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In general, duty free bonded warehousing facility and the cash incentive facility are mutually exclusive. In other words, the exporters who enjoy duty free bonded warehousing facility for their exportable goods will not be able to claim cash incentive for the same product. 

However, if a bonded warehouse licensee/owner uses local inputs to manufacture exported goods, he/she will be entitled to get cash incentive for the local inputs used in the production or manufacture of their export products, provided that  the said local inputs are eligible to get cash incentive. In other words, if inputs, which are eligible to get cash incentive, procured from local sources are used in the production/manufacturing of  exported goods, and no drawback/duty free bonded warehousing facility is claimed on these inputs, cash incentive will be granted. (Reference: NBR nothi no. 2(5): shulka: Roptani O Bond/2006 date. 20/07/2006]