|
New excise rules hit synthetic textile exports
E-Tex Staff - Mumbai
The Synthetic and Rayon Textiles Export Promotion Council (SRTEPC) has requested
the government to reinstate Rule 12B of the Central Excise Rules 2002, as discontinuation
of the same has affected merchant exports of synthetic textiles.
According to Mr Rakesh Mehra, chairman, SRTEPC, “Merchant exporters cannot
have excise registrations done due to this change announced in the budget. So,
while manufacturers can opt for the CENVAT route and avail of the CENVAT credit,
in the absence of excise registration, merchant exporters cannot do so. This
has severely affected exports.”
He further stated that even as the excise department has issued a circular in
this regard in July 2004, it does not resolve the problem fully, as it addresses
only the problem of CENVAT credits on pre-budget stocks on inputs. “No
provision has been made for merchant exporters to take fresh credits on duty
paid on inputs at the post-budget rates.”
|
E-Mail
Print
