No DEPB on Packing Material for Cotton Yarn Pending Clarification, Says ZDGFT

The following Circular was issued by the DGFT Mumbai Zonal Office on 6th September 2010.

[DGFT Trade Notice No. 01 dated 6th September 2010]

Attention of all concerned is invited to Public Notice No. 57/2009-2014 dated 21st April, 2010 which state that export of “Cotton yarn including Melange Yarn” appearing at DEPB entry sl. no. 78 of the Product Group

“Textiles” shall not be entitled for DEPB benefit with immediate effect.

A doubt has been expressed from certain quarters as to whether export of cotton yarn on or after 21.04.2010 shall also not be eligible for DEPB benefit under serial no. 22 D of Miscellaneous Product group of DEPB rate schedule (i.e. DEPB benefit for packing material).

Zonal Joint Director General of Foreign Trade, Mumbai, has discussed the issue with JDG (Policy) in the head office of the Directorate and it has been decided to seek written clarification on the matter.

All concerned are, in the meantime, advised not to issue any DEPB against export of “cotton yarn including mélange yarn” made on or after 21.04.2010 even under serial no. 22 D of Miscellaneous Product group of DEPB rate schedule till further orders.

This issues with the approval of competent authority.