The Union government has announced revised duty drawback rates. These All Industry Rates of Duty Drawback re-imburse the incidence of duties of customs on inputs and remnant central excise duty on specified petroleum products used for generation captive power for manufacture or processing of export goods. The drawback rates for cotton textiles such has yarn, fabrics and made ups have been increased.

Welcoming the announcement, KV Srinivasan, Chairman of The Cotton Textiles Export Promotion Council (TEXPROCIL) said the revised drawback rates will lead to increase in the exports of cotton textiles. There is a significant increase in the drawback rates for cotton made ups which will encourage export of value added products like home textiles. Further, the removal of drawback caps in the case of those export products where the drawback rates are less than 2 per cent will benefit the cotton textiles exporters.