The Commerce and Industry Minister, Kamal Nath has announced that the government is ready to offer a sector-specific package for tax and levy reimbursement to exporters hit by admiration in the rupee value.

Preserving his assurance that India will attain export objective of $160 billion in the existing fiscal (2007-08) even with currency related worries, Nath told that his department is making a Cabinet note for increasing refunds coverage to exporters.

Before a review conference to evaluate the export performance of the plantation segment, Mr. Nath said, “We are looking at measures for refund and remission of taxes to ensure that exporters get a level playing field.”

The government had declared a Rs 1,400-crore package for exporters in July this year, and freed seven objects from service tax. He showed the desire that the export objective would be fulfilled, at the same time as goals were met in the previous years.

He also said that he would take an overall export review meeting with different export promotion councils in the coming month (November). While he is optimistic of accomplishing the export objective of $160 billion, senior functionaries do not share their hopefulness.

Last week, a functionary had said, “Even $140 billion will be a tall order.”

Moreover, there are conflicts between the Commerce Ministry and the Finance Ministry.

The Revenue Department has expressed to the Commerce Ministry that it is not supportive of refunding the state level charges to the exporters.

The official told, “It will be the Cabinet which will take the call.”

The rupee has fortified by around 10% since March 2007, placing Indian exporters at a disfavor against challengers, particularly China, whose currency has devaluated along the deteriorating of dollar.