Govt considering e-wallet proposal for exporters: FIEO

Exporters body FIEO today said the government is considering its proposal to introduce e-wallet mechanism to deal with the liquidity problem being faced by them due to the imposition of Goods and Services Tax.
"If it is accepted, the problem of liquidity will be solved as exporters may use it like a running account where money will be debited from e-wallet when duty paid supplies have to be undertaken and the amount is credited when the proof of exports is made available," FIEO President Ganesh Gupta said in a statement.
Before GST, exporters used to get ab-initio exemptions from duties. But now they have to pay first and then seek refund. Due to this process, the FIEO stated that about Rs 1,85,000 crore will get stuck with the government.

Federation of Indian Export Organisations (FIEO) DG Ajay Sahai said that a request has been made to the authorities either to put zero GST rate on sale/transfer of scrips or put it at 5 per cent.