Prabhu promises exporters to take up GST refund issue

Commerce and Industry Minister Suresh Prabhu on Wednesday assured exporters of taking up the issue of Goods and Service Tax (GST) refund with the finance ministry and said he plans to call a ministerial meeting to discuss export related issues.

As exports dipped in March after a gap of four months, Prabhu sought a detailed action plan from exporters of all sectors in an interaction with them here.

“I have asked exporters to give me the details of the pending refund. GST refund is a major issue for exports. I will take it up with the finance ministry,” he said.


Exporters have claimed that over 60% of their refunds are stuck with the government complaining that delay in GST refund has blocked their working capital.

Prabhu also said the government is taking all steps to further boost the country's exports.

Speaking to members of the Federation of Indian Export Organisations here, the minister asked them to prepare a detailed action plan of all sectors and sub-sectors suggesting ways to promote their exports.

Exporters raised issues related with GST refund, increasing logistics costs and inadequate infrastructure at ports.

The government has sanctioned GST refunds to exporters to the tune of Rs 17,616 crore till March of which Rs 9,604 crore is on account of integrated GST refund and another Rs 5,510 crore on account of refund on input credit by the centre.

“We need a concrete plan to work on that,” Prabhu said and added that he would call a ministerial meeting to discuss issues pertaining to outbound shipments.

India's exports dipped after a gap of four months in March but finished 2017-18 with a rise of 9.78% to $302.84 billion.