Exempt merchant exporters from IGST: Textiles Export Promotion Council

The Council welcomed govt's decision to reduce GST levy on job work to 5% now from 18%

The Cotton Textiles Export Promotion Council (Texprocil) has urged the government to exempt merchant exporters from charging integrated goods and services tax (IGST) to make India's textiles exports cost competitive in overseas markets.

While welcoming the government's decision to reduce GST levy on job work to 5 per cent now from 18 per cent earlier, Ujwal Lahoti, Chairman of Texporicil, said, "Merchant exporters cannot benefit from the facility of exports under bond/LUT (Letter of Undertaking)". There is no enabling document prescribed so far by the government under which goods can be cleared by a manufacturer without charging IGST meant for