Eligibility of tufted cotton bathmats/cotton tufted bathrugs for grant of duty credit scrip under VKGUY: DGFT Clarifies
POLICY Circular 21/2009-14 dated 12.1.2010 clarified that exports of cotton bathmats/rugs covered under ITC (HS) Codes 5703 or 5705 would be treated as hand-made category for grant of benefit of duty credit scrip by obtaining a suitable self-declaration from the exporters.
However, it was represented that in respect of some export shipments prior to 12.01.2010, this benefit was being denied because the export product has been described on the shipping bill as “cotton powerloom-tufted bathmats/cotton powerloom-tufted bathrugs”.
After examining the matter, DGFT clarifies:
The export shipments covered under ITC (HS) Code 5703 or 5705 are to be treated as hand-made category even if the description of the export product entered in the relevant shipping bills may have been “cotton powerloom tufted bathmats/cotton powerloom tufted bath rugs”.
DGFT Policy Circular No. 23 (RE-2010)/2009-14., Dated: February 21, 2011