LIVE TV DownloadNews18 App
News18 English
»
2-min read

Govt Announces Measures to Boost Garment Exports

In a series of tweets, Union Textiles Minister Smriti Irani said post-GST rates for remission of state levies/taxes and Enhanced Merchandise Exports from India Scheme (MEIS) rates will boost exports of garments and made-ups.

PTI

Updated:November 25, 2017, 6:37 PM IST
facebookTwittergoogleskypewhatsapp
Govt Announces Measures to Boost Garment Exports
File photo of Union Minister for Textiles and Information & Broadcasting Smriti Irani. (Image: PTI)
Loading...
New Delhi: The government has announced the post-GST rates for claiming rebate of state taxes under the scheme for Remission of State Levies (RoSL) on exports of readymade garments and made-ups, in a bid to support the outward shipments.

The government has also doubled the rates for incentives under an export promotion scheme -- MEIS -- to 4 percent for readymade garments and made-ups.

In a series of tweets, Union Textiles Minister Smriti Irani said post-GST rates for remission of state levies/taxes and Enhanced Merchandise Exports from India Scheme (MEIS) rates will boost exports of garments and made-ups.

Garment exporters' body AEPC said the increase in MEIS rates will help in the fulfilment of orders for the Christmas festival as it will help in unblocking the blocked capital.

In a release, the textiles ministry said post-GST rates of RoSL are up to a maximum of 1.70 percent for cotton garments, 1.25 percent for MMF, silk and woolen garments and 1.48 percent for apparel of blends.

The ministry said the notification of post-GST RoSL rates for rebate of state levies/taxes is in pursuance of the decision of the government to boost exports and employment generation in the labour intensive textiles and apparel sector.

The Directorate General of Foreign Trade (DGFT) has enhanced rates for garments and made-ups to 4 per cent of value of exports from 2 percent under MEIS. New MEIS rates are effective from November 1.

"Announcement on post-GST rates of RoSL will be effective from 1 Oct 2017. Post-GST rates for remission of state levies/taxes will boost exports of garments & made-ups," Irani tweeted.

In another tweet, the minister said the enhanced MEIS rates will further boost exports of garments and made-ups from India.

Under the MEIS scheme, the commerce ministry gives duty benefits to several products. It provides duty benefits at 2 percent, 3 percent and 5 percent depending upon the product and country.

The DGFT said the rates for incentives under MEIS for two subsectors of textiles industry -- readymade garments and made-ups -- have been enhanced to 4 percent of value of exports with effect from November 1 till June 30 next year. As a result, the estimated annual incentives will be Rs 1,143.15 crore for 2017-18 and Rs 685.89 crore for 2018-19, the commerce ministry said in a statement.

Commenting on the measures, H K L Magu, Vice Chairman of AEPC, said the garment exporters' body has been demanding the increase in rates of MEIS along with RoSL and duty drawback from a long time.

"We are also hopeful that the government will intervene and address the issue of restoration of the old duty drawback rates as the sharp reduction in the rates of duty drawback has dealt a huge blow on the competitiveness of the industry," he said.

Ready made garment exports dipped by about 40 percent to USD 829.44 million in October.
Read full article
Loading...
Next Story
Next Story

Also Watch

facebookTwittergoogleskypewhatsapp
Most Active
Company Price Change %Gain
Tech Mahindra 829.90 2.15
Reliance 1,249.85 1.26
TCS 1,934.70 1.04
ICICI Bank 352.70 2.17
Indiabulls Hsg 673.90 4.45
Company Price Change %Gain
Apollo Hospital 1,146.00 1.26
Tech Mahindra 830.20 2.27
GRUH Finance 247.95 2.25
Relaxo Footwear 739.00 -0.69
Rel Capital 157.25 8.41
Top Gainers
Company Price Change %Gain
Indiabulls Hsg 673.65 4.41
Tata Motors 169.30 2.73
Vedanta 164.60 2.71
ONGC 147.40 2.33
ICICI Bank 352.75 2.19
Company Price Change %Gain
Tata Motors 169.50 2.82
Vedanta 164.35 2.62
ONGC 147.40 2.33
ICICI Bank 351.95 1.96
Tata Steel 498.10 1.53
Top Losers
Company Price Change %Gain
Bharti Infratel 308.70 -2.99
BPCL 334.75 -1.86
Bharti Airtel 305.05 -1.28
Yes Bank 215.65 -1.01
Infosys 733.85 -0.92
Company Price Change %Gain
Bharti Airtel 305.20 -1.41
Yes Bank 215.75 -0.99
Infosys 734.15 -0.80
Maruti Suzuki 6,803.00 -0.67
NTPC 136.30 -0.66

Live TV

Loading...
Countdown To Elections Results
  • 01 d
  • 12 h
  • 38 m
  • 09 s
To Assembly Elections 2018 Results