ISLAMABAD (June 10 2003) : Keeping intact extraordinarily high duty drawback on textile products as compared to the actual import duty, the Central Board of Revenue (CBR) has extended the compensatory duty drawback on the export of blended fabrics, garments and blended yarn from June 30, 2003 to June 30, 2004.
Official sources told Business Recorder here on Monday that the enhanced duty drawback facility on the export of said products was going to expire on June 30, 2003 and CBR was mulling to slash the rates bringing them at par with the actual duty paid at the import stage in budget 2003-04.
However, the CBR extended the period of duty drawback from June 30-2003 to June 30, 2004 without curtailing the rates.
The CBR, taking into account government policy to compensate exporters in the textile sector, extended the facility for another year.
The authorities have amended Schedules II and VI of the standard SRO.412(I)/2001 through an SRO 489(I)/2003 to implement the decision.
Now, payment would be made at the same rate up to June 30, 2004 on the export of grey blended fabrics made of polyester staple fibre and cotton fibre (applicable to all blends from 15 percent polyester staple fibre and 85 percent cotton to 25 percent polyester staple fibre and 75 percent cotton); grey blended fabrics made of polyester staple fibre and cotton fibre (applicable to all blends from 30 percent polyester staple fibre and 70 percent cotton to 45 percent polyester staple fibre and 55 percent cotton); grey blended fabrics made of polyester staple fibre and cotton fibre (applicable to all blends from 50 percent polyester staple fibre and 50 percent cotton to 60 percent polyester staple fibre and 40 percent cotton); grey blended fabrics made of polyester staple fibre and cotton fibre (applicable to all blends from 65 percent polyester staple fibre and 35 percent cotton to 80 percent polyester staple fibre and 20 percent cotton); bleached blended fabrics made of polyester staple fibre and cotton fibre (applicable to all blends from 15 percent polyester staple fibre and 85 percent cotton to 25 percent polyester staple fibre and 75 percent cotton); bleached blended fabrics made of polyester staple fibre and cotton fibre (applicable to all blends from 30 percent polyester staple fibre and 70 percent cotton to 45 percent polyester staple fibre and 55 percent cotton); bleached blended fabrics made of polyester staple fibre and cotton fibre (applicable to all blends from 65 percent polyester staple fibre and 35 percent cotton to 80 percent polyester staple fibre and 20 percent cotton); bleached blended fabrics made of polyester staple fibre and cotton fibre (applicable to all blends from 50 percent polyester staple fibre and 50 percent cotton to 60 percent polyester staple fibre and 40 percent cotton); dyed or printed blended fabrics made of polyester staple fibre and cotton fibre (applicable to all blends from 15 percent polyester staple fibre and 85 percent cotton to 25 percent polyester staple fibre and 75 percent cotton); dyed or printed blended fabrics made of polyester staple fibre and cotton fibre (applicable to all blends from 30 percent polyester staple fibre and 70 percent cotton to 45 percent polyester staple fibre and 55 percent cotton); dyed or printed blended fabrics made of polyester staple fibre and cotton fibre (applicable to all blends from 50 percent polyester staple fibre and 50 percent cotton to 60 percent polyester staple fibre and 40 percent cotton); dyed or printed blended fabrics made of polyester staple fibre and cotton fibre (applicable to all blends from 65 percent polyester staple fibre and 35 percent cotton to 80 percent polyester staple fibre and 20 percent cotton); grey blended garments, wearing apparel and other made-ups (all blends of polyester staple fibre from 15 percent and cotton fibre); grey blended garments, wearing apparel(all blends of polyester staple fibre from 15 percent and cotton fibre); bleached blended garments, wearing apparel and other made-ups (all blends of polyester staple fibre from 15 percent and cotton fibre); bleached blended garments, wearing apparel (all blends of polyester staple fibre from 15 percent and cotton fibre); dyed or printed blended garments, wearing apparel and other made-ups (all blends of polyester staple fibre from 15 percent and cotton fibre); dyed or printed blended garments, wearing apparel (all blends of polyester staple fibre from 15 percent and cotton fibre); grey blended made-ups ie bedwear, curtain, table linen etc (all blends of polyester staple fibre from 15 percent and cotton fibre); bleached blended made-ups ie bedwear, curtain, table linen etc (all blends of polyester staple fibre from 15 percent and cotton fibre); dyed or printed blended made-ups ie bedwear, curtain, table linen etc (all blends of polyester staple fibre from 15 percent and cotton fibre).
Similarly, existing rates would also applicable on these textile products till June 30, 2004: 100 percent polyester staple fibre yarn; polyester staple fibre blended yarn (65 percent polyester staple fibre 35 percent cotton); polyester staple fibre blended yarn (50 percent polyester staple fibre 50 percent cotton); polyester staple fibre blended yarn (30 percent polyester staple fibre 70 percent cotton); polyester staple fibre blended yarn (15 percent polyester staple fibre 85 percent cotton);
Following is the text of the SRO 489(I)/2003:
In exercise of the powers conferred by clause (c) of section 21 of the Customs Act, 1969 (IV of 1969), the Central Board of Revenue is pleased to direct that in its Notification No SRO 412(I)/2001, dated the 18th June, 2001, the following further amendments shall be made and shall be deemed always to have been so made, namely:-
In the aforesaid Notification, in Schedules II and VI, in column (3), for the figures “30.06.2003”, wherever occurring, the figures “30.06.2004” shall be substituted.
