The government has announced a new duty draw back scheme to give incentives to exporters. Speaking to media in New Delhi, Finance Secretary R S Gujral said the Duty Entitlement Pass Book (DEPB) Scheme for exporters will end after 30th of this month. The new scheme comes into force from 1st October. 

AIR correspondent reports that under the present scheme, the government used to reimburse exporters about 80 billion rupees of taxes paid on imported supplies. Mr Gujral said most of the items which are already covered under the duty drawback schedule will suffer a minor reduction in the existing drawback rates. He said on export of these items, the tax refunds would be reduced by 1 to 3 per cent. Under the Duty Drawback the total number of items would increase to about 4,000 from the present 2,835.