FinMin Constitutes Drawback Committee for 2025: Key Members and Objectives

The Ministry of Finance and the Central Board of Indirect Taxes & Customs (CBIC), has officially constituted the Drawback Committee for the year 2025. The newly formed committee will play a crucial role in evaluating and revising the All Industry Rates (AIRs) under the Duty Drawback Scheme.

Committee Composition

The Drawback Committee comprises five distinguished members:

1. Shri G.K. Pillai, Secretary (Retd.), Government of India – Chairman
2. Shri Y.G. Parande, Special Secretary-cum-Member, CBEC (Retd.) – Member
3. Shri Gautam Ray, Chief Commissioner of Customs and Central Excise (Retd.) – Member
4. Shri Neeraj Kumar Gupta, Secretary (Retd.), Government of India – Member
5. Shri S.R. Baruah, Principal Chief Commissioner of Customs and Central Excise (Retd.) – Member

Terms of Reference

The committee is tasked with the following objectives:

Stakeholder Consultations: Engage with administrative ministries, export promotion councils, commodity boards, and trade bodies to gather feedback on AIRs under the Duty Drawback Scheme.

Determination of Drawback Rates: Formulate a methodology for calculating duty drawback rates, considering the changes in duty and tax structures introduced in the budget.

AIRs & Advance Authorization Scheme: Recommend the combination of AIR Duty Drawback with the Advance Authorization Scheme of DGFT, which allows import duty-free fabric for garment exports.

Supplementary Recommendations: Provide additional reports and recommendations on emerging issues and representations related to the revised schedule of rates.

Methodology and Reporting

The committee will establish a framework for deliberations and consultations with stakeholders.

The committee will conduct field visits and study production processes to refine the calculation of drawback rates.

The committee will submit its main report by August 1, 2025, with the possibility of an additional report within a month of the new drawback rate notification.

Compensation and Logistics

Committee members will receive TA/DA equivalent to Group ‘A’ officers for stakeholder meetings and field visits outside Delhi.

Committee members will receive a sitting fee of Rs. 5,000 per day.

Committee members will receive local conveyance for meetings held in Delhi.

Committee members will receive office expenses covered under Grant No. 35 from the Department of Revenue.

Secretariat Support

The Joint Secretary (Drawback), CBIC will serve as the Secretary to the Committee, ensuring efficient coordination and execution of its responsibilities.

This initiative underscores the Indian government’s commitment to refining the Duty Drawback Scheme, fostering export competitiveness, and addressing industry concerns on duty reimbursement mechanisms.

Notification Details

Date: 02/04/2025

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