POL CIR NO. 67(RE-98)/1998-1999 Dated 19.2.1999

Sub:

Grant of DEPB benefit in respect of S. No.69 and 72 of textile product

Attention is invited to the DEPB rate in respect of madeups under S. No. 69 and 72 of the textile product as given in Appendix 28A of Handbook of Procedures (Vol. 1) (RE-98) 1997-2002.

It has been reported that the DEPB rate for madeups have been denied to the exporters who have used the yarn dyed fabric in the madeups. The Customs authorities have also denied the debitting against such DEPBs.

The matter has been examined in consultation with the Ministry of Textiles and the Department of Revenue. It is clarified that the fabrics which at yarn or fabric stage have undergone one of the process like bleaching, calendering, mercerising, dyeing, printing, water proofing, shrink-proofing, organdi processing, singeing, padding, back filling, cropping, shearing, brushing raising and hydro extraction are to be treated as processed fabric.

Accordingly madeups made out of such processed fabric shall be eligible for DEPB rate as given in S. No. 69 and 72 in respect of exports made on or after 1.4.97 under the DEPB scheme.

This issues with the approval of DGFT.

(Ajay Sahai)
Jt. Director General of Foreign Trade.

(Please see Cus Cir No.57/2001 Dt. 25/10/2001)

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