AAI Urges Govt For RoDTEP Scheme Rates In Aluminium Special Economic Zones And EOUs

New Delhi, Oct 17 (KNN) The Aluminium Association of India (AAI) has requested government’s intervention for notification of rates for aluminium special economic zones and export oriented units (EOUs) under the RoDTEP scheme.

In its communication with the government, AAI has put forward the idea that this move could enhance the nation's export figures and promote a more conducive environment for the growth of domestic industries.

The Remission of Duties and Taxes on Exported Products (RoDTEP) scheme provides for refund of taxes, duties and levies that are incurred by exporters in the process of manufacturing and distribution of goods and are not being reimbursed under any other mechanism at the centre, state or local level. The scheme is operational since September 2021.

“While RoDTEP rates for aluminium smelters located in DTAs (domestic tariff areas) have been notified, the rate declaration for SEZs and EOUs is still pending,” it said.

The aluminium body pointed out that while RoDTEP rates for aluminium products manufactured in DTAs have been notified, rates for those manufactured within SEZs and EOUs are yet to be notified.

Special economic zones (SEZs) and EOUs cumulatively represent the source of over 30 per cent of all aluminium exports from India.

This indicates that a significant part of the domestic aluminium industry is yet to benefit from the comprehensive advantages offered by RoDTEP.

Having invested more than USD 20 billion, the country currently holds the position of being the world's second-largest aluminum producer, boasting an annual production capacity of 4.1 million tonnes.

(KNN Bureau)