States not releasing duty drawback refund: Exporters State governments have effectively stopped paying tax refunds under the duty drawback scheme, compounding problems of exporters. Exporters alleged that since the goods and services tax (GST) was introduced, refunds for the state component of taxes had dried up under the duty drawback scheme because the requisite mechanism was not in place. “While it is still possible to get states to pay their share of refunds under the integrated GST, refunds to be paid fully by them are not materialising,” said Ajay Sahai, directorgeneral of the Federation of Indian Export Organisations. The problem was spread across the country, he added. The duty drawback scheme seeks to rebate duty on any imported or excisable material and service used in the manufacture of goods for export. Customs, excise and service tax in respect of inputs are neutralised under the scheme. The Central Board of Excise and Customs, which administers the s