
|
Quartz
Watches |
4% |
3% |
|
Cricket
Bats/Hockey sticks |
5.5% |
5.2% |
|
Carpets
Wollen |
10.4% |
9.7% |
|
Silk |
11.7% |
11.7% |
|
Man made |
9.4% |
9.1% |
|
Cotton |
8.7% |
8.4% |
Source: Federation of Indian Exports Organisations
(FIEO)