Take up DEPB issue with FinMin: chambers to Khullar

Industry chambers and export promotion councils today met Commerce Secretary Rahul Khullar and urged him to again take up the issue of continuation of popular export benefit scheme -- DEPB -- with the Finance Ministry.

The tax rebate scheme, Duty Entitlement Pass Book (DEPB), is due to end on June 30. The 14-year old scheme has been extended many times by the finance ministry on the recommendation of the Commerce Ministry since 1997.

The Indian government spends annually about Rs 8,000 crore reimbursing exporters the taxes paid on import content of export products.

"Khullar has assured them that his ministry is with exporters and he would try to pursue the case with the Finance Ministry," a source said.

Exporters are lobbying hard with the Commerce Ministry for the continuation of the scheme.

Representatives of CII, Ficci and export promotion councils, particularly from Engineering Export Promotion Council met Khullar here.

Commerce Minister Anand Sharma has recently said he will take up the issue with Finance Minister Pranab Mukherjee on his return to New Delhi. He is in Paris for an informal meeting of WTO.

Earlier, the Finance Ministry has turned down the Commerce Ministry's proposal to further extend the scheme.