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April 24, 2007 13:27 IST
The recent Foreign Trade Policy announcement to waive service tax for exporters had the backing of the Prime Minister, Commerce Ministry sources said on Tuesday.Reacting to reports that the move was strongly opposed by the finance ministry, the sources said that the decision was supported by the Prime Minister. The Finance Ministry has expressed displeasure over what it called "unilateral" and "pre-mature" announcement by Commerce Minister Kamal Nath to waive service tax for exporters.
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