Wool exporters seek restoration of old
duty drawback rates
The Wool and Woollens Export Promotion Council (WWEPC) has
asked the Textiles Ministry to restore the old rates of duty
drawback on wool products to reduce exporters' losses due to
forex rate fluctuation.
With exporters unlikely to achieve the US$ 630 million target
for wool exports in 2010-11, said WWEPC Chairman Ashok Jaidka
and demanded from Ministry of Textiles to revert to earlier
rates of duty drawback, which can give some cushion to wool
exporters to contain their losses.
In September, the Centre had slashed the rate of duty
drawback on wool products, including wool tops, woollen yarn and
woollen fabric, in the range of 5% to 20%, in line with its
policy to reduce the fiscal incentive provided to a host of
export sectors during the global economic slowdown.