FTP - Non-availability of DEPB benefit on export of Cotton
BENEFIT under DEPB scheme encourages export of concerned commodity. Hence when the intention of the Government is not to encourage exports of specific commodity, DEPB benefit on such a commodity would be contradictory to its intention. DEPB benefit on export of cotton yarn was withdrawn with effect from 21.4.2010, therefore, DEPB benefit on cotton (the basic raw material for cotton yarn) has been disallowed for exports made from 21.4.2010 onwards.
DGFT Public Notice No. 45 (RE-2010) /2009-2014, Dated: March 31, 2011