CONTINUEThis site uses cookies. By continuing to browse this site you are agreeing to our use of cookies. Find out more.
  1. Front Page
  2. News By Topic
  3. India Gives Tax Rebate On Cotton Exports

India Gives Tax Rebate On Cotton Exports

by Mary Swire, Tax-News.com, Hong Kong

29 July 2011


The Indian government has announced that it would restore tax rebates on raw cotton and cotton yarn for export, following a review of the industry which has been in trouble recently with the fall in both domestic and international prices of cotton.

The Duty Entitlement Pass Book (DEPB) scheme, which provides tax refunds for exporters, has been reinstated on a retrospective basis on cotton yarn from April this year and on cotton from October 2010.

The DEPB was withdrawn in April last year, and its return has been welcomed by the Confederation of the Indian Textile Industry (CITI).

Shri Shishir Jaipuria, chairman of CITI, said that CITI had asked the government for a relief package in order to tackle losses suffered by the industry because of restrictions on cotton yarn exports, the fluctuation in cotton and cotton yarn prices and the accumulation of stock.

Commerce and Industry Minister Anand Sharma said: “I have taken a composite review of the cotton and cotton yarn industry over the last few days. Both of these segments have faced huge fluctuation in international and domestic prices."

He admitted that cotton exports had been “dis-incentivised” by the export tax in place, and that was the reason for restoring the DEPB.

TAGS: tax | India | commerce

To see today's news, click here.

 















Tax-News Reviews

Cyprus Review

A review and forecast of Cyprus's international business, legal and investment climate.

Visit Cyprus Review »

Malta Review

A review and forecast of Malta's international business, legal and investment climate.

Visit Malta Review »

Jersey Review

A review and forecast of Jersey's international business, legal and investment climate.

Visit Jersey Review »

Budget Review

A review of the latest budget news and government financial statements from around the world.

Visit Budget Review »



Stay Updated

Please enter your email address to join the Tax-News.com mailing list. View previous newsletters.

By subscribing to our newsletter service, you agree to our Terms and Conditions and Privacy Policy.


To manage your mailing list preferences, please click here »