India's Apparel Export Promotion Council (AEPC) has hailed the raise in the merchandise exports from India scheme (MEIS) rates to 4 per cent of export value, saying the step will ease blocked capital problems and help handle Christmas orders. However, it is upset over the low rebate on state levies (RoSL) as the central taxes rebate have not been considered.
AEPC chairman Ashok Rajani, in a press recent release, urged the government to urgently restore the previous rates of RoSL and duty drawback as the Industry is witnessing a slowdown with job losses.Indian Apparel Exports Promotion Council (AEPC) has hailed the raise in the merchandise exports from India scheme (MEIS) rates to 4 per cent of export value, saying the step will ease blocked capital problems and help handle Christmas orders. However, it is upset over the low rebate on state levies (RoSL) as the central taxes rebate have not been considered#
The apparel industry consists largely of small and medium enterprises who are finding compliance with the goods and services tax (GST) and capital blockage a severe strain on their bottom lines.
“Today, the industry faces a double whammy of reduced drawback and RoSL rates on one hand, and unchanged fabric and input costs on the other, besides this, the hardening of the currency has eroded the industry's competitiveness,” the AEPC release said.
India’s apparel exports has declined by 39 per cent for October with an overall decline of 5.94 per cent. (DS)
ALCHEMPro News Desk – India
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