Handicraft exporters raise Iran shipments' issues with Govt

Representatives from the Export Promotion Council for Handicrafts (EPCH) met Commerce Secretary Anup Wadhawan Friday and took up issues faced by exporters to Iran including difficulties in claiming duty drawback and GST refund.

R K Passi, Vice Chairman, EPCH, and Rakesh Kumar, ED, EPCH, met Wadhawan and sought the Commerce Ministry's intervention to resolve the problems being faced in exports to Iran due to sanctions imposed by the United States.

A statement issued by EPCH said Directorate General of Foreign Trade Alok Vardhan Chaturvedi was also present in the meeting.

According to Kumar, exporters shipping to Iran are facing problems as banks are refusing to accept the shipping documents for clearance of GR form to RBI resulting no BRC is being released to the exporter.

"In the absence of BRC, the exporter is unable to claim the benefit like MEIS/duty drawback and GST refund," he said.

Kumar claimed that in respect of earlier Exports to Iran, all payments were received in Euro from third party and had been credited in respective exporters accounts by their bank branches but the bank branches in Moradabad are refusing to issue EBRC in spite of the fact that RBI has 'No Objection' in the matter.

"The exports to Iran are also allowed in INR (Indian Rupee) but only UCO bank, Delhi has been authorised to open INR account for which exporters from Moradabad have come to Delhi to open the account. The delegation also requested the Commerce Secretary to authorise UCO Bank at Moradabad to open INR account," EPCH said.

Kumar said that Secretary Commerce has assured to take up the matter with RBI and Ministry of Finance to resolve the issue at the earliest.

Handicrafts exports to Iran stood at USD 48.10 million (Rs 310 crore) during 2017-18.