New Delhi: Cotton and Cotton yarn exporters in India would now be able to claim the import duty reimbursement under the Duty Entitlement Pass Book (DEPB) scheme, as the Union government decided to restore the scheme once again.

Commerce, Industry and Textiles Minister Anand Sharma made announcement in this regard on Tuesday. Cotton exporters can claim DEPB benefits from April, 2010 while Cotton yarn exporters will get the benefit from April 1, 2011.

Anand Sharma said, “The Ministry has reviewed the situation of the cotton industry recently. Both the cotton and cotton yarn industry has faced turmoil at local and international market.”

“The export of cotton yarn was kept under Open General License (OGL) from April 1, 2011. Keeping this in view, DEPB scheme has been restored to benefit cotton yarn industry,” said the Minister.

In the last fiscal, cotton exports were brought under heavy taxes, though it was repealed from October 1, 2010. Restoration of DEPB scheme would come to rescue the cotton exporters as they will get subsidy on import.

(JPN/Bureau)