The Hindu Business Line : Drawback payment procedure simplified

New Delhi, June 27 In keeping with its ongoing efforts to reduce transaction costs for exporters, the Government proposes to allow exporters’ to receive their drawback payments in any of their core banking enabled bank account in any branch/bank in the country.

Official sources said that the new procedure would take effect from July 1. With the new procedure, it would no longer be mandatory for exporters to open a bank account only with the designated authorised bank branch at the port of export.

According to the existing Customs procedure for computerised processing of drawback shipping bills and drawback claims under the Indian customs EDI system, an exporter is required to open a bank account only with the authorised bank branch at the port of export. This had been done to enable direct credit of drawback amounts from the Government to their account, obviating the need for issue of cheques.

Now, this facility of direct credit would not be tied to the authorised bank in the port of export, but would be available to any core banking enabled account in any branch/bank anywhere in the country.

Drawback payments are made by the Government to exporters to neutralise the duty incidence on the inputs used in export products.

Welcoming the Government decision, the Delhi Exporters’ Association (DEA) President, Mr S.P. Agarwal said that this move would enable exporters’ to get drawback payments from various ports of India into one account. For receiving drawback payments, an exporter need not maintain multiple accounts, one each in an authorised bank in every port of export.

More Stories on : Exports & Imports | Excise and Customs

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page