Government of India Constitutes Committee for Determination of Duty Drawback Rates for 2023, Seeks Inputs from Export Promotion Councils, Industry Associations

The Government of India has announced the constitution of a committee for the review and determination of All Industry Rates (AIRs) of Duty Drawback for the year 2023. The committee will be taking into account the incidence of Customs and Central Excise duties on goods manufactured for export. In order to make accurate calculations, the government has requested Export Promotion Councils, Commodity Boards, Trade and Industry Associations, and Chambers of Commerce to provide data on inputs used in the manufacture of relevant export products, in the format specified in Annexure II.

Exporters have previously faced difficulties in providing data for multiple models under the same CTH, and the committee has acknowledged this issue and has provided alternative ways of providing data for such products. Care should be taken to ensure that the data provided is complete for exports made between April 2022 and September 2022, representative of exports by small, medium and large manufacturer exporters and certified by manufacturers and their Chartered Accountants/Cost Accountants.

In addition to providing data, exporters are encouraged to provide their views and suggestions for the rationalization of entries in the AIR Drawback Schedule, along with justifications. The deadline for submitting data and suggestions is yet to be announced. [F.No. 609/33/2022-DBK dated 09.01.2023]