Knitwear exporters want rollback of amendment on import of accessories

The Tirupur Exporters'Association (TEA) on Friday requested Union Finance MinisterNirmala Sitharaman to reconsider the amendment making itmandatory for units importing accessories to execute a bondfor waiver of Customs duty.

In a representation, TEA president Raja M Shanmugham saiditems like tags, labels, sticker, belt, button or hanger,printed bags were being imported without payment of duty ifthe importer produced the member certificate from ApparelExport Promotion Council (AEPC).

As per the amendment proposed in the union budget,importing units have to execute a bond with Customs for importwithout payment of duty, he said.

Accordingly, several products will attract Customs dutywith effect from April 1, resulting in erosion ofcompetitiveness, he contended, adding the Finance Ministershould reconsider the amendment and restore the status quo.

He also sought remission of duties and taxes on exportedproducts (RoDTEP) scheme rates with additional benefits for ashorter duration and to extend the interest equalisationscheme on pre and post shipment Rupee export credit foranother three years.