: RoSCTL scheme amendment brings relief to garment exporters #finance #StockMarketNEWS RoSCTL scheme amendment brings relief to garment exporters New Delhi, Sept 16 (KNN) The central government has

RoSCTL scheme amendment brings relief to garment exporters #finance #StockMarketNEWS
RoSCTL scheme amendment brings relief to garment exporters New Delhi, Sept 16 (KNN) The central government has made amendment in the Rebate of State and Central Taxes and Levies (RoSCTL) scheme which gives Indian garment exporters relief from favourable appreciation in transferable duty credit scrips.

Apparel Export Promotion Council (AEPC) has welcomed the move and expressed its gratitude to the government for the considering the pending request for deletion of provision of making the transferee liable from the RoSCTL conditions.

Speaking on this development Chairman AEPC Naren Goenka said, “The Government of India’s RoSCTL scheme has benefitted the Apparel and Made-up Sector. AEPC had been requesting that the transferee clause as given in the Notification No. 77/2021 dated 24.09.2021 of DoR, making transferee liable in the case of non-realization of the exporter proceeds should be deleted. I am thankful to the government for considering to our request positively.”

He said that the amendment will provide much needed relief to the garment sector and ensuring maximum refund of RoSCTL amount will help exporters meet their working capital requirements.

“Further, it will give impetus to the garment sector to perform better at a much faster pace,” added the chief.

For ensuring continuity, Government had already provided the benefit of the scheme till March, 2024.

However, since the operationalization of the RoSCTL Scheme, the exporters have been facing various issues in the implementation of the scheme, pointed out Goenka.

According to garment industry, exporters can generate scrips immediately after shipment of export consignments, but the realisation of payment use to takes months.

“After a certain time, customs officials had authority to take action for recovery of scrip amount. Industry people said that now the original beneficiary of the scrip will be liable in case of non-realisation of export payment,” he said.

Under the RoSCTL Scheme, maximum rate of rebate for apparel is 6.05 per cent, while for the made-ups it is 8.2 per cent. However, with the deep discount, exporters were getting between 4.8 per cent to 6.4 per cent and were losing 1.2 per cent to 1.6 per cent in the shape of discount. (KNN Bureau)