In a bid to boost exports from ready-made garments and made-ups as well as employment generation in these two segments, the government has notified post-Goods and Services Tax (GST) rates under the scheme for Remission of State Levies (RoSL) on exports of ready-made garments, made-ups and under Advance Authorization-RoSL for garments.

Post-GST rates of RoSL are up to a maximum of 1.7% for cotton garments, 1.25% for man made fibres (MMF), silk and woollen garments and 1.48% for apparel of blends, an official statement said. “Rates are up to a maximum of 2.20% for cotton made-ups, 1.40% for MMF and silk made-ups and 1.80% for made-ups of blends. For sacks and bags made of jute, the rate is 0.60%. The RoSL rate for garments under AA-All Industry Rates combination is 0.66%,” it added. These rates shall be effective from October 1, 2017.

Rates for incentives

On Friday, the government said that the Directorate General of Foreign Trade had issued a public notice by which rates for incentives under the Merchandise Exports from India Scheme for ready-made garments and made-ups had been enhanced from 2% to 4% of value of exports with effect from November 1, 2017 till June 30, 2018. “The estimated annual incentives will be ₹1,143.15 crore for 2017-18 and ₹685.89 crore for 2018-19,” it added.