Handicrafts exporters submit Memorandum to MPs demanding hike in RoDTEP rates for the Sector
New Delhi – 1st September, 2021 – The RoDTEP rates announced by the Government on 17th August, 2021 for the handicrafts sector were not as per the expectation of the handicrafts exporters as the sector was expecting comparable rates (5%-7%) with MEIS scheme, the rates offered are in the range of 0.01% to 2.4% for the handicrafts sector. Demanding hike in RoDETP rates, the Handicrafts exporters of various crafts clusters submitted memorandum to the Member of Parliament from their cluster, informed Dr. Rakesh Kumar, DG, EPCH.
He further informed that since Handicrafts sector being the cottage sector of the Indian economy providing employment to over 7 million artisans including women folk and weaker sections of the society, the sector has potential to employ many more artisans and register higher exports growth, if the suitable RoDTEP rates are considered by Government of India.
Today, a Memorandum Day was organized on PAN India basis by handicrafts exporters at crafts clusters like Jaipur, Jodhpur, Moradabad, Saharanpur, Agra, Nagaland, Narsapur, Bangalore, Delhi and others clusters. Handicrafts exporters sought their support of Member of Parliament from the region, Mayor, District Magistrate etc. on RoDTEP rates and requested to forward their demand to the Government of India, informed Dr. Rakesh Kumar, Director General-EPCH.
He further said that the Government has urged the exporters to put in additional efforts to achieve the overall export target of US$ 400 billion in the year 2021-22 and the handicrafts exporters are committed towards achieving their share of exports in India’s total exports. Despite the pandemic, the sector has been able to register a marginal growth of 1.62% and stands at Rs. 25,679 crores in the year 2020-21 and if RoDTEP rates are revised favorably, the sector is poised for higher growth in the year ahead’.
The RoDTEP scheme would refund the embedded Central, State and local duties/taxes to exporters that were so far not being rebated/refunded, placing handicrafts exports at a disadvantage. The refund would be credited in an exporter’s ledger account with Customs and will be used to pay basic customs duty on imported goods. The credits can also be transferred to other importers.
The export figures for April-March of the current financial year 2020-21 are at Rs. 25679.98 crores (USD 3459.75 million) registering a marginal growth of 1.62 % (Rupee terms) and (-) 2.93 % (dollar terms) over the same period last year. However, the provisional figures for the April-July of the current financial year 2021-22 are at Rs. 7792.14crores (USD 1053.34 million) registering a growth of 62.38% (Rupee terms) and 66.07% (dollar terms).
