The Finance Ministry is likely to set up a review committee to examine inputs that are given by the industry for correction of rates under the new input duty remission scheme for exporters and make required changes in case some anomalies have crept in, Commerce & Industry Minister Piyush Goyal has said.

An export target of $44 billion for the textile sector for 2021-22 should be aimed at, the Minister said, adding that trebling of exports from the present export value of $33 billion to $100 billion and enhancing domestic production to $250 billion must be the next step.

RoDTEP scheme

The government is open to hearing from any sector that feels that the rates under the new Remission of Duties and Taxes on Exported Products (RoDTEP) do not remit taxes that are not part of the GST, Goyal said addressing the textile industry on Friday.

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“We have requested the Ministry of Finance to set up a review committee or an anomaly committee to go into any inputs that we may like to put up for correcting any rates, where there may be a mistake,” he said, adding that India did not want to export any taxes.

“If any of you feels that your product has not rightly received what is due to them,..it will be examined by the independent committee. It is not for the government or Ministry to finalise or settle across the table. It is a rational scientific process,” the Minister added.

When the scheme is reviewed next year, the government will be able to take a look at any anomaly that may have come into the system, he said.

The government announced rates under the RoDTEP scheme last month for remitting all input duties paid by exporters, including embedded taxes, but many exporters have complained that the rates fall short of the taxes paid by them. The RoDTEP rates fall between 0.01 per cent and 4.3 per cent of the export value of a specific item and cover about 8,555 product lines.

Dues for exporters

The Textile Ministry is also working closely with the Ministry of Finance to resolve the issue of old dues on incentives for exporters, most of which may be paid this year while the rest may be cleared next year or at most in two years, Goyal said.

To open new market opportunities and provide new avenues, the Minister said that he was personally interacting with different nations to expedite free trade agreements and preferential trade agreement, with partners such as the EU, the UK and Australia.

Goyal also assured the industry that the Production Linked Incentive scheme for the textiles sector and the Mega Investments Textiles (MITRA) Parks Scheme were at an advance stage of government approval.

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