THE Finance Ministry is likely to fix a rate of up to three per cent lower for the new duty drawback scheme, which will replace the Duty Entitlement Pass Book (DEPB) scheme with effect from October 1.
While it is learnt that the Ministry has already received recommendations from the Saumitra Chaudhari panel in this regard, the government is now in the process of finalising the scheme.
According to sources, the panel has recommended a cap of 5.5 per cent on the new duty drawback rates. Currently, companies get the benefit of DEPB on an average rate of 9 per cent, while in cases where Cenvat facility is used, the average duty drawback rate is 13-14 per cent.
Source : Exim News Service - NEW DELHI, Sept. 13