AD-I Banks Can Grant Extension For Export Drawback Claims; RBI's Direct Approval Not Mandatory: Kerala High Court

The Kerala High Court has ruled that AD-I Banks (Authorized Dealer Category-I Banks) can grant extensions for export drawback claims, and RBI's direct approval is not mandatory. This significant decision streamlines the process for exporters claiming duty drawback, which is a refund of customs duties on imported materials used in exported goods. The court clarified that the responsibility for granting extensions lies with the AD-I banks, reducing the bureaucratic burden and expediting claims. This ruling promotes ease of doing business for exporters by decentralizing the approval process and reducing reliance on direct RBI intervention.