AFFECTED FLOWOutflow (subsidised)
ANNOUNCED AS TEMPORARYNo
Tax-based export incentive
The export benefit on cotton under the Duty Entitlement Pass Book (DEPB) scheme has been withdrawn through Public Notice No 45 (RE-2010) for all exports made after 21 April 2010.
This incentive was later reintroduced through Public Notice No. 68 (RE-2010) and allowed on all exports made after 1 October 2010.
The Scheme provides credits on exported goods to neutralize the cost of import duties on raw materials imported to manufacture the export product. These credits can then be used to pay future liabilities of import duties.
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