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Govt to discuss VAT refund issue
September, 04th 2009

The Government has decided to call a meeting of the inter-state council to discuss the issue of value added tax (VAT) refund, and neutralization of other state level taxes on exports.

The news has been confirmed by minister of commerce and industry, Anand Sharma. The issue of VAT refund is one of the biggest issues handicapping the exporting community, he said.

The minister said that the government has taken a conscious view to expand and diversify India`s export market, especially in the emerging markets of Africa, Latin America, Oceania and CIS countries and the Government is taking initiatives to offset the disadvantage faced by India's exporters such as credit risk and higher transaction costs.

The new foreign trade policy announced for 2009-2014 seeks to achieve an annual export growth of 15% over 2010-11 with an annual export target of USD 200 billion March 2011. By 2014, it is expected to double India`s exports of goods and services.

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